FY2027 year ending March: revenue and profit growth plan appears broadly on track, with the next interim results providing the check

Revenue for the first quarter of FY2027 ending March was ¥12.514 billion, operating profit was ¥1.557 billion, ordinary profit was ¥1.569 billion, and profit attributable to owners of the parent was ¥1.019 billion. Year on year, revenue increased 8.2%, operating profit 25.2%, ordinary profit 22.7% and net profit 13.9%, indicating growth in both the top line and operating-level earnings.

The full-year forecast is ¥53.8 billion in revenue, ¥7.23 billion in operating profit, ¥7.38 billion in ordinary profit and ¥4.81 billion in net profit, with the earnings release showing no revision to the most recent forecast. First-quarter progress was 23.3% for revenue, 21.5% for operating profit and 21.2% for net profit, slightly below the 25% implied by the passage of one quarter. However, the shortfalls for revenue and operating profit were limited to approximately 1.7 and 3.5 percentage points, respectively, making it difficult to conclude at this stage that performance has deviated materially from plan.

For the next FY2027 first-half results, the mechanical benchmarks are revenue of ¥26.9 billion, operating profit of ¥3.615 billion and net profit of ¥2.405 billion. These are simple reference points that do not account for seasonality and are not interim forecasts provided by the company. In practice, the second quarter’s ERP product sales, software usage-fee revenue and the extent to which higher costs are absorbed will need to be reviewed together before judging whether the unchanged full-year forecast remains appropriate.