Q1 growth is running ahead of the pace implied by the FY2027 full-year forecast, but H1 will be the point at which the sustainability of this strong progress can be assessed.

In Q1 of FY2027, the fiscal year ending March 2027, revenue was ¥7,383 million, operating profit was ¥756 million, ordinary profit was ¥788 million and net income attributable to owners of the parent was ¥459 million. Year on year, revenue increased 69.4%, operating profit 216.9%, ordinary profit 236.6% and net income 221.9%, marking substantial growth at every level of the income statement. The Q1 operating margin was approximately 10.2%, up approximately 4.8 percentage points from approximately 5.5% a year earlier.

The full-year forecasts are revenue of ¥26,870 million, operating profit of ¥2,000 million, ordinary profit of ¥1,992 million and net income attributable to owners of the parent of ¥1,219 million. Progress at the end of Q1 was 27.5% for revenue, 37.8% for operating profit, 39.6% for ordinary profit and 37.7% for net income, exceeding the simple quarterly elapsed rate of 25%. With profit progress ahead of revenue progress, the key points to assess in H1 will be whether operating profit exceeds ¥800 million, or 40% of the full-year forecast, and whether margin improvement continues.

However, the year-on-year comparison for Q1 includes the contribution of 道楽株式会社, which became a subsidiary on 1 February 2026, growth in the Other business and strong product sales by 株式会社ブルーム. The group's overall profit growth therefore cannot be treated as a direct measure of the earning power of its existing businesses. The disclosures provided qualitatively attribute the increases in revenue and profit to demand for prize games, new store openings, the consolidation of 道楽株式会社 and strong product sales by 株式会社ブルーム, but do not provide a quantitative breakdown by factor.

In the past full-year results, revenue and operating profit increased from ¥16,705 million and ¥1,295 million, respectively, in FY2025 to ¥20,730 million and ¥1,757 million in FY2026. The FY2027 forecast calls for further growth to ¥26,870 million in revenue and ¥2,000 million in operating profit, but the forecast operating profit growth rate is only 13.8%, compared with 29.6% revenue growth. In H1, it will be necessary to assess whether margins are declining despite continued revenue growth and whether the company can absorb the cost increases incorporated into the full-year forecast.