Additional profit must be generated in Q4 to meet the full-year plan

For the cumulative nine months of the fiscal year ending September 2026, revenue was ¥1,057 million, operating income was ¥586 million, ordinary income was ¥597 million and net income was ¥413 million. The full-year forecasts are ¥1,433 million, ¥779 million, ¥793 million and ¥543 million, respectively, representing simple progress rates of 73.8% for revenue, 75.2% for operating income, 75.3% for ordinary income and 76.1% for net income. At the nine-month mark, the profit items are slightly ahead of revenue in terms of progress toward the full-year forecasts.

The shortfall to the full-year plan is ¥376 million for revenue, ¥193 million for operating income, ¥196 million for ordinary income and ¥130 million for net income. Based on the cumulative nine-month results alone, the company is close to meeting its plan, but if Q4 results fall short of these remaining amounts, it will miss the plan for either revenue or profit. In particular, operating income must increase by a further ¥193 million, from ¥586 million for the cumulative nine months to ¥779 million for the full year.

Based on a simple calculation of the difference from the cumulative six-month results, standalone Q3 results were revenue of ¥342 million, operating income of ¥180 million, ordinary income of ¥182 million and net income of ¥126 million. Compared with these figures, Q4 will need to exceed standalone Q3 by approximately ¥34 million in revenue and ¥13 million in operating income. If Q4 revenue of ¥376 million and operating income of ¥193 million are achieved simultaneously, the standalone Q4 operating margin will be approximately 51.3%.

As of Q3, no standalone Q4 earnings forecast or quantitative explanation was available regarding which business factors would make up the remaining revenue and profit shortfall. At the next earnings announcement, key points to monitor will include whether full-year results reach the forecast figures of ¥1,433 million, ¥779 million, ¥793 million and ¥543 million, respectively, as well as the combination of Q4 revenue and operating income and the factors behind any variance from the plan.