JR East, JR Central and JR West each raised their full-year ordinary profit outlooks. The impact of the situation in the Middle East has remained within expectations, while domestic tourism demand and the recovery in inbound travel are supporting performance.
JR East raised its ordinary profit outlook by ¥25 billion from the previous forecast to ¥378 billion, JR Central raised it by ¥62 billion to ¥715 billion, and JR West raised it by ¥21 billion to ¥166 billion. The companies cited the recovery in domestic tourism demand and inbound travel, with the recovery in visitors from Europe, the US and Australia seen as a particular contributor.
Regarding the contribution from inbound travel, JR East Executive Officer Takashi Takaoka (高岡 崇) said demand from Europe, the US and Australia was very strong, covering the decline in visitors from China and other markets. JR Central and JR West reported higher transportation revenue against a backdrop of strong domestic demand, with levels running above those in fiscal 2025, when Expo 2025 Osaka, Kansai was held.
According to the status for April–September 2026 released on the 5th, JR East's revenue increased year on year, driven by fare revisions and increased usage. It reached a record high for an April–September period. JR Central and JR West reported higher revenue but lower profit due to the impact of rising costs, including labor costs. The impact of cost increases stemming from the situation in the Middle East was indicated to be within expectations.
The impact of the weaker yen was also noted, with analysis indicating that demand had shifted from overseas travel to domestic travel. While the view is that strong conditions will continue in the second half, the impact of continued inflation on passenger demand warrants attention.