Full-year forecast raised on contribution from large projects; Q4 closing and execution in focus

For the nine months ended FY2026 September, net sales were ¥20,641 million, operating profit was ¥8,109 million, profit before tax was ¥8,257 million, and profit attributable to owners of the parent was ¥6,208 million. These figures increased 26.9%, 39.9%, 42.1% and 43.7%, respectively, from the same period a year earlier. In addition to an increase in the number of closings, high-value large projects contributed to the results. Operating profit growth outpaced net sales growth, another feature of the earnings increase.

The full-year forecast was raised from net sales of ¥26,991 million and operating profit of ¥10,280 million at Q2 to ¥28,328 million and ¥10,891 million, respectively, at Q3. The increases were ¥1,337 million for net sales and ¥611 million for operating profit. The company cited a sufficient project pipeline and projects expected to close in Q4 as the reasons for the revision. Nine-month progress was 72.9% for net sales and 74.5% for operating profit, close to the simple nine-month elapsed-period rate of 75%.

The full-year forecast for the number of closings was lowered from 298 at Q2 to 282, while the forecast for large projects was raised from 63 to 66. The nine-month results were 201 consolidated closings and 45 large projects, leaving 81 closings and 21 large projects required in Q4 to meet the full-year plan. The scenario has shifted from simply pursuing the overall number of closings to achieving the earnings plan by increasing the proportion of large projects.

At the next results announcement, we want to confirm how many closings were actually completed in Q4, particularly how much of the planned remainder of 21 large projects was completed. We also need to assess whether projects were carried forward into the next fiscal year because of timing shifts, whether the forecasts of ¥28,328 million in full-year net sales and ¥10,891 million in operating profit were achieved, and, if they were exceeded, whether the driver was the number of projects, large projects or project value.