Assumption: revenue will increase in FY2027, but operating profit will decline again

For the fiscal year ended June 2026, revenue was ¥5,472 million, operating profit was ¥867 million, ordinary profit was ¥942 million, and net profit attributable to owners of the parent was ¥578 million. In comparison, the company's forecasts for the fiscal year ending June 2027 are revenue of ¥6,000 million, operating profit of ¥600 million, ordinary profit of ¥600 million, and net profit of ¥360 million. Revenue is expected to increase 9.6%, while operating profit is expected to decline 30.8%, ordinary profit 36.3%, and net profit 37.7%. The assumption for the next fiscal year is therefore that revenue growth and profit declines will occur at the same time.

In the fourth quarter of the fiscal year ended June 2026, revenue was ¥1,654 million, operating profit was ¥434 million, and the operating margin was 26.3%, representing year-on-year increases of 21.6% in revenue and 56.4% in operating profit. Although there is evidence of seasonality in which profit builds substantially in the fourth quarter, the full-year operating margin was only 15.8%. It cannot therefore be concluded that the assumption of lower profit in FY2027 has been eliminated based solely on the recovery in the standalone quarter. In the next Q1, the standalone quarterly figures should be reviewed together with the year-on-year changes and progress against the full-year plan.

By solution, revenue for the fiscal year ended June 2026 was ¥1,999 million for the Brokerage Solution, up 0.6% year on year, and ¥3,356 million for the Management Solution, up 10.6%. Overall revenue growth depended on expansion in the Management Solution, while growth in the Brokerage Solution was limited. In FY2027-Q1, the breakdown of revenue should be reviewed to determine whether sales and additional options related to the Management Solution's "賃貸革命11" are continuing and whether monetisation of "リアプロBB＋" in the Brokerage Solution is beginning to contribute to revenue growth.

The company has explained that, for the fiscal year ending June 2027, revenue is expected to increase while operating profit will decline because of amortisation expenses and higher costs related to "リアプロBB＋". However, it has not disclosed quarterly profit plans, the amount of the cost increase, or profit contributions by business. In the next earnings release, the most important points will be to confirm how much Q1 operating profit declined year on year, whether the decline is within the range incorporated into the plan, and whether the full-year forecast will be maintained.