First-quarter profit is ahead of plan, but the full-year forecast is unchanged, making the first half the next key checkpoint

Revenue for April-June 2026 was ¥74,126 million, up 7.4% year on year, while operating profit was ¥14,362 million, up 40.7%. Ordinary profit was ¥13,552 million and net income attributable to owners of the parent was ¥8,418 million, up 36.9% and 34.4%, respectively, from the same period a year earlier. The operating margin calculated from revenue and operating profit was 19.4%, approximately 4.6 percentage points higher than the 14.8% recorded in the same period a year earlier, although the operating margin itself was not disclosed in the earnings summary.

First-quarter progress against the full-year plan was approximately 25.0% for revenue, 31.5% for operating profit and 34.8% for net income. Revenue was broadly in line with the proportion of the fiscal year elapsed, while profit was ahead. Using 50% of the full-year plan as a simple first-half benchmark, the next cumulative second-quarter results would be compared against revenue of ¥148,350 million, operating profit of ¥22,800 million and net income of ¥12,100 million. However, the seasonality of airport usage and duty-free sales has not been sufficiently quantified in the disclosed materials. Accordingly, 50% should not be treated as a mechanical target, and it will also be necessary to review how the company explains its first-half plan and seasonality.

The company cited higher passenger numbers and strong duty-free store sales driven by the weaker yen as factors behind the revenue increase, while also explaining that repair and utility costs had risen. It did not, however, provide a monetary bridge by cost increase or revenue growth factor. At the next results announcement, it will be important to determine how the ¥14,362 million in operating profit was affected by sales volume, the foreign-exchange effect on duty-free sales, price revisions and cost controls, and whether the operating margin, which rose to 19.4% in the first quarter, was temporary.

The full-year forecasts are revenue of ¥296,700 million, operating profit of ¥45,600 million, ordinary profit of ¥45,800 million and net income of ¥24,200 million. The plan calls for revenue to rise 2.4% year on year, operating profit to rise 1.2% and net income to fall 17.0%. Despite first-quarter operating profit rising 40.7% and net income rising 34.4%, the forecasts were not revised. This may indicate that the company anticipates higher costs or profit normalization in the second half, but the specific assumptions have not been disclosed. The next results announcement should clarify why the forecasts were maintained and how much headroom remains in the full-year plan based on first-half performance.