Worth reading
47Recurring
0–100. This measures how worthwhile something is to read, not how good or bad the company is.Direction
Improvement
Direction inferred from the company’s description.Scale
42
¥ million (year-on-year increase in revenue)Wording
Conditional
How definitive the wording is.Contents of this document
Presentation materials on financial resultsFirst quarter of the fiscal year ending December 20268 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥400 million+11.9%
Operating profit¥-56 million operating loss
Ordinary income¥-61 million ordinary loss
Net income¥-62 million net loss
Gross Profit Margin62.9%
Selling, general and administrative expenses¥307 million
Results for the three months of the current quarterRevenue: ¥400 million; gross profit: ¥251 million; selling, general and administrative expenses: ¥307 million; operating loss: ¥56 million; ordinary loss: ¥61 million; net loss: ¥62 million
Full-year earnings forecast
Net Sales
¥2,096 million
Gross profit
¥1,406 million
Selling, general and administrative expenses
¥1,375 million
Operating profit
¥31 million
Ordinary income
¥4 million
Net income for the current fiscal year
¥2 million
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Progress is proceeding smoothly across all businesses. No change to the full-year earnings forecast, which calls for profitability.Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Growth in the LegalTech SaaS Business, lower revenue in the Registration Business, expansion of gross profit, and a quarter-on-quarter widening of the operating loss due to recruitment costs and other expenses. Amounts by factor: not disclosed
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
Seasonality of new ordersSoft in Q1, strong in Q2, and normal in Q3 and Q4
Timing of profitabilityExpected to become profitable from the Q3 accounting period
New initiatives
- Launch of OLGA AI Consulting
- Release of the generative-AI-native Benpal Document Drafting, Benpal Contract Review and Benpal AI Advisory Services
- Release of OLGA for Agentforce
- Expansion into new legal-procedure fields beyond registration
Key KPIsA metric the company considers important as a management benchmark.
- ARR¥899 millionYear on year against the same period last year+22.1%
- Average customer spend (monthly)¥127 thousandYear on year against the same period last year+29.8%
- Net Revenue Churn Rate0.83 %
- Cumulative number of customer companies using the service31,838 companiesYear on year against the same period last year+23.8%
- Number of high-spend customers589 companies
- Average customer spend among companies using multiple modules¥253 thousand
- Repeat purchaser ratioApproximately 30%
Unit price and quantity metricsThese figures show sales broken down by price and volume.
Average revenue per customer
¥127 thousand+29.8%
Average customer spend among companies using multiple modules
¥253 thousand
Number of service uses
3,761 Engagements-6.3%
Cumulative number of customer companies using the service
31,838 companies+23.8%
Segment results
LegalTech SaaS Business
Net Sales
¥234 million+24.5%
Registration Business
Net Sales
¥166 million-2.0%
Market Size / Share
Market Size
Broadly defined LegalTech marketLegal procedures: ¥699.7 billion; for business divisions: ¥415.5 billion; for legal departments, attorneys and law firms: ¥73.1 billion plus additional opportunity
Narrowly defined LegalTech market¥73.1 billion plus additional opportunity
| Item | Details |
|---|---|
| Document type | Presentation materials on financial results |
| Fiscal Period Covered | First quarter of the fiscal year ending December 2026 |
| Net Sales | ¥400 million (YoY +11.9%) |
| Operating profit | ¥-56 million (operating loss) |
| Ordinary income | ¥-61 million (ordinary loss) |
| Net income | ¥-62 million (net loss) |
| Gross Profit Margin | 62.9% |
| Selling, general and administrative expenses | ¥307 million |
| Results for the three months of the current quarter | Revenue: ¥400 million; gross profit: ¥251 million; selling, general and administrative expenses: ¥307 million; operating loss: ¥56 million; ordinary loss: ¥61 million; net loss: ¥62 million |
| Full-year earnings forecast | Net Sales ¥2,096 million / Gross profit ¥1,406 million / Selling, general and administrative expenses ¥1,375 million / Operating profit ¥31 million / Ordinary income ¥4 million / Net income for the current fiscal year ¥2 million |
| Self-assessment against the plan | Progress is proceeding smoothly across all businesses. No change to the full-year earnings forecast, which calls for profitability. |
| Segment results | LegalTech SaaS Business Net Sales ¥234 million (YoY +24.5%) / Profit Not disclosed / Registration Business Net Sales ¥166 million (YoY -2.0%) / Profit Not disclosed |
| Breakdown of Factors Affecting the Change | Growth in the LegalTech SaaS Business, lower revenue in the Registration Business, expansion of gross profit, and a quarter-on-quarter widening of the operating loss due to recruitment costs and other expenses. Amounts by factor: not disclosed |
| Key KPIs | Indicator name ARR / Value ¥899 million / Year on year against the same period last year ¥22.1 million, Indicator name Average customer spend (monthly) / Value ¥127 thousand / Year on year against the same period last year ¥29.8 thousand, Indicator name Net Revenue Churn Rate / Value 0.83 % / Year on year against the same period last year Not disclosed, Indicator name Cumulative number of customer companies using the service / Value 31,838 companies / Year on year against the same period last year 23.8 companies, Indicator name Number of high-spend customers / Value 589 companies / Year on year against the same period last year Not disclosed, Indicator name Average customer spend among companies using multiple modules / Value ¥253 thousand / Year on year against the same period last year Not disclosed, Indicator name Repeat purchaser ratio / Value Approximately 30% / Year on year against the same period last year Not disclosed |
| Unit price and quantity metrics | Average revenue per customer ¥127 thousand (YoY +29.8%) / Average customer spend among companies using multiple modules ¥253 thousand / Number of service uses 3,761 Engagements (YoY -6.3%) / Cumulative number of customer companies using the service 31,838 companies (YoY +23.8%) |
| Assumptions Underlying the Business Outlook | Seasonality of new orders Soft in Q1, strong in Q2, and normal in Q3 and Q4 / Timing of profitability Expected to become profitable from the Q3 accounting period |
| Market Size / Share | Market Size Broadly defined LegalTech market Legal procedures: ¥699.7 billion; for business divisions: ¥415.5 billion; for legal departments, attorneys and law firms: ¥73.1 billion plus additional opportunity / Narrowly defined LegalTech market ¥73.1 billion plus additional opportunity / Share Not disclosed |
| New initiatives | Launch of OLGA AI Consulting, Release of the generative-AI-native Benpal Document Drafting, Benpal Contract Review and Benpal AI Advisory Services, Release of OLGA for Agentforce, Expansion into new legal-procedure fields beyond registration |
Items this document does not state (13)
Operating profit marginProgress against full-year forecastNumber of stores and locationsNumber of employeesRisk amount incorporated into the outlookMedium-term management plan targetsFinancial targetsAnnual DividendPayout ratioAcquisition of treasury sharesCapital expendituresOrders received and order backlogKey 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.Growth in the LegalTech SaaS Business drove revenue, and the increase in revenue expanded gross profit. Compared with the previous quarter, the operating loss temporarily widened due to recruitment costs and other expenses associated with strengthening the workforce.
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.