Revenue base combining one-off and recurring monthly revenue

「The business model invests in advertising in the first year to acquire new customers and seeks immediate recovery of that investment by recognizing spot revenue as an initial referral fee upon contracting. It then generates stable revenue through monthly charges during the contract period and additional revenue through vehicle re-leasing or replacement after contract expiry, creating a three-layer revenue model. This model achieves both immediate recovery of advertising investment and accumulation of monthly revenue over the medium to long term.」

「The business model has three revenue layers: advertising expenses are invested in the first year to acquire new customers, spot revenue from initial referral fees is recognized upon contracting, stable revenue is then generated through monthly charges during the contract period, and additional revenue is generated through vehicle re-leasing or replacement after contract expiry. This model achieves both immediate recovery of advertising investment and accumulation of monthly revenue over the medium to long term.」

「As a business model, the Company recovers customer acquisition costs early through spot revenue from initial referral fees and vehicle sales, while receiving monthly revenue from customers. The average contract period for new customers in the fiscal year was 9.1 years, with long-term contracts as the core offering, and the average customer churn rate (Note 4) remained low at 0.22%. The business model of accumulating monthly revenue continued, and secured contract balances (Note 5) at fiscal year-end were ¥6.2 billion.」

「During the interim accounting period, monthly revenue from existing customers accumulated steadily. We continued efforts to improve the return on advertising investment for contract acquisition, and achieved higher revenue and a narrower loss while advertising expenses declined gradually.」

「During the cumulative first quarter, monthly revenue from existing customers accumulated steadily. We continued efforts to improve the return on advertising investment for contract acquisition, and achieved higher revenue and a narrower loss while advertising expenses declined gradually.」

「As a result, the business model generates stable revenue by recovering customer acquisition costs early through spot revenue from initial referral fees and vehicle sales, then receiving monthly revenue from customers. The average contract period for new customers in the fiscal year was 8.8 years, the average monthly fee attributable to the Company from customer revenue was ¥5,039, and secured contract balances at fiscal year-end were ¥5.8 billion.」