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Financial results presentation5025MERCURY Inc.Information and Communications, Services and Others

Financial Results Briefing Materials for the Second Quarter of the Fiscal Year Ending February 2027

For the first half of the fiscal year ending February 2027, revenue and profit increased substantially as the new SaaS pricing structure took hold and digital marketing projects increased. As a result, the full-year revenue and profit forecasts were revised upward, and the operating profit forecast was raised to ¥160 million.

Worth reading
61In focus
Scored from 5 of 6 sections
Direction
Improvement
Direction inferred from the company’s description.
Scale
43
¥ million (increase in full-year operating profit forecast from the initial forecast)
Wording
Conditional
How definitive the wording is.

Contents of this document

Financial results presentationSecond quarter (interim period) of the fiscal year ending February 20279 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥873 million+10.0%
Operating profit¥85 million+78.0%
Ordinary income¥93 million+66.0%
Net income¥62 million+71.0%
Gross Profit Margin43.4
Selling, general and administrative expenses¥294 million
Full-year earnings forecast
Net Sales
¥1,780 million
Operating profit
¥160 million
Ordinary income
¥170 million
Net income for the current fiscal year
¥110 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 Sales51% (of the initial full-year forecast)
Operating profit73% (of the initial full-year forecast)
Ordinary income73% (of the initial full-year forecast)
Net income for the current fiscal year80% (of the initial full-year forecast)
Gross profit57% (of the initial full-year forecast)
Selling, general and administrative expenses54% (of the initial full-year forecast)
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Exceeded the initial forecast
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Growth in MRR and gross margin following the adoption of the new SaaS pricing structure, increases in the number of listing-ad orders received and advertising spend managed in the digital marketing business, an increase in orders for website production and other services, and acquisition of new CGM advertising products. This document does not provide a monetary breakdown by factor.
New initiatives
  • Accelerate business investment in AI-related areas from the second half
  • Implementation of natural-language queries, a RAG chat assistant, and multimodal analysis
  • Vectorization of property brochure data in an AI-specific database
  • Concept for developing an automated report-generation engine, monitoring agents, and an open-data integration API platform
Key KPIsA metric the company considers important as a management benchmark.
  • MRRYoY +12.4%
    Year on year against the same period last year+12.4%
  • Average customer spendYoY +12.6%
    Year on year against the same period last year+12.6%
  • Revenue churn rateYoY △0.12pt
    Year on year against the same period last year-0.1%
  • Average number of customers in the used condominium segment4,080 companies
    Year on year against the same period last year+13.4%
  • Number of properties carrying CGM advertisementsFlat
    Year on year against the same period last yearFlat
Unit price and quantity metricsThese figures show sales broken down by price and volume.
Average customer spend: YoY +12.6%; average number of customers: 4,080 companies (YoY +13.4%)
Segment results
Platform Business
Net Sales
¥547 million
Year on year against the same period last year+7.0%
Digital Marketing Business
Net Sales
¥287 million
Year on year against the same period last year+16.0%
Other
Net Sales
¥37 million
Year on year against the same period last year+18.0%
Medium-term management plan targets
Investment in AI-related businesses will be accelerated from the second half of the fiscal year ending February 2027, with the aim of maximizing long-term LTV from the first half of the fiscal year ending February 2029 onward. The roadmap for the vertical dominance strategy sets out Stage 1: September 2027, Stage 2: September 2028, and Stage 3: April 2029.
Financial targets
Actual equity ratio: 79.0%. Financial target: Not disclosed.
Number of employees
80 people
As ofAs of August 2026
Contents of this document
ItemDetails
Document typeFinancial results presentation
Fiscal Period CoveredSecond quarter (interim period) of the fiscal year ending February 2027
Net Sales¥873 million (YoY +10.0%)
Operating profit¥85 million (YoY +78.0%)
Ordinary income¥93 million (YoY +66.0%)
Net income¥62 million (YoY +71.0%)
Gross Profit Margin43.4
Selling, general and administrative expenses¥294 million
Full-year earnings forecastNet Sales ¥1,780 million / Operating profit ¥160 million / Ordinary income ¥170 million / Net income for the current fiscal year ¥110 million
Progress against full-year forecastNet Sales 51% (of the initial full-year forecast) / Operating profit 73% (of the initial full-year forecast) / Ordinary income 73% (of the initial full-year forecast) / Net income for the current fiscal year 80% (of the initial full-year forecast) / Gross profit 57% (of the initial full-year forecast) / Selling, general and administrative expenses 54% (of the initial full-year forecast)
Self-assessment against the planExceeded the initial forecast
Segment resultsPlatform Business Net Sales ¥547 million / yoy_pct 7 / Digital Marketing Business Net Sales ¥287 million / yoy_pct 16 / Other Net Sales ¥37 million / yoy_pct 18
Breakdown of Factors Affecting the ChangeGrowth in MRR and gross margin following the adoption of the new SaaS pricing structure, increases in the number of listing-ad orders received and advertising spend managed in the digital marketing business, an increase in orders for website production and other services, and acquisition of new CGM advertising products. This document does not provide a monetary breakdown by factor.
Key KPIsMRR YoY +12.4%, Average customer spend YoY +12.6%, Revenue churn rate YoY △0.12pt, Average number of customers in the used condominium segment 4,080 companies, Number of properties carrying CGM advertisements Flat
Unit price and quantity metricsAverage customer spend: YoY +12.6%; average number of customers: 4,080 companies (YoY +13.4%)
Number of employees80 people
Medium-term management plan targetsInvestment in AI-related businesses will be accelerated from the second half of the fiscal year ending February 2027, with the aim of maximizing long-term LTV from the first half of the fiscal year ending February 2029 onward. The roadmap for the vertical dominance strategy sets out Stage 1: September 2027, Stage 2: September 2028, and Stage 3: April 2029.
Financial targetsActual equity ratio: 79.0%. Financial target: Not disclosed.
New initiativesAccelerate business investment in AI-related areas from the second half, Implementation of natural-language queries, a RAG chat assistant, and multimodal analysis, Vectorization of property brochure data in an AI-specific database, Concept for developing an automated report-generation engine, monitoring agents, and an open-data integration API platform
Items this document does not state (12)
Operating profit marginResults for the three months of the current quarterNumber of stores and locationsAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookAnnual DividendPayout 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.

The reasons cited are MRR growth and expansion of the customer base as the new pricing structure for the SaaS product takes hold, as well as growth in the digital marketing business. For the first half, the company explained that the improvement in gross margin under the new pricing structure, increases in the number of listing-ad orders received and advertising spend managed, and an increase in orders for website production and other services contributed to results.

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.
Financial Results Briefing Materials for the Second Quarter of the Fiscal Year Ending February 2027 | MERCURY Inc. (5025) timely disclosure | Komori