Worth reading
46Recurring
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
-104
¥ million (year-on-year decrease in operating profit)Wording
Conditional
How definitive the wording is.Contents of this document
Presentation materials for financial resultsFirst quarter of the fiscal year ending December 20267 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥2,388 million+12.8%
Operating profit¥93 million-52.6%
Ordinary income¥94 million-54.1%
Net income¥43 million-69.5%
Gross Profit Margin35.8 %
Operating profit margin3.9 %
Selling, general and administrative expenses¥762 million
Results for the three months of the current quarter
Net Sales
¥2,388 million
Operating profit
¥93 million
Ordinary income
¥94 million
Net income
¥43 million
Full-year earnings forecast
Net Sales
¥10,304 million
Operating profit
¥610 million
Ordinary income
¥603 million
Net income
¥428 million
Ordinary income margin
5.9 %
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 Sales23.2%
Cost of sales23.8%
Gross profit22.1%
Selling, general and administrative expenses23.4%
Operating profit15.3%
Ordinary income15.7%
Net income10.1%
What the company explained in this material
New initiatives
- Establishment of a facial recognition research and development center in Poland
- Addressing labor shortages, reducing recruitment costs and standardizing response quality by leveraging the technology of generative AI company Automagica
- Obtained Japan's first Validated Practice certification in the HR field of ServiceNow
- Opened the Hiroshima Sales Office
- Exhibited the company's own products at a large-scale business event
Key KPIsA metric the company considers important as a management benchmark.
- Revenue mix from large enterprises80 %
- Engineer turnover rate7.7 %
- Revenue growth rate17.8 %
- Churn rateBelow 4.5
- Customer Satisfaction4.84 Out of 5
- Cumulative number of ServiceNow customers65 companies
- Number of employees holding IT certifications566 People
- Number of employees holding ServiceNow certifications219 People
Segment results
- ITO＆BPONet Sales¥1,622 millionOperating profit¥85 millionYear-on-year change in revenue118.6%Year-on-year operating profit growth68.3%Year-on-year change in operating margin-3.9 percentage points
- Cloud SolutionsNet Sales¥750 millionOperating profit¥24 millionYear-on-year change in revenue104.8%Year-on-year operating profit growth34.5%Year-on-year change in operating margin-6.6 percentage points
Number of stores and locations
Number of store openings and closures during the periodHiroshima Sales Office opened on 2 February 2026
Number of employees
Consolidated810 People
Standalone728 People
Record dateAs of 31 December 2025
Changes during the period and hiring plan24 people will join the company in April 2026
Annual Dividend
Forecast annual dividend¥40 per share
Year-end dividend¥40 per share
Payout ratio
40% for the fiscal year ended December 2024, 41% for the fiscal year ended December 2025 (Not disclosed for the forecast fiscal year ending December 2026)| Item | Details |
|---|---|
| Document type | Presentation materials for financial results |
| Fiscal Period Covered | First quarter of the fiscal year ending December 2026 |
| Net Sales | ¥2,388 million (YoY +12.8%) |
| Operating profit | ¥93 million (YoY -52.6%) |
| Ordinary income | ¥94 million (YoY -54.1%) |
| Net income | ¥43 million (YoY -69.5%) |
| Gross Profit Margin | 35.8 % |
| Operating profit margin | 3.9 % |
| Selling, general and administrative expenses | ¥762 million |
| Results for the three months of the current quarter | Net Sales ¥2,388 million / Operating profit ¥93 million / Ordinary income ¥94 million / Net income ¥43 million |
| Full-year earnings forecast | Net Sales ¥10,304 million / Operating profit ¥610 million / Ordinary income ¥603 million / Net income ¥428 million / Ordinary income margin 5.9 % |
| Progress against full-year forecast | Net Sales 23.2% / Cost of sales 23.8% / Gross profit 22.1% / Selling, general and administrative expenses 23.4% / Operating profit 15.3% / Ordinary income 15.7% / Net income 10.1% |
| Segment results | Segment ITO＆BPO / Net Sales ¥1,622 million / Operating profit ¥85 million / Year-on-year change in revenue 118.6% / Year-on-year operating profit growth 68.3% / Year-on-year change in operating margin -3.9 percentage points, Segment Cloud Solutions / Net Sales ¥750 million / Operating profit ¥24 million / Year-on-year change in revenue 104.8% / Year-on-year operating profit growth 34.5% / Year-on-year change in operating margin -6.6 percentage points |
| Key KPIs | Indicator name Revenue mix from large enterprises / Value 80 %, Indicator name Engineer turnover rate / Value 7.7 %, Indicator name Revenue growth rate / Value 17.8 %, Indicator name Churn rate / Value Below 4.5, Indicator name Customer Satisfaction / Value 4.84 Out of 5, Indicator name Cumulative number of ServiceNow customers / Value 65 companies, Indicator name Number of employees holding IT certifications / Value 566 People, Indicator name Number of employees holding ServiceNow certifications / Value 219 People |
| Number of stores and locations | Number at period-end Not disclosed / Number of store openings and closures during the period Hiroshima Sales Office opened on 2 February 2026 |
| Number of employees | Consolidated 810 People / Standalone 728 People / Record date As of 31 December 2025 / Changes during the period and hiring plan 24 people will join the company in April 2026 |
| Annual Dividend | Forecast annual dividend ¥40 per share / Interim Dividend Not disclosed / Year-end dividend ¥40 per share |
| Payout ratio | 40% for the fiscal year ended December 2024, 41% for the fiscal year ended December 2025 (Not disclosed for the forecast fiscal year ending December 2026) |
| New initiatives | Establishment of a facial recognition research and development center in Poland, Addressing labor shortages, reducing recruitment costs and standardizing response quality by leveraging the technology of generative AI company Automagica, Obtained Japan's first Validated Practice certification in the HR field of ServiceNow, Opened the Hiroshima Sales Office, Exhibited the company's own products at a large-scale business event |
Items this document does not state (12)
Self-assessment against the planBreakdown of Factors Affecting the ChangeUnit price and quantity metricsAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookMedium-term management plan targetsFinancial targetsAcquisition 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.Revenue increased due to a rise in new contracts and higher revenue from the facial recognition and generative AI businesses. On the earnings side, costs were incurred from a higher cost ratio associated with the increase in new projects, higher labor costs, research expenses to strengthen facial recognition products, increased hiring and employee training expenses, and the cost of opening an employment facility for people with disabilities.
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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Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.