Revenue increased, but low EBIT progress means a recovery in the second half is needed to meet the full-year forecast

Revenue for April–June 2026 was ¥523,737 million, up 11.2% year on year. By contrast, EBIT, which the company identifies as a key indicator, was ¥12,703 million, down 72.1% year on year, while profit for the quarter attributable to owners of the parent fell 80.2% to ¥5,353 million. Revenue progress against the full-year forecast of ¥2,095,000 million was 25.0%, but EBIT progress against the ¥180,000 million forecast was only 7.1%.

The full-year forecasts were ¥2,095,000 million for revenue, ¥180,000 million for EBIT and ¥110,000 million for profit attributable to owners of the parent, none of which was revised as of the first quarter. The EBIT forecast is 17.4% below the previous fiscal year's actual result, while the forecast for net profit is down 20.1%, indicating that the company's plan assumes lower earnings. A simple half-year allocation would imply FY2027-H1 benchmarks of ¥1,047,500 million for revenue and ¥90,000 million for EBIT. However, these figures should be treated as progress benchmarks rather than company forecasts, given the seasonality of the airline business.

At the next earnings release, cumulative revenue, EBIT, profit before tax and profit attributable to owners of the parent through 30 September, as well as second-quarter standalone profit, should be reviewed. Even if revenue remains on plan, the basis for maintaining the full-year forecast will weaken if EBIT does not improve from ¥12,703 million in the first quarter. The factors affecting first-half earnings progress, including fuel costs, foreign exchange, passenger yields and segment-level profit, should be reviewed together with any changes to the assumptions underlying the full-year forecast.