A strong start to Q1, but confidence in reaching the full-year plan will be reassessed at the interim stage

In the first quarter, covering April through June 2026, revenue was ¥17,622.389 million, operating income was ¥1,076.888 million, ordinary income was ¥1,173.692 million and net income attributable to owners of the parent was ¥741.391 million. Year on year, revenue rose 15.5%, operating income 34.6%, ordinary income 22.2% and net income 49.4%, with operating income and net income growing faster than the top line.

The full-year plan calls for revenue of ¥77,000 million, operating income of ¥7,700 million, net income attributable to owners of the parent of ¥5,300 million and earnings per share of ¥291.54. Comparing first-quarter results with the full-year forecasts on a simple basis, revenue was at 22.9% of forecast, operating income at 14.0% and net income attributable to owners of the parent also at 14.0%. As quarterly seasonality and the timing of project deliveries have not been disclosed, these progress rates alone cannot determine whether the full-year plan will be exceeded or missed.

At the next interim results announcement, the mechanical 50% benchmarks will be ¥38,500 million for revenue, ¥3,850 million for operating income and ¥2,650 million for net income attributable to owners of the parent. These are not forecasts, but merely comparison benchmarks calculated by dividing the full-year plans in half. It will be necessary to confirm, based on both revenue and segment profit, which of the amusement machinery, stage equipment and elevators segments drove the first-half accumulation.

As of the first quarter, the company had not revised the full-year earnings forecasts announced on 13 May 2026. Accordingly, the focus for the first half is not simply whether revenue and profit growth continues, but whether new figures for orders and order backlog are disclosed, whether project progress is reported, and whether the company can approach its ¥7,700 million operating income target while sustaining the improvement in operating margin. Even if the forecasts remain unchanged at the interim results announcement, it will be important to see whether the explanation of the order and profitability assumptions underpinning them becomes more detailed.