Post-revision first-half figures require a recovery in second-quarter deliveries

In FY2027 Q1, revenue was ¥785 million, operating loss was ¥219 million, ordinary loss was ¥216 million and net loss attributable to owners of the parent was ¥197 million. Revenue fell 41.0% year on year, while operating loss widened from ¥50 million in the year-earlier quarter to ¥219 million. First-quarter revenue alone represented only approximately 8.9% of the full-year forecast of ¥8,800 million.

In the first-half earnings revision announced on 16 October, the FY2027-H1 revenue forecast was cut by ¥1,130 million, or approximately 32.3%, from the previous forecast of ¥3,500 million to ¥2,370 million. The ordinary profit forecast was revised from a profit of ¥77 million to a loss of ¥197 million, while the operating loss forecast was set at ¥199 million and the net loss forecast at ¥203 million. The main reason was that some scheduled projects were postponed to the second quarter or later. The key issue is how much of the shortfall reflects a timing shift in revenue recognition rather than a loss of demand.

A mechanical calculation based on the disclosed figures shows that, to achieve first-half revenue of ¥2,370 million, the company would need to recognize ¥1,585 million in second-quarter revenue in addition to first-quarter revenue of ¥785 million. Against a first-half operating loss of ¥199 million, compared with the first-quarter operating loss of ¥219 million, the second quarter alone would need to generate approximately ¥20 million in operating profit. Similarly, the calculation implies ordinary profit of approximately ¥19 million and a net loss limited to approximately ¥6 million. These are verification thresholds calculated from the previously disclosed revised first-half figures, not new company guidance.

In the first quarter, the vacuum technology application equipment business generated revenue of ¥279 million and a segment loss of ¥57 million, while the services business generated revenue of ¥506 million and segment profit of ¥104 million. Accordingly, when assessing the first-half outcome, it will be necessary to determine whether postponed equipment projects were actually delivered and recognized as revenue in the second quarter, as well as how much of the equipment business's loss was absorbed by the services business's profit. As of now, the company has not disclosed the value of postponed projects, project-level delivery schedules or the first-half plan by segment.