Profit is running ahead of plan in the first half, with the focus in Q3 on whether the required second-half amounts can be achieved

Consolidated revenue in the first half was ¥1,965 million, up 8.2% year on year; operating profit was ¥105 million, up 167.8%; ordinary profit was ¥110 million, up 158.6%; and interim net profit attributable to owners of the parent was ¥78 million, up 80.8%. The full-year forecasts are revenue of ¥4,000 million, operating profit of ¥200 million, ordinary profit of ¥200 million and net profit of ¥140 million, putting first-half progress at 49.1%, 52.5%, 55.0% and 55.7%, respectively. The fact that profit is progressing ahead of revenue is the first point to verify in FY2026-Q3.

After deducting first-half results from the full-year forecasts, the amounts required in the second half are revenue of ¥2,035 million, operating profit of ¥95 million, ordinary profit of ¥90 million and net profit of ¥62 million. Based simply on the proportion of the fiscal year elapsed, the cumulative 9M benchmarks are revenue of ¥3,000 million, operating profit of ¥150 million, ordinary profit of ¥150 million and net profit of ¥105 million, although the company has not quantified seasonality. Accordingly, performance should not be judged solely against the simple 75% benchmark; the extent to which new contracts, EMIS-related revenue, inbound demand and the effects of price revisions were reflected in Q3 must also be assessed.

Factors behind the first-half profit growth included assistance services attached to overseas travel insurance contracted from a major overseas non-life insurer, the Ministry of Health, Labour and Welfare’s EMIS service business, revised contract fees for corporate customers and increased orders for inbound assistance. However, the earnings materials do not break out the contribution from each factor or the amount of revenue recorded from new contracts. In Q3, we will assess whether revenue growth resulted from one-off contract recognition or is recurring, driven by higher unit prices for existing contracts and an increase in customer numbers.

Public information states that the next earnings release is scheduled for 12 November 2026. At the earnings release, it will be necessary to assess not only whether the full-year forecasts have been revised, but also whether the strong profit progress seen through the first half is continuing in the second half or was concentrated in the first half, using both cumulative operating profit and segment-level profit.