FY2027 company plan calls for higher revenue and ordinary profit, while operating profit is expected to remain broadly flat

FY2026 actuals were revenue of ¥2,521.604 million, operating profit of ¥276.961 million, ordinary profit of ¥243.097 million and net profit attributable to owners of the parent of ¥129.565 million. By comparison, the FY2027 company plan calls for revenue of ¥2,540 million, operating profit of ¥276 million, ordinary profit of ¥250 million and net profit of ¥140 million. The combination is revenue growth of 0.7%, a 0.3% decline in operating profit, 2.8% growth in ordinary profit and 8.1% growth in net profit, indicating a plan that depends more on improvements in non-operating income and expenses and bottom-line earnings than on top-line expansion.

FY2026-Q1 results were revenue of ¥621 million, operating profit of ¥52 million, ordinary profit of ¥76 million and net profit of ¥36 million. Based on a simple equal quarterly allocation, FY2027-Q1 reference levels would be revenue of ¥635 million, operating profit of ¥69 million, ordinary profit of ¥62.5 million and net profit of ¥35 million. However, the company has not indicated quarterly seasonality, so mechanical judgments on progress should be avoided. We will review year-on-year changes alongside progress against the full-year plan.

The key point to verify is whether higher revenue can absorb increases in recruitment and sales promotion expenses. In FY2026, revenue rose 1.8% year on year, while operating profit fell 4.9%, and operating profit is also expected to remain broadly flat at ¥276 million under the FY2027 plan. In the FY2027-Q1 results, we will check whether the company discloses the amounts of recruitment and sales promotion expenses, the operating margin, whether the full-year plan is maintained or revised, and whether the improvement in ordinary profit is attributable to non-operating factors.