Revenue growth is expected to continue in FY2027, while the key question is whether the growth rate can be maintained through the first half.

For FY2026, revenue was ¥113,854 million, operating income was ¥59,847 million, ordinary income was ¥60,590 million, and net income attributable to owners of the parent was ¥41,360 million. All exceeded the previous fiscal year. Revenue increased 9.5% year on year, operating income 10.4%, ordinary income 10.4%, and net income 9.9%. The operating margin also rose 0.5 percentage points, from 52.1% to 52.6%. Based on full-year results alone, the company maintained both growth and high profitability, supported by higher volumes in its core business and revised fees.

In the first quarter of FY2027, revenue was ¥31,256 million, operating income was ¥16,150 million, ordinary income was ¥16,348 million, and net income attributable to owners of the parent was ¥10,946 million. Compared with year-earlier revenue of ¥27,389 million, operating income of ¥14,708 million, and net income of ¥10,232 million, revenue increased 14.1%, operating income 9.8%, and net income approximately 7.0%. Revenue growth exceeded profit growth. The points to monitor are whether this gap widens through the first half or whether profit growth reaccelerates on fee income and high margins.

The full-year forecast was raised from revenue of ¥119,800 million and operating income of ¥61,000 million as announced in May to ¥121,800 million and ¥62,600 million, respectively, as of the first quarter. First-quarter progress against the full-year forecast was approximately 25.7% for revenue, 25.8% for operating income, and 25.7% for net income. These are simple progress rates that do not adjust for seasonality and do not mechanically imply a 50% first-half target. At the next results announcement, the company’s decision to formally maintain or revise this forecast should be assessed alongside volumes, fee rates, recycling market prices, and the breakdown of equipment costs.

In the comparable first half of FY2026, revenue was ¥53,979 million, operating income was ¥28,709 million, and interim net income attributable to owners of the parent was ¥19,951 million. The first test at the next first-half FY2027 results announcement will be whether these levels are exceeded. The company has disclosed forecasts only on a full-year basis, and has not disclosed a standalone first-half plan or how revenue and operating income are allocated by quarter. Accordingly, the absolute results and the amount of profit still required in the second half should be reviewed together.