First-quarter results are around 25% of the full-year plan, but additional growth in the second quarter is needed to meet the first-half target

Revenue in the first quarter of the fiscal year ending February 2027 was ¥36.701 billion, up 0.3% year on year, while operating profit was ¥3.213 billion, up 11.2%. The full-year plan calls for revenue of ¥152.000 billion and operating profit of ¥13.000 billion, putting first-quarter progress at 24.1% for revenue and 24.7% for operating profit. Compared with a simple 25.0% quarterly run rate, revenue was 0.9 percentage points behind and operating profit was 0.3 percentage points behind.

Assuming the first-half plan is 50.0% of the full-year plan, the required first-half revenue is ¥76.000 billion and required operating profit is ¥6.500 billion. After deducting first-quarter results, the company needs standalone second-quarter revenue of ¥39.299 billion and operating profit of ¥3.287 billion. This represents an increase of approximately 7.1% in revenue and 2.3% in operating profit from first-quarter results, so the first-half results will need to confirm whether the second quarter brought an increase in revenue.

The full-year forecast for profit attributable to owners of the parent is ¥8.500 billion. First-quarter results were ¥2.268 billion, representing progress of 26.7%. On a simple 50.0% basis, the first-half benchmark is ¥4.250 billion, requiring ¥1.982 billion in the second quarter. However, a one-off reduction in income tax expense boosted first-quarter profit, so progress in operating profit and profit before tax should be assessed alongside net profit.

The company described first-quarter progress as “broadly as expected” and left unchanged its full-year forecasts of ¥152.000 billion in revenue and ¥13.000 billion in operating profit, as well as its annual dividend of ¥60. It did not disclose the specific assumptions or risk amounts incorporated into the full-year forecasts, or the amounts required from the second quarter onward. At the next results announcement, the points to confirm will be whether first-half results meet the 50.0% benchmark above, whether the full-year revenue or operating profit forecast is revised, and whether the company explains the required level for the remaining second half.