Q1 volume growth is running ahead of plan toward FY2027-H1

FY2027-Q1 revenue was ¥43,961 million, up 25.4% year on year, while operating profit was ¥5,562 million, up 28.4%. Ordinary profit was ¥5,418 million and net income attributable to owners of the parent was ¥3,678 million, up 29.0% and 28.7%, respectively. Sales also increased 20.5% year on year to 2,381 units, indicating that volume growth, rather than higher unit prices alone, was the main driver of the increase in revenue.

The full-year plan remains unchanged at revenue of ¥177,400 million, operating profit of ¥21,000 million, ordinary profit of ¥20,000 million and net income of ¥14,000 million. Q1 progress was 24.8% for revenue, 26.5% for operating profit, 27.1% for ordinary profit and 26.3% for net income. Compared with the 25% share of the fiscal year elapsed, the profit metrics are slightly ahead. However, housing sales revenue is recognized upon delivery, making results susceptible to the timing of deliveries of contracted properties and seasonal sales trends. Full-year performance should not be assessed based solely on simple quarterly apportionment.

In the previous interim period, revenue was ¥72,415 million and sales were 4,064 units. In the interim period two years earlier, revenue was ¥64,010 million and sales were 3,676 units. Although FY2027-Q1 results exceeded the year-earlier period, the company has not provided an independent first-half forecast for FY2027-H1 revenue or sales. At the next results announcement, it will be necessary to check whether cumulative first-half sales exceed 4,064 units and revenue exceeds ¥72,415 million, and whether additional disclosure is provided by region and sales channel.

Purchases totaled 2,722 units, up 25.8% year on year, outpacing sales growth. This can be viewed as growth investment to secure inventory for future sales, but if conversion into sales is delayed, inventories and funding requirements could increase. In FY2027-H1, the key checks will be whether sales growth is catching up with purchase growth and whether the increase in saleable inventory is translating into actual deliveries, assessed across three metrics: volume, revenue and inventory turnover.