Revenue is on plan, but achieving the profit targets is concentrated in the fourth quarter

For the nine months of the fiscal year ending August 2026, revenue was ¥332,320 million, operating profit was ¥25,233 million, ordinary profit was ¥23,728 million and net profit attributable to owners of the parent was ¥12,919 million. The full-year forecasts are ¥424,000 million, ¥33,500 million, ¥32,200 million and ¥18,500 million, respectively, representing progress of 78.4% for revenue, 75.3% for operating profit, 73.7% for ordinary profit and 69.8% for net profit. Revenue is ahead of the 75% of the fiscal year that has elapsed, while net profit is below 70%.

Subtracting nine-month actual results from the full-year forecasts leaves required fourth-quarter amounts of ¥91,680 million for revenue, ¥8,267 million for operating profit, ¥8,472 million for ordinary profit and ¥5,581 million for net profit. Fourth-quarter results in the previous fiscal year were revenue of ¥106,970 million, operating profit of ¥7,365 million, ordinary profit of ¥6,948 million and net profit of ¥4,828 million. On a simple comparison, the plan can be achieved even with a 14.3% year-on-year decline in fourth-quarter revenue, but operating profit would need to increase 12.2%, ordinary profit 21.9% and net profit 15.6%.

Progress against the full-year forecast also differs by segment. The earnings presentation shows revenue and operating profit progress of 79% and 81% for Content Distribution, 79% and 80% for Store and Facility Solutions, 77% and 56% for Communications and Energy, and 78% and 126% for Finance, Real Estate and Global. Revenue is considered on track across all segments, while operating profit progress in Communications and Energy remains at 56%, with the 126% progress in Finance, Real Estate and Global offsetting the shortfall.

At the next earnings announcement, we will examine by segment whether the residual targets of ¥8,267 million for fourth-quarter operating profit, ¥8,472 million for ordinary profit and ¥5,581 million for net profit were actually exceeded. Key points will be how far operating profit in Communications and Energy recovered against the full-year forecast, whether the upside in Finance, Real Estate and Global was temporary or recurring, and whether the full-year operating profit forecast of ¥33,500 million was maintained or revised.