Q1 FY2027 Financial Results for the Fiscal Year Ending March 2027 (Japan GAAP, Consolidated)

Business performance overview

For the cumulative first quarter, net sales were 6,668,685 thousand yen, up 93.0% year over year. Operating income improved significantly to 240,560 thousand yen (about 3x YoY), and ordinary income expanded steadily to 196,013 thousand yen. On the other hand, net loss attributable to owners of the parent for the quarter amounted to 1,299,139 thousand yen. By segment, Construction & Civil Engineering accounted for the largest sales, up 107.2% YoY. Staffing grew steadily due to strong demand for dispatch services. Consulting, System Development, and Other segments overall surpassed the previous year. Consequently, total assets stood at 16,061,769 thousand yen, and net assets were 1,828,280 thousand yen.

Outlook and points of focus

The earnings forecast for the consolidated results for the fiscal year ending March 2027 remains unchanged from the previous disclosure. The continued emphasis will be on topline growth and segment-specific growth strategies. For Consulting, System Development, Staffing, and Construction & Civil Engineering segments, productivity improvements and DX-driven efficiency improvements may contribute to future profits. On the financial side, progress toward narrowing the quarterly net loss and achieving a return to profit will be key. An earnings briefing is planned.