First-quarter revenue and profit increased, but profit was lower year on year in every segment

In the first quarter from April to June 2026, consolidated revenue rose 5.2% year on year to ¥167.545 billion, while operating profit increased 6.9% to ¥7.710 billion. The company's FY2027 full-year forecasts are revenue of ¥700 billion and operating profit of ¥40 billion, making first-quarter progress 23.9% for revenue and 19.3% for operating profit. Revenue is broadly in line with the 25% share of the fiscal year elapsed, while operating profit is somewhat behind.

By segment, Medical generated revenue of ¥111.935 billion and segment profit of ¥9.850 billion. Revenue increased 6.2%, but profit declined 4.5%. Pharmaceuticals generated revenue of ¥40.684 billion and segment profit of ¥3.737 billion. Revenue rose 1.8%, while profit fell 6.9%. Pharma Packaging generated revenue of ¥14.419 billion and segment profit of ¥142 million. Revenue increased 7.5%, while profit declined 4.5%. Other generated revenue of ¥247 million and profit of ¥16 million, with profit down 86.2%.

The simple total of profit from the 4 segments is ¥13.745 billion, compared with consolidated operating profit of ¥7.710 billion. Segment profit includes corporate expenses and intersegment eliminations, so the figures cannot be compared directly. However, the first-quarter summary results did not provide a monetary bridge by adjustment item linking the decline in profit across the segments with the increase in consolidated operating profit. Whether the improvement in operating profit genuinely reflects better business profitability, or instead corporate expenses, eliminations or one-off factors, should be confirmed in the first-half disclosure.

In FY2026, the previous full fiscal year, Medical posted revenue of ¥523.615 billion and segment profit of ¥52.338 billion, with both revenue and profit increasing. Pharmaceuticals also reported increases in revenue and profit, with revenue of ¥81.107 billion and profit of ¥12.096 billion. In the first quarter this time, revenue growth continued, but segment profit declined across all businesses, indicating that the improvement in profit margins has paused. In FY2027 H1, particular attention should be paid not only to whether revenue reaches ¥350 billion and operating profit ¥20 billion, or 50% of the full-year forecasts, but also to whether segment profit in Medical and Pharmaceuticals returns to year-on-year growth.