Interim-period profit progress significantly exceeds the full-year forecast

The cumulative figures for the interim period of the fiscal year ending November 2026 were revenue of ¥3,552.999 million, operating profit of ¥396.346 million, ordinary profit of ¥411.692 million and interim net profit of ¥534.863 million. Compared with the same period of the previous year, revenue increased 8.0%, operating profit 23.9%, ordinary profit 35.7% and net profit 43.9%, with all major profit levels increasing on a non-consolidated basis.

The full-year forecast remains unchanged at revenue of ¥6,800.0 million, operating profit of ¥330.0 million, ordinary profit of ¥320.0 million and net profit of ¥333.0 million. Interim-period progress was 52.2% for revenue, compared with 120.1% for operating profit, 128.7% for ordinary profit and 160.6% for net profit. Revenue was only slightly above the simple 50.0% benchmark based on half the fiscal year having elapsed, but profit had already exceeded the full-year forecasts, indicating a substantial lead in profit progress alone.

Simply subtracting the interim results from the full-year forecasts leaves required revenue of ¥3,247.001 million for the remaining 6 months. Operating profit had already exceeded the full-year forecast by ¥66.346 million at the interim period, meaning that, mathematically, the company could still reach the full-year forecast of ¥330.0 million even if cumulative operating profit for the remainder of the period were negative ¥66.346 million. Interim ordinary profit and net profit exceeded their full-year forecasts by ¥91.692 million and ¥201.863 million, respectively. In FY2026-Q3, it will be necessary to determine whether these gaps are attributable to seasonality or to conservative assumptions underlying the profit forecasts.

There was no revision to the latest earnings forecast in the interim results, and the full-year forecasts remained at revenue of ¥6,800.0 million and operating profit of ¥330.0 million. In FY2026-Q3, the focus will be not only on whether nine-month cumulative revenue reaches the mechanical 75.0% benchmark, but also on whether the company leaves its forecast unchanged or raises it while operating profit is already above ¥330.0 million. The explanation of factors behind changes in the earnings forecast was centered on qualitative factors such as economic conditions, prices and overseas developments, and no specific volume, pricing or cost assumptions supporting the lead in profit progress were disclosed.