Revenue is broadly on track for the full-year forecast, but operating profit needs to catch up in H1

Revenue in the first quarter of the fiscal year ending March 2027 was ¥8,434 million, while operating profit was ¥287 million. Against the full-year forecast of ¥38,103 million in revenue and ¥2,029 million in operating profit, first-quarter progress was 22.1% for revenue and 14.1% for operating profit. Compared with the simple time-based ratio of 25% after three months, revenue was broadly on track, while operating profit was significantly behind. The fact that profit progress was 8.0 percentage points below revenue progress against the full-year forecast is the first point to verify in the H1 results.

Year on year, operating profit fell 10.2% to ¥287 million, ordinary profit fell 10.3% to ¥356 million, and net profit attributable to owners of the parent fell 17.1% to ¥105 million, despite a 4.6% increase in revenue. The operating margin was approximately 3.4% in the quarter, down around 0.6 percentage points from approximately 4.0% a year earlier. The company cited increased handling and operating volumes for air cargo, construction machinery, steelmaking-related products and steel pipe materials, but has not disclosed the revenue contribution, pricing or cost increase associated with each growth factor.

By segment, the logistics business generated revenue of ¥5,928 million, up 7.5% year on year, and profit of ¥701 million, up 12.6%. The real estate business generated revenue of ¥866 million, down 1.5%, but profit increased 1.6% to ¥458 million. The printing business, meanwhile, generated revenue of ¥1,905 million, down 1.4%, and posted an operating loss of ¥310 million. The profit increases in logistics and real estate were not sufficient to offset the printing business's loss or the decline in the overall margin, so H1 needs to confirm both the continuation of logistics profit growth and a reduction in the printing loss.

FY2026 actual revenue was ¥39,123 million and operating profit was ¥2,582 million, compared with the FY2027 company forecasts of ¥38,103 million in revenue, down 2.6%, and ¥2,029 million in operating profit, down 21.4%, with net profit forecast to fall 29.7% to ¥1,252 million. H1 revenue of ¥19,052 million and operating profit of ¥1,015 million are not the company's plan itself, since seasonality has not been disclosed, but simply benchmarks obtained by halving the full-year forecasts. Even so, if H1 operating profit falls well below these benchmarks, the likelihood of achieving the unchanged full-year forecast and the extent of profit recovery required in H2 will need to be reassessed.