Worth reading
71In 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
1036
Year-on-year change in operating profit (¥ millions)Wording
Conditional
How definitive the wording is.Contents of this document
Supplementary materials to the earnings reportFiscal year ending January 2027, second quarter (interim period)10 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales23,025 Millions of yen-6.7%
Operating profit829 Millions of yen
Ordinary income996 Millions of yen
Net income¥432 million interim net income attributable to owners of the parent
Gross Profit Margin
Rate24.8
Year-on-year change (points)+1.0Pt
Operating profit margin
Rate3.6
Year-on-year change (points)+4.4Pt
Results for the three months of the current quarter
Net Sales
11,787 Millions of yen
Operating profit
563 Millions of yen
Operating profit margin
4.8 %
Full-year earnings forecast
Net Sales
47,082 Millions of yen
Operating profit
2,014 Millions of yen
Ordinary income
1,891 Millions of yen
Profit attributable to owners of the parent
700 Millions of yen
EBITDA
2,867 Millions of yen
Earnings per share
¥19.81
Dividend per share
¥16
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。
Consolidated revenue48.9
Consolidated operating profit41.2
Domestic solutions revenue48.1
Domestic solutions operating profit43.7
Overseas solutions revenue50.1
Overseas solutions operating profit27.5
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Sales and profit plans achieved ahead of schedule both in Japan and overseasBreakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Operating profit
Increase in gross profit due to an improved mix and other factors223
Decrease in gross profit due to lower revenue-393
Reduction in personnel expenses, mainly overseas466
Reduction in fixed costs, including amortization739
Ordinary income
Foreign exchange gain in the current period187
Foreign exchange losses in the same period of the previous year-224
Year-on-year change in foreign exchange gains and losses411
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
SeasonalityWeighted toward the second half. At present, third-quarter revenue and operating profit are expected to be at approximately the same level as in the second quarter.
3Q revenueExpected to be at approximately the same level as in the second quarter
Second-half peakA fourth-quarter peak is expected
New initiatives
- Joint development and product commercialization project for a game-debugging AI tool with Side and Modl.ai
- Review of the organizational structure and strengthened sales in the Tech and CX fields
- Improved operational efficiency and labor productivity through the use of AI
- Streamlining and transfer of overseas offices
- Developing engineers through graduate recruitment and a new training system
Key KPIsA metric the company considers important as a management benchmark.
- EBITDA1,171 Millions of yenYear on year against the same period last year+170.5%
- EBITDA margin5.1 %Year on year against the same period last year+3.3%
- Total number of shareholders11,272 People
- Equity ratio38.5 %
- PBR1.4 times
- Market capitalization (closing price at the end of July)
Segment results
Domestic Solutions
Net Sales
13,648 Millions of yen+5.9%
Operating profit
529 Millions of yen-19.5%
International Solutions
Net Sales
9,376 Millions of yen-3.8%
Operating profit
179 Millions of yen
Financial targets
ROE target
15 %
Target fiscal yearFiscal year ending January 2029
Actual ROE
Fiscal year ending January 2026-33.4 %
Equity ratio
38.5 %
Market Size / Share
Gaming market growth rate
8 % CAGR forecast
Tech market growth rate
7.4 % CAGR forecast
Share gains from competitors in domestic solutionsFigures not disclosed
Number of employees
Number of Employees8,058 People
Change during the periodDown 69 people versus the end of the same period of the previous fiscal year (down 0.8%)
Annual Dividend
Annual
¥16 per share
Interim
¥8 per share
End of period
¥8 per share
| Item | Details |
|---|---|
| Document type | Supplementary materials to the earnings report |
| Fiscal Period Covered | Fiscal year ending January 2027, second quarter (interim period) |
| Net Sales | 23,025 Millions of yen (YoY -6.7%) |
| Operating profit | 829 Millions of yen |
| Ordinary income | 996 Millions of yen |
| Net income | ¥432 million (interim net income attributable to owners of the parent) |
| Gross Profit Margin | Rate 24.8 / Year-on-year change (points) +1.0Pt |
| Operating profit margin | Rate 3.6 / Year-on-year change (points) +4.4Pt |
| Results for the three months of the current quarter | Net Sales 11,787 Millions of yen / Operating profit 563 Millions of yen / Operating profit margin 4.8 % |
| Full-year earnings forecast | Net Sales 47,082 Millions of yen / Operating profit 2,014 Millions of yen / Ordinary income 1,891 Millions of yen / Profit attributable to owners of the parent 700 Millions of yen / EBITDA 2,867 Millions of yen / Earnings per share ¥19.81 / Dividend per share ¥16 |
| Progress against full-year forecast | Consolidated revenue 48.9 / Consolidated operating profit 41.2 / Domestic solutions revenue 48.1 / Domestic solutions operating profit 43.7 / Overseas solutions revenue 50.1 / Overseas solutions operating profit 27.5 |
| Self-assessment against the plan | Sales and profit plans achieved ahead of schedule both in Japan and overseas |
| Segment results | Domestic Solutions Net Sales 13,648 Millions of yen (YoY +5.9%) / Operating profit 529 Millions of yen (YoY -19.5%) / International Solutions Net Sales 9,376 Millions of yen (YoY -3.8%) / Operating profit 179 Millions of yen / Media & Content Not disclosed |
| Breakdown of Factors Affecting the Change | Operating profit Increase in gross profit due to an improved mix and other factors 223 / Decrease in gross profit due to lower revenue -393 / Reduction in personnel expenses, mainly overseas 466 / Reduction in fixed costs, including amortization 739 / Ordinary income Foreign exchange gain in the current period 187 / Foreign exchange losses in the same period of the previous year -224 / Year-on-year change in foreign exchange gains and losses 411 |
| Key KPIs | Indicator name EBITDA / Value 1,171 Millions of yen / Year on year against the same period last year 170.5 Millions of yen, Indicator name EBITDA margin / Value 5.1 % / Year on year against the same period last year 3.3 %, Indicator name Total number of shareholders / Value 11,272 People / Year on year against the same period last year Not disclosed, Indicator name Equity ratio / Value 38.5 % / Year on year against the same period last year Not disclosed, Indicator name PBR / Value 1.4 times / Year on year against the same period last year Not disclosed, Indicator name Market capitalization (closing price at the end of July) / Value Not disclosed / Year on year against the same period last year Not disclosed |
| Number of employees | Number of Employees 8,058 People / Change during the period Down 69 people versus the end of the same period of the previous fiscal year (down 0.8%) / Hiring plan Not disclosed |
| Assumptions Underlying the Business Outlook | Seasonality Weighted toward the second half. At present, third-quarter revenue and operating profit are expected to be at approximately the same level as in the second quarter. / 3Q revenue Expected to be at approximately the same level as in the second quarter / Second-half peak A fourth-quarter peak is expected |
| Financial targets | ROE target 15 % / Actual ROE -33.4 % / Equity ratio 38.5 % |
| Annual Dividend | Annual ¥16 per share / Interim ¥8 per share / End of period ¥8 per share |
| Market Size / Share | Gaming market growth rate 8 % CAGR forecast / Tech market growth rate 7.4 % CAGR forecast / Share gains from competitors in domestic solutions Figures not disclosed |
| New initiatives | Joint development and product commercialization project for a game-debugging AI tool with Side and Modl.ai, Review of the organizational structure and strengthened sales in the Tech and CX fields, Improved operational efficiency and labor productivity through the use of AI, Streamlining and transfer of overseas offices, Developing engineers through graduate recruitment and a new training system |
Items this document does not state (10)
Selling, general and administrative expensesUnit price and quantity metricsNumber of stores and locationsRisk amount incorporated into the outlookMedium-term management plan targetsPayout 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.The improved sales mix following the withdrawal from the media and content business, the streamlining of other businesses, the absence of one-off expenses, lower personnel costs mainly overseas, and lower fixed costs, including depreciation and amortization, lifted operating profit. Ordinary profit was also boosted by foreign exchange gains resulting from the yen's depreciation during the current period and the reversal of foreign exchange losses resulting from the yen's appreciation in the same period of the previous fiscal year.
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.
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