3Q cumulative operating profit already exceeds the full-year forecast after the upward revision

For the 3Q cumulative period of FY2026, revenue was ¥8,879 million, operating profit was ¥2,606 million, ordinary profit was ¥2,731 million and net income attributable to owners of the parent was ¥1,872 million. Meanwhile, the revised full-year forecast announced on 21 October was revenue of ¥11,520 million, operating profit of ¥2,600 million and net income of ¥1,735 million. On a simple calculation, 3Q cumulative progress against the full-year forecast was 77.1% for revenue, 100.2% for operating profit and 107.9% for net income.

The pre-revision full-year forecast was revenue of ¥10,000 million, operating profit of ¥1,950 million and net income of ¥1,400 million, representing revisions of 15.2%, 33.3% and 23.9%, respectively. Reaching the revised revenue forecast requires an additional ¥2,641 million of revenue in 4Q, while 3Q cumulative operating profit and net income already exceed the full-year forecasts. This combination suggests a structure in which revenue builds in 4Q while profit does not increase materially, or in which expenses and losses have been incorporated into the forecast.

However, the simple calculation that 4Q operating profit would be negative ¥6 million and net income negative ¥137 million does not mean that the company disclosed a standalone 4Q forecast. The impact of bringing forward revenue recognition for periodic inspection work and additional orders may have been concentrated through 3Q. The next results should therefore be examined for actual 4Q revenue, operating profit, extraordinary income and losses, and the timing of recognition by project. The key test is not only whether revenue reached ¥11,520 million, but also how far operating profit exceeded ¥2,600 million and whether the earnings level as of 3Q was non-recurring.