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Financial Results Presentation2173Hakuten CorporationInformation and Communications, Services and Others

Financial Results Presentation for the First Quarter of the Fiscal Year Ending December 2026

In the first quarter of the fiscal year ending December 2026, revenue increased 13.5% year on year, while the gross profit margin and operating profit declined due to higher raw material prices and investments in growth and human resources. Operating profit fell 53.2% year on year to ¥138 million.

Worth reading
85Important
Scored from 5 of 6 sections
Direction
Mixed performance
Direction inferred from the company’s description.
Scale
-157
¥ millions (year-on-year change in operating income)
Wording
Conditional
How definitive the wording is.

Contents of this document

Financial Results PresentationFirst quarter of the fiscal year ending December 202612 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥4,811 million+13.5%
Operating profit¥138 million-53.2%
Net income¥101 million -47.3%profit attributable to owners of the parent
Gross Profit Margin28.7 %
Operating profit margin2.9 %
Results for the three months of the current quarter
PeriodJanuary–March 2026
Net Sales
¥4,811 million
Gross profit
¥1,383 million
Operating profit
¥138 million
Profit attributable to owners of parent for the quarter
¥101 million
Full-year earnings forecast
Net Sales
¥23,750 million
Operating profit
¥2,248 million
Profit attributable to owners of the parent
¥1,638 million
Progress against full-year forecast　通期の予想に対して、いまどこまで進んだかの割合です。
Net Sales20.3 %
Operating profit6.2 %
Profit attributable to owners of the parent6.2 %
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Revenue is tracking in line with the plan, but profit progress is low
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
  • FY2025 first-quarter operating profit¥296 million
  • Increase in gross profit from higher revenue (existing customers)¥157 million
  • Increase in gross profit from higher revenue (new and dormant customers)¥29 million
  • Decline in Gross Profit Margin¥-183 million
  • Growth Investment¥-21 million
  • Human resources investment (increase)¥-129 million
  • SG&A and other expenses¥-11 million
  • FY2026 first-quarter operating profit¥138 million
New initiatives
  • Joint development of the seaweed-based adhesive “LOOPGLUE”
    Detailswe+ and Cemedine are jointly developing a seaweed-based adhesive that can be peeled off with water, promoting resource circulation in the exhibition industry
Key KPIsA metric the company considers important as a management benchmark.
  • Gross profit¥1,383 million+0.2%
  • Orders received¥6,246 million+7.1%
  • Order backlog¥9,118 million+1.8%
  • Revenue from nominated orders¥2,435 million+8.1%
  • Revenue from resource-circulating events¥1,841 million-9.7%
  • Number of resource-circulating event projects83 Engagements-2.4%
  • Implementation rate for resource-circulating events41.7 %
  • Repeat customer conversion rate (number of customers)14.7 %
  • Repeat customer conversion rate (revenue)13.6 %
Segment results
  • Business unitTokyo metropolitan area and B2B marketing business
    Net Sales
    ¥1,236 million
    Year-on-year change in revenue
    ¥-135 million
    Gross profit
    ¥386 million
    Year-on-year change in gross profit
    ¥-49 million
    Gross Profit Margin
    31.2 %
  • Business unitTokyo metropolitan area and B2C marketing business
    Net Sales
    ¥1,720 million
    Year-on-year change in revenue
    ¥432 million
    Gross profit
    ¥418 million
    Year-on-year change in gross profit
    ¥11 million
    Gross Profit Margin
    24.3 %
  • Business unitChubu and western Japan business
    Net Sales
    ¥626 million
    Year-on-year change in revenue
    ¥184 million
    Gross profit
    ¥132 million
    Year-on-year change in gross profit
    ¥-2 million
    Gross Profit Margin
    21.2 %
  • Business unitNationwide and small- and medium-sized exhibitions business
    Net Sales
    ¥422 million
    Year-on-year change in revenue
    ¥108 million
    Gross profit
    ¥112 million
    Year-on-year change in gross profit
    ¥22 million
    Gross Profit Margin
    26.7 %
  • Business unitCommercial Environment Business
    Net Sales
    ¥405 million
    Year-on-year change in revenue
    ¥-29 million
    Gross profit
    ¥115 million
    Year-on-year change in gross profit
    ¥16 million
    Gross Profit Margin
    28.6 %
  • Business unitOther businesses and subsidiaries
    Net Sales
    ¥399 million
    Year-on-year change in revenue
    ¥11 million
    Gross profit
    ¥216 million
    Year-on-year change in gross profit
    ¥4 million
    Gross Profit Margin
    54.1 %
Medium-term management plan targets
Period CoveredFY2026-FY2028
FY2026
Net Sales23,750
Operating profit2,248
Profit attributable to owners of the parent1,638
FY2027
Net Sales27,650
Operating profit2,635
Profit attributable to owners of the parent1,855
FY2028
Net Sales31,000
Operating profit3,000
Profit attributable to owners of the parent2,080
Market Size / Share
Events
¥9,797 million
Advertising
¥80,623 million
Display
¥17,900 million
Experience Marketing sector
¥500 billion+
Orders received and order backlog
Orders received
¥6,246 million
Order backlog
¥9,118 million
Number of stores and locations
Number of locations at period end5 Location
Number of employees
586 People
Reference dateEnd of December 2025
Annual Dividend
Annual27 Yen forecast per share
Interim13 Yen forecast per share
End of period14 Yen forecast per share
Payout ratio
26.8 %
PolicyTarget payout ratio of approximately 30.0%
Contents of this document
ItemDetails
Document typeFinancial Results Presentation
Fiscal Period CoveredFirst quarter of the fiscal year ending December 2026
Net Sales¥4,811 million (YoY +13.5%)
Operating profit¥138 million (YoY -53.2%)
Net income¥101 million (profit attributable to owners of the parent) (YoY -47.3%)
Gross Profit Margin28.7 %
Operating profit margin2.9 %
Results for the three months of the current quarterPeriod January–March 2026 / Net Sales ¥4,811 million / Gross profit ¥1,383 million / Operating profit ¥138 million / Profit attributable to owners of parent for the quarter ¥101 million
Full-year earnings forecastNet Sales ¥23,750 million / Operating profit ¥2,248 million / Profit attributable to owners of the parent ¥1,638 million
Progress against full-year forecastNet Sales 20.3 % / Operating profit 6.2 % / Profit attributable to owners of the parent 6.2 %
Self-assessment against the planRevenue is tracking in line with the plan, but profit progress is low
Segment resultsBusiness unit Tokyo metropolitan area and B2B marketing business / Net Sales ¥1,236 million / Year-on-year change in revenue ¥-135 million / Gross profit ¥386 million / Year-on-year change in gross profit ¥-49 million / Gross Profit Margin 31.2 %, Business unit Tokyo metropolitan area and B2C marketing business / Net Sales ¥1,720 million / Year-on-year change in revenue ¥432 million / Gross profit ¥418 million / Year-on-year change in gross profit ¥11 million / Gross Profit Margin 24.3 %, Business unit Chubu and western Japan business / Net Sales ¥626 million / Year-on-year change in revenue ¥184 million / Gross profit ¥132 million / Year-on-year change in gross profit ¥-2 million / Gross Profit Margin 21.2 %, Business unit Nationwide and small- and medium-sized exhibitions business / Net Sales ¥422 million / Year-on-year change in revenue ¥108 million / Gross profit ¥112 million / Year-on-year change in gross profit ¥22 million / Gross Profit Margin 26.7 %, Business unit Commercial Environment Business / Net Sales ¥405 million / Year-on-year change in revenue ¥-29 million / Gross profit ¥115 million / Year-on-year change in gross profit ¥16 million / Gross Profit Margin 28.6 %, Business unit Other businesses and subsidiaries / Net Sales ¥399 million / Year-on-year change in revenue ¥11 million / Gross profit ¥216 million / Year-on-year change in gross profit ¥4 million / Gross Profit Margin 54.1 %
Breakdown of Factors Affecting the ChangeFY2025 first-quarter operating profit ¥296 million, Increase in gross profit from higher revenue (existing customers) ¥157 million, Increase in gross profit from higher revenue (new and dormant customers) ¥29 million, Decline in Gross Profit Margin ¥-183 million, Growth Investment ¥-21 million, Human resources investment (increase) ¥-129 million, SG&A and other expenses ¥-11 million, FY2026 first-quarter operating profit ¥138 million
Key KPIsGross profit ¥1,383 million (YoY +0.2%), Orders received ¥6,246 million (YoY +7.1%), Order backlog ¥9,118 million (YoY +1.8%), Revenue from nominated orders ¥2,435 million (YoY +8.1%), Revenue from resource-circulating events ¥1,841 million (YoY -9.7%), Number of resource-circulating event projects 83 Engagements (YoY -2.4%), Implementation rate for resource-circulating events 41.7 %, Repeat customer conversion rate (number of customers) 14.7 %, Repeat customer conversion rate (revenue) 13.6 %
Number of stores and locationsNumber of locations at period end 5 Location / Number of store openings and closures during the period Not disclosed
Number of employees586 People
Medium-term management plan targetsPeriod Covered FY2026-FY2028 / FY2026 Net Sales 23,750 / Operating profit 2,248 / Profit attributable to owners of the parent 1,638 / FY2027 Net Sales 27,650 / Operating profit 2,635 / Profit attributable to owners of the parent 1,855 / FY2028 Net Sales 31,000 / Operating profit 3,000 / Profit attributable to owners of the parent 2,080
Annual DividendAnnual 27 Yen (forecast per share) / Interim 13 Yen (forecast per share) / End of period 14 Yen (forecast per share)
Payout ratio26.8 %
Orders received and order backlogOrders received ¥6,246 million / Order backlog ¥9,118 million
Market Size / ShareEvents ¥9,797 million / Advertising ¥80,623 million / Display ¥17,900 million / Experience Marketing sector ¥500 billion+
New initiativesMeasures Joint development of the seaweed-based adhesive “LOOPGLUE” / Details we+ and Cemedine are jointly developing a seaweed-based adhesive that can be peeled off with water, promoting resource circulation in the exhibition industry
Items this document does not state (9)
Ordinary incomeSelling, general and administrative expensesUnit price and quantity metricsAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookFinancial targetsAcquisition of treasury sharesCapital expendituresKey points of the Q&A

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

The decline in the gross profit margin due to soaring raw material prices and other factors, front-loaded investment in human resources, a change in the accounting treatment of bonus provisions, and increases in growth investment, human resources investment, selling, general and administrative expenses and other costs aimed at future growth.

How to read this page

This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.
Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.
Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.
Financial Results Presentation for the First Quarter of the Fiscal Year Ending December 2026 | Hakuten Corporation (2173) timely disclosure | Komori