Recovery in orders after the cyber incident and resumption of full-year guidance are the key issues for FY2027-H1

On 13 October 2026, the company disclosed a system outage and the possibility that personal data had been leaked as a result of a cyberattack. On 29 October, the FY2027 full-year earnings forecast was changed to undetermined. Although orders have continued through delivery channels, the company has decided to withhold guidance until it can scrutinise the restoration of the official website and order trends and calculate a reasonable earnings impact. Accordingly, the focus of the next results announcement will not simply be the final level of earnings, but the extent to which the restoration of ordering infrastructure has restored sales and profits.

Before the outage, in the first quarter of the fiscal year ending March 2027, revenue was ¥5,085 million, down 2.7% year on year, operating loss was ¥35 million, ordinary loss was ¥3 million, and net loss attributable to owners of the parent was ¥20 million. At that point, the company had newly disclosed full-year forecasts of revenue of ¥23,323 million, operating income of ¥753 million, ordinary income of ¥742 million and net income of ¥392 million, but these figures can no longer be treated as current guidance after 29 October. In the FY2027-H1 disclosure, it will be necessary to distinguish between the latest assumptions and whether guidance is available, rather than focusing on variances from the previous forecast while incorporating the cyber incident.

In FY2026-H1, revenue was ¥10,929 million, operating income was ¥232 million, ordinary income was ¥194 million and interim net income attributable to owners of the parent was ¥82 million. In the next interim results, in addition to checking whether revenue can be maintained at this level, it will be necessary to assess whether operating income returns to profitability and the extent of any sales deferrals or cancellations caused by the suspension and restoration of ordering channels. It will be important to show separately the first-quarter results before the outage and the standalone second-quarter results, including the period after the outage, rather than relying solely on year-on-year comparisons.

Given that the company has indicated the possibility of a personal data breach, it will also be necessary to check not only the impact on earnings, but also investigation costs, system restoration costs, customer-support costs, and whether compensation or provisions have been recognised. The latest first-quarter earnings release indicated an annual dividend of ¥15, so the H1 results will be monitored for simultaneous disclosure of the maintained dividend forecast and the order recovery and system stabilisation needed to resume full-year guidance.