Can the Q1 record high be replicated in FY2027-H1?

FY2027-Q1 revenue rose 9.7% year on year to ¥119,143 million, while operating profit increased 43.6% to ¥2,656 million. Ordinary profit was ¥3,790 million, and net income attributable to owners of the parent was ¥2,616 million, up 48.0% and 41.8% year on year, respectively. The earnings supplementary materials describe revenue and each profit measure as record highs. The defining feature of Q1 was therefore not simply greater revenue scale, but profit growth outpacing revenue growth.

The full-year forecasts remain ¥470,000 million for revenue, ¥9,200 million for operating profit, ¥11,400 million for ordinary profit and ¥8,500 million for net income, with no changes as of Q1. Q1 progress was 25.4% for revenue and 28.9% for operating profit, making ¥235,000 million in revenue and ¥4,600 million in operating profit the mechanical benchmarks for six months. However, these are not company targets that incorporate the seasonality of meat prices or year-end demand, so they should not be treated as confirming that the forecasts will be achieved. They are screening levels for assessing progress at the next results announcement.

In FY2026-H1, revenue was ¥220,081 million and operating profit was ¥2,884 million. At the next interim results, it will be important to confirm not only whether revenue growth continues, but also whether operating profit exceeds the year-earlier level and whether the operating margin improves from approximately 1.31% in the previous interim period. The Q1 earnings report does not disclose cash flow from operating activities or formal segment profit. At H1, in addition to profit progress, the cash flow, gross profit by product and the level of detail in the explanation of whether the full-year forecasts are maintained or revised will also need to be reviewed.