Worth reading
66In focus
0–100. This measures how worthwhile something is to read, not how good or bad the company is.Direction
Mixed performance
Direction inferred from the company’s description.Scale
422
¥ million (year-on-year increase in revenue)Wording
Conditional
How definitive the wording is.Contents of this document
Presentation materials for financial resultsFiscal year ending February 2027, second quarter10 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥5,297 million+9.0%
Operating profit¥-74 million
Ordinary income¥32 million
Net income¥-55 million
Results for the three months of the current quarter
Net Sales
¥2,757 million+25.0%
Ordinary income
¥153 million
Full-year earnings forecast
Net Sales
¥11,000 million
Adjusted EBITDA
¥1,000 million
Ordinary income
¥300 million
Profit attributable to owners of parent
¥150 million
AI & Cloud revenue
¥3,160 million
AI & Cloud segment profit
¥391 million
IoT & Devices revenue
¥4,620 million
IoT & Devices underlying segment profit
¥106 million
Life Design revenue
¥3,620 million
Life Design segment profit
¥282 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 Sales48 %
Adjusted EBITDA41 %
AI & Cloud revenue44 %
AI & Cloud segment profit20 %
IoT & Devices revenue48 %
IoT & Devices underlying segment profit129 %
Life Design revenue49 %
Life Design segment profit18 %
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
First-half results exceeded planBreakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
- Profit growth due to higher SaaS revenue, etc.¥13 million
- Profit increase due to cost reductions, etc.¥18 million
- Increase in SG&A expenses due to the establishment of the Changsha development center, etc.¥-11 million
- Consumer business profit growth driven by strong console business performance¥104 million
- Improved profitability of HealthTech and other early-stage investment businesses¥52 million
- Greater efficiency in group operating expenses¥36 million
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
- Component procurement environment
- Exchange-rate trends
- Yuan remains elevated
- Higher prices for components, including semiconductor memory
New initiatives
- Addition of DeepReads mode, a new feature of the AI agent service "OfficeAI Employee"
- Launch of an FDE-style hands-on support service in the AI field
- Adding value to products, including equipping tablets with 8Way Audio
- Release of the Steam version of "Culdcept Begins"
- Rollout of the "Crayon Shin-chan" game series for Nintendo Switch 2
- Continued discussions with JPYC in the payments field
- Enhancement of AI features in the HRTech recruitment support service
- Development of a plug-in for 8Way Audio sound creators
Key KPIsA metric the company considers important as a management benchmark.
- ROE▲1.0Year on year against the same period last year+2.4p
- Cumulative console game units shipped100,000 bottles
- Kids service app downloads100,000 DL
- Trial members' conversion rate to paid memberships50%–60%
- Paid membership retention rate80%–90%
- OfficeAI Employee DeepReads mode accuracy rate88 %
Segment results
AI & Cloud
Net Sales
¥1,401 million+5.0%
Segment profit
¥79 million+13.0%
IoT & Devices
Net Sales
¥2,213 million-9.0%
Underlying segment profit
¥137 million+7.0%
Life Design
Net Sales
¥1,773 million+46.0%
Segment profit
¥50 million+156.0%
Medium-term management plan targets
The medium-term management plan targeting the fiscal year ending February 2028 will be rolled forward and is scheduled for publication around December 2026. Numerical targets: Not disclosedFinancial targets
ROE
FY2026 forecast2.5 %
Equity ratio
End of the current fiscal period60.3 %
Number of employees
Number of Employees501 People
Record dateEnd of August 2026
Annual Dividend
Annual dividend per share¥5
Interim¥2
End of period¥3
Period-end (forecast)Yes
| Item | Details |
|---|---|
| Document type | Presentation materials for financial results |
| Fiscal Period Covered | Fiscal year ending February 2027, second quarter |
| Net Sales | ¥5,297 million (YoY +9.0%) |
| Operating profit | ¥-74 million |
| Ordinary income | ¥32 million |
| Net income | ¥-55 million |
| Results for the three months of the current quarter | Net Sales ¥2,757 million (YoY +25.0%) / Ordinary income ¥153 million |
| Full-year earnings forecast | Net Sales ¥11,000 million / Adjusted EBITDA ¥1,000 million / Ordinary income ¥300 million / Profit attributable to owners of parent ¥150 million / AI & Cloud revenue ¥3,160 million / AI & Cloud segment profit ¥391 million / IoT & Devices revenue ¥4,620 million / IoT & Devices underlying segment profit ¥106 million / Life Design revenue ¥3,620 million / Life Design segment profit ¥282 million |
| Progress against full-year forecast | Net Sales 48 % / Adjusted EBITDA 41 % / AI & Cloud revenue 44 % / AI & Cloud segment profit 20 % / IoT & Devices revenue 48 % / IoT & Devices underlying segment profit 129 % / Life Design revenue 49 % / Life Design segment profit 18 % |
| Self-assessment against the plan | First-half results exceeded plan |
| Segment results | AI & Cloud Net Sales ¥1,401 million (YoY +5.0%) / Segment profit ¥79 million (YoY +13.0%) / IoT & Devices Net Sales ¥2,213 million (YoY -9.0%) / Underlying segment profit ¥137 million (YoY +7.0%) / Life Design Net Sales ¥1,773 million (YoY +46.0%) / Segment profit ¥50 million (YoY +156.0%) |
| Breakdown of Factors Affecting the Change | Factors Profit growth due to higher SaaS revenue, etc. / Amount ¥13 million, Factors Profit increase due to cost reductions, etc. / Amount ¥18 million, Factors Increase in SG&A expenses due to the establishment of the Changsha development center, etc. / Amount ¥-11 million, Factors Consumer business profit growth driven by strong console business performance / Amount ¥104 million, Factors Improved profitability of HealthTech and other early-stage investment businesses / Amount ¥52 million, Factors Greater efficiency in group operating expenses / Amount ¥36 million |
| Key KPIs | Indicator name ROE / Value ▲1.0 / Year on year against the same period last year +2.4p, Indicator name Cumulative console game units shipped / Value 100,000 bottles / Year on year against the same period last year Not disclosed, Indicator name Kids service app downloads / Value 100,000 DL / Year on year against the same period last year Not disclosed, Indicator name Trial members' conversion rate to paid memberships / Value 50%–60% / Year on year against the same period last year Not disclosed, Indicator name Paid membership retention rate / Value 80%–90% / Year on year against the same period last year Not disclosed, Indicator name OfficeAI Employee DeepReads mode accuracy rate / Value 88 % / Year on year against the same period last year Not disclosed |
| Number of employees | Number of Employees 501 People / Record date End of August 2026 / Change during the period Not disclosed |
| Assumptions Underlying the Business Outlook | Component procurement environment, Exchange-rate trends, Yuan remains elevated, Higher prices for components, including semiconductor memory |
| Medium-term management plan targets | The medium-term management plan targeting the fiscal year ending February 2028 will be rolled forward and is scheduled for publication around December 2026. Numerical targets: Not disclosed |
| Financial targets | ROE FY2026 forecast 2.5 % / Equity ratio End of the current fiscal period 60.3 % |
| Annual Dividend | Annual dividend per share ¥5 / Interim ¥2 / End of period ¥3 / Period-end (forecast) Yes |
| New initiatives | Addition of DeepReads mode, a new feature of the AI agent service "OfficeAI Employee", Launch of an FDE-style hands-on support service in the AI field, Adding value to products, including equipping tablets with 8Way Audio, Release of the Steam version of "Culdcept Begins", Rollout of the "Crayon Shin-chan" game series for Nintendo Switch 2, Continued discussions with JPYC in the payments field, Enhancement of AI features in the HRTech recruitment support service, Development of a plug-in for 8Way Audio sound creators |
Items this document does not state (12)
Gross Profit MarginOperating profit marginSelling, general and administrative expensesUnit price and quantity metricsNumber of stores and locationsRisk amount incorporated into the outlookPayout ratioAcquisition of treasury sharesCapital expendituresOrders received and order backlogMarket Size / ShareKey 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.Factors contributing to higher profit included sales of new games in the Life Design business, SaaS expansion in the AI & Cloud business, the IoT business's contribution to profit in the first quarter, higher profit in the Console business, and more efficient group operating expenses. Meanwhile, conditions in the IoT business are expected to deteriorate due to higher component prices, a weaker yen and a stronger yuan, resulting in lower second-half forecasts.
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.