Strengthening the earnings base and further growth

「During the interim consolidated fiscal period, domestic debugging services performed strongly, achieving double-digit sales growth, aided by factors including the launch of Nintendo Switch 2, and drove the performance of the group as a whole. QA solutions also performed steadily. Both the DH Group business and AGEST Group business achieved higher sales in their core businesses.」

「As a result, both businesses performed steadily during the fiscal year, generating sales of ¥39,749 million, up 2.5% year on year, operating profit of ¥2,430 million, up 19.1%, and ordinary profit of ¥2,278 million, up 10.7%, resulting in increases in both sales and profit.」

「Sales for the first 9 months of the current fiscal year increased to ¥28,666 million, up 6.6% year on year. Entertainment business sales declined due in part to a reaction to the strong domestic debugging performance in the previous fiscal year, but the enterprise business continued to achieve double-digit growth, aided by the effects of M&A.」

「Sales for the first 6 months of the current fiscal year increased to ¥18,670 million, up 6.3% year on year. Entertainment business sales declined due in part to a reaction to the exceptionally strong domestic debugging performance in the previous fiscal year, but enterprise business sales grew by more than 120%, aided by the effects of M&A.」

「Against this backdrop, we are currently focusing on accelerating the growth of the enterprise business, where demand is increasing rapidly, and shifting the founding entertainment business from a phase of stable growth to a growth trajectory. During the first 3 months of the current fiscal year, entertainment business sales declined due in part to a reaction to the exceptionally strong performance of domestic debugging in the previous fiscal year. However, enterprise business sales increased approximately 1.3 times, aided by the effects of M&A, resulting in sales of ¥9,297 million, up 11.0% year on year.」

「During the fiscal year, the enterprise business continued to achieve substantial sales growth, with sales increasing approximately 1.5 times, aided by the effects of M&A. The entertainment business also achieved double-digit sales growth against the backdrop of favorable console game markets and other factors, and both businesses performed strongly.」

「As a result, sales for the first 9 months of the current fiscal year rose significantly by 26.5% year on year to ¥26,879 million. In terms of earnings, although we stepped up investments, particularly in personnel for future growth centered on the enterprise business, the effect of higher sales in the highly profitable entertainment business enabled operating profit to increase 0.8% year on year to ¥2,141 million, ordinary profit to increase 7.3% to ¥2,352 million, and net profit attributable to owners of the parent to increase 2.7% to ¥1,401 million, all exceeding the previous year's levels.」

「During the first 6 months of the current fiscal year, the enterprise business continued to achieve strong growth, with sales increasing approximately 1.6 times, aided by the effects of M&A. The entertainment business also achieved double-digit sales growth against the backdrop of favorable console game markets and other factors, and both businesses performed strongly.」

「Against this backdrop, our group aims to achieve further growth by focusing on expanding the enterprise business, where demand is increasing rapidly, supported by the highly profitable entertainment business. During the first 3 months of the current fiscal year, the enterprise business continued to achieve strong growth, with sales increasing approximately 1.8 times, aided by the effects of M&A. The entertainment business also performed strongly, achieving double-digit sales growth against the backdrop of favorable console game markets and other factors.」

「As a result, consolidated sales for the fiscal year rose 28.7% year on year to ¥29,179 million, while operating profit increased 41.5% to ¥2,701 million, as both the enterprise and entertainment businesses achieved strong growth. Both sales and operating profit reached record highs.」

「As a result, sales for the first 9 months of the current fiscal year rose 30.2% year on year to ¥21,246 million, representing double-digit sales growth, as both the enterprise and entertainment businesses achieved strong growth, aided by the effects of M&A. Operating profit increased 79.5% year on year to ¥2,123 million, ordinary profit increased 76.0% to ¥2,192 million, and net profit attributable to owners of the parent increased 71.6% to ¥1,363 million, resulting in significant profit growth.」

「As a result, sales for the first 6 months of the current fiscal year rose 28.2% year on year to ¥13,499 million, as both the enterprise and entertainment businesses achieved strong growth, aided by the effects of M&A. In terms of earnings, the enterprise business transitioned to a profitable structure, while initiatives to improve profitability in the entertainment business began to take effect. Consequently, operating profit increased 159.7% year on year to ¥1,370 million, ordinary profit increased 151.0% to ¥1,431 million, and net profit attributable to owners of the parent increased 157.9% to ¥918 million, resulting in significant profit growth.」

「As a result, sales for the first 3 months of the current fiscal year rose 19.7% year on year to ¥6,099 million, operating profit increased 301.3% to ¥636 million, ordinary profit increased 244.9% to ¥670 million, and net profit attributable to owners of the parent increased 391.3% to ¥488 million, resulting in significant increases in both sales and profit.」

「As a result, consolidated sales for the fiscal year were ¥22,670 million, up 7.2% year on year, as the enterprise business continued to grow strongly. In terms of earnings, the entertainment business secured higher profit through improved profitability, while the enterprise business achieved its first full-year profitability since the second founding phase. Consequently, operating profit rose 36.9% year on year to ¥1,909 million, and ordinary profit rose 43.9% to ¥1,975 million, representing significant profit growth.」

「In particular, in the enterprise business, we made upfront investments in strengthening our engineering and sales personnel, expanding the services we provide, and establishing an efficient operating structure in order to build a strong business foundation. The effects of these upfront investments have gradually emerged. During the first 9 months of the current fiscal year, enterprise business sales expanded approximately 4 times over the past 3 years, and the business achieved profitability for the first time on a 9-month cumulative basis, marking steady progress toward a growth trajectory.」

「Against this backdrop, our group aims to become Asia's No. 1 comprehensive testing and solutions company. Currently in its "second founding phase," the group is focusing on pursuing further growth in its core entertainment business and expanding the enterprise business to develop it into a second earnings pillar following the entertainment business.」

「Against this backdrop, our group aims to become Asia's No. 1 comprehensive testing and solutions company. Currently in its "second founding phase," the group is focusing on pursuing further growth in its core entertainment business and expanding the enterprise business to develop it into a second earnings pillar following the entertainment business.」

「To strengthen our earnings base and achieve further growth, our group recognizes the following 5 matters as key challenges and will continue working to address them.」

「Against this backdrop, our group aims to become Asia's No. 1 comprehensive testing and solutions company. Currently in its "second founding phase," the group is focusing on pursuing further growth in its core entertainment business and expanding the enterprise business to develop it into a second earnings pillar following the entertainment business. During the first 9 months of the current fiscal year, in the entertainment business's debugging services, we established and expanded Lab. testing centers, strengthened our order fulfillment capacity and promoted operational efficiency through structural reforms at Lab., working to build a more resilient business foundation. In the enterprise business, we promoted initiatives to further accelerate the pace of business growth, including securing and developing specialized personnel, particularly test engineers, and making a subsidiary of a company with advanced technical capabilities and extensive experience in test automation. As a result, both the entertainment and enterprise businesses achieved higher sales, with sales for the first 9 months of the current fiscal year reaching ¥15,678 million, up 8.9% year on year.」

「In particular, we positioned the first 6 months of the current fiscal year as a period for upfront investment to support future business expansion. In the entertainment business, we established a new Lab. testing center in Hakodate and relocated the Sapporo Lab., expanding it to approximately 3 times its previous size, thereby strengthening our order fulfillment capacity in anticipation of future demand growth. In the enterprise business, we worked to establish a strong business foundation by securing and developing specialized personnel, particularly test engineers, and making a subsidiary of a company with advanced technical capabilities and extensive experience in test automation. As a result, sales for the first 6 months of the current fiscal year reached ¥10,222 million, up 9.5% year on year, as the core debugging and system testing services performed strongly and both the entertainment and enterprise businesses achieved higher sales.」

「During the first quarter of the current fiscal year, sales from debugging services in the entertainment business achieved double-digit growth and drove performance, while the enterprise business, a focus business, also grew by approximately 1.5 times. Both businesses performed strongly. As a result, sales rose significantly to ¥4,988 million, up 12.1% year on year.」

「We will continue to pursue our aim of becoming Asia's No. 1 comprehensive testing and solutions company by providing services across regions and fields that comprehensively support customers' software development, system maintenance and operations, centered on our core test solutions services.」

「Against this backdrop, our group aims to become Asia's No. 1 comprehensive testing and solutions company. In our core entertainment business, we are working to further strengthen our competitive advantages, centered on debugging services. In our enterprise business, which we position as a growth area, we are promoting business expansion centered on system testing services with the aim of developing it into our second earnings pillar.」

「Against this backdrop, our group aims to become Asia's No. 1 comprehensive testing and solutions company. In our core entertainment business, we are working to further strengthen our competitive advantages, centered on debugging services. In our enterprise business, which we position as a growth area, we are promoting business expansion centered on system testing services with the aim of developing it into our second earnings pillar.」

「Against this backdrop, our group aims to become Asia's No. 1 comprehensive testing and solutions company. In our core entertainment business, we are working to further strengthen our competitive advantages, centered on debugging services. In our enterprise business, which we position as a growth area, we are promoting business expansion centered on system testing services with the aim of developing it into our second earnings pillar.」

「We will continue to pursue sales of ¥50 billion and EBITDA of ¥10 billion by providing services across regions and fields that comprehensively support customers' product development, centered on our core debugging and system testing business.」

「Against this backdrop, our group is working to further strengthen its competitive advantages, centered on our core debugging business, in order to steadily capture growth opportunities and make significant strides, while also actively pursuing entry into new markets expected to grow in the future.」

「Against this backdrop, our group is working to further strengthen its competitive advantages, centered on our core debugging business, in order to steadily capture growth opportunities and make significant strides, while also actively pursuing entry into new markets expected to grow in the future.」

「Against this backdrop, our group is working to further strengthen its competitive advantages, centered on our core debugging business, in order to steadily capture growth opportunities and make significant strides, while also actively pursuing entry into new markets expected to grow in the future.」

「To strengthen our earnings base and achieve further growth, our group recognizes the following 4 matters as key challenges and will continue working to address them.」

「In the digital-related markets surrounding our group, the increasing complexity of devices resulting from the widespread adoption of smartphones and tablets, together with the rapid advancement of internet environments, is quickly diversifying business models in line with changes in content and services. In response to this trend, we expect our group's revenue opportunities to increase.」

「In addition, we have worked to expand revenue opportunities by actively developing high-value-added services that leverage new technologies, while providing comprehensive services tailored to customer needs, including content production, system development and media operations, which are peripheral businesses to our debugging business.」

「To strengthen our earnings base and achieve further growth, our group recognizes the following 4 matters as key challenges and will continue working to address them.」