Investment in advertising, product development and M&A

「While investment in growth initiatives, including promotion and strengthened development centered on new services, was increased, spending on hiring and outsourcing costs was below plan, limiting the increase in costs,」

「While personnel expenses and other expenses were generally kept at approximately the prior-year level, total costs increased slightly year on year because the company invested in growth initiatives in line with its current-year priorities, mainly through expanded promotion of new service offerings.」

「The principal funding needs are expected to include advertising and promotional expenses to increase service awareness and acquire members, development personnel expenses and outsourcing costs associated with business expansion, and investments including M&A.」

「In the fiscal year ending February 2027, we will not prioritize short-term profit maximization. Instead, we will continue making thorough growth investments while maintaining profitability.」

「The company continued and expanded growth investment in new services and product development, while securing operating profit of ¥14.159 million, or 87% of the year-earlier level, and」

「Despite continuing and expanding growth investment, operating profit was ¥103.126 million, up 249% year on year, ordinary profit was ¥104.701 million, up 152%, and net income attributable to owners of the parent, reflecting the recognition of deferred tax assets, was ¥103.017 million, up 130%, resulting in a substantial increase in profit from the previous fiscal year.」

「While continuing bold, on-plan investment aimed at medium- to long-term growth, including development investment in InFRAME, the online shop launch service released at the end of January 2024, the company implemented comprehensive cost controls and reduced costs substantially more than initially expected.」

「In addition, as disclosed at the beginning of the fiscal year, growth investment in new business areas and systems is being continued this fiscal year, but」

「In addition, as disclosed at the beginning of the fiscal year, growth investment in new business areas and systems is being continued this fiscal year, but」

「In addition, as disclosed at the beginning of the fiscal year, growth investment in new business areas and systems is being continued this fiscal year, and」

「In the fiscal year ended February 2023, in order to achieve sustainable medium- to long-term growth, the Company made substantial promotional investments, including TV advertising, to raise awareness of the Creema service, as well as development investments for the launch of new services.」

「In addition, as disclosed at the beginning of the fiscal year, growth investment is being increased this fiscal year, and」

「In addition, as disclosed at the beginning of the fiscal year, growth investment is being increased this fiscal year, resulting in an operating loss of ¥63.348 million, compared with operating profit of ¥187.828 million in the same period of the previous year, an ordinary loss of ¥64.060 million, compared with ordinary profit of ¥184.015 million, and a quarterly net loss attributable to owners of the parent of ¥65.680 million, compared with net profit of ¥146.540 million.」

「In addition, as disclosed at the beginning of the fiscal year, growth investment is being increased this fiscal year, and」

「Meanwhile, operating profit was ¥237.192 million, down 26.8% year on year, because promotional expenses, outsourced development costs and investment in new services were increased as planned to accelerate growth.」

「The Group's primary funding needs are advertising expenses to increase awareness of its services and acquire members, and personnel and outsourcing costs related to development for business expansion. The Group also plans to make investments, including M&A.」

「The Group's primary funding needs are advertising expenses to increase awareness of its services and acquire members, and personnel and outsourcing costs related to development for business expansion. The Group also plans to make investments, including M&A.」