First-quarter profit is ahead of the full-year plan, but the focus is on confirming sustainability in the first half

FY2027 Q1 revenue was ¥8,571 million, representing 26.5% progress against the full-year forecast of ¥32,400 million for the fiscal year ending March 2027. Operating profit was ¥885 million, or 32.8% of the full-year forecast of ¥2,700 million, putting progress 6.3 percentage points ahead of revenue. Ordinary profit was also ¥975 million, up 32.4% year on year.

Even compared with a simple equal quarterly allocation, Q1 revenue exceeded the ¥8,100 million equivalent to one-quarter of the full-year forecast by ¥471 million, while operating profit exceeded the ¥675 million quarterly equivalent by ¥210 million. The Q1 operating margin was 10.3%, 2.0 percentage points above the 8.3% margin in the full-year forecast. However, the company has not disclosed specific first-half revenue or operating profit forecasts, so it is not yet possible to determine whether Q1's head start will translate into an upside to the full-year results.

In the first half of FY2026, revenue was ¥15,739 million, operating profit was ¥1,402 million, and the operating margin was 8.9%. In the upcoming first half of FY2027, in addition to year-on-year comparisons for revenue and operating profit, we will monitor whether the Q1 operating margin of 10.3% is maintained and whether the forecasts of ¥32,400 million in full-year revenue and ¥2,700 million in operating profit remain unchanged. In particular, the key factors in assessing progress will be whether the impact of the price revisions continues into Q2 and whether the operating margin declines toward the full-year forecast level due to higher raw-material and energy costs.