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Financial results presentation7325IRRC CorporationFinancials (excluding banks)

Financial Results Presentation Materials for the Fiscal Year Ending June 2026

For the fiscal year ended June 2026, revenue increased 16.3% to a record high, while operating profit declined 5.2%. The 保険クリニック business and FA business grew, but the Solutions business was unable to win an expected large-scale contract, and upfront investments also weighed on profit.

Worth reading
73In focus
Scored from 5 of 6 sections
Direction
Mixed performance
Direction inferred from the company’s description.
Scale
16.3
% (year-on-year change in revenue)
Wording
Conditional
How definitive the wording is.

Contents of this document

Financial results presentationFiscal year ending June 202610 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥10,964 million+16.3%
Operating profit¥703 million-5.2%
Ordinary income¥711 million-5.5%
Net income¥392 million-9.8%
Selling, general and administrative expenses¥7,664 million
Gross Profit Margin
Rate76.3%
Year-on-year change (points)Down 0.8 percentage points (78.2% in the fiscal year ended June 2025)
Operating profit margin
Rate6.4%
Year-on-year change (points)Down 1.5 percentage points (7.9% in the fiscal year ended June 2025)
Results for the three months of the current quarterIn the fourth quarter of the fiscal year ended June 2026, revenue was ¥2,990 million and the operating margin was 6.0%. Segment revenue was ¥1,577 million for 保険クリニック, ¥611 million for FA, ¥353 million for Solutions and ¥447 million for Systems.
Full-year earnings forecast
Net Sales
¥12,556 million
Cost of sales
¥2,766 million
Gross profit
¥9,789 million
Selling, general and administrative expenses
¥8,976 million
Operating profit
¥812 million
Operating profit margin
6.5 %
ROE
11.1 %
By segment
Hoken Clinic business
Net Sales¥6,732 million
Operating profit¥901 million
FA Business
Net Sales¥2,449 million
Operating profit¥110 million
Solutions Business
Net Sales¥1,569 million
Operating profit¥422 million
Systems Business
Net Sales¥2,242 million
Operating profit¥144 million
What the company explained in this material
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Company-operated 保険クリニック storesExisting-store revenue +¥181 million, new-store revenue +¥788 million, other +¥969 million, new-store operating expenses -¥834 million, operating expenses -¥585 million, marketing expenses -¥116 million
保険クリニック FCRevenue +¥55 million, operating expenses -¥31 million
FA BusinessRevenue +¥487 million, operating expenses -¥391 million
Solutions BusinessUpfront investments for compliance with the amended Insurance Business Act and other initiatives -¥19 million, decrease in recurring revenue -¥76 million, decrease in project-based revenue -¥128 million, increase in operating expenses -¥122 million
Systems BusinessIncrease in recurring revenue +¥278 million, decrease in project-based revenue -¥218 million, increase in operating expenses -¥5 million, other -? million
New initiatives
  • Expansion of the sales process management system for compliance with the amended Insurance Business Act
  • Provision of the AS platform
  • Launch of AS Platform and AS FiNDER
  • Development of systems for the non-life insurance sector
  • Development and enhancement of AI products
  • Opening of new 保険クリニック stores and M&A
  • Review of the evaluation system beginning with the fiscal year ending June 2027
Key KPIsA metric the company considers important as a management benchmark.
  • Number of visitors40,078 Engagements
    Year on year against the same period last year+30.8%
  • Closing Rate57.1 %
    Year on year against the same period last year-5.1%
  • Completed Engagements22,865 Engagements
    Year on year against the same period last year+20.0%
  • Registered franchisees105 companies
    Year on year against the same period last yearDown 2 companies from the end of the previous fiscal year
  • Number of insurance solicitors201 people
  • Recurring revenue ratio (Solutions)77.5 %
    Year on year against the same period last year+3.7%
  • Number of AS series IDs7,782 ID
    Year on year against the same period last yearUp 709 IDs from the end of the previous fiscal year
  • MRR (insurance companies)¥34,508 thousand
    Year on year against the same period last yearDown ¥1,896 thousand from the end of the previous fiscal year
  • MRR (agencies and banks)¥44,780 thousand
    Year on year against the same period last yearUp ¥1,782 thousand from the end of the previous fiscal year
  • Recurring revenue (Systems)¥1,434 million
    Year on year against the same period last year+24.1%
Segment results
Hoken Clinic business
Net Sales
¥5,817 million+21.4%
Operating profit
¥918 million+20.9%
Company-operated stores
Net Sales
¥4,905 million+24.6%
Operating profit
¥749 million+22.0%
FC
Net Sales
¥911 million+6.4%
Operating profit
¥169 million+16.1%
FA Business
Net Sales
¥2,275 million+27.2%
Operating profit
¥112 million+566.0%
Solutions Business
Net Sales
¥1,388 million-6.5%
Operating profit
¥341 million-39.7%
Systems Business
Net Sales
¥1,958 million+8.6%
Operating profit
¥101 million-38.1%
Medium-term management plan targets
Fiscal year ending June 2028
Net Sales15,205
Operating profit1,578
Operating profit margin10.4%
ROEAt least 20.0%
Fiscal year ending June 2031500 保険クリニック stores
Financial targets
ROE
Actual results for the fiscal year ended June 202610.1%
Forecast for the fiscal year ending June 202711.1%
Target for the fiscal year ending June 2028At least 20.0%
Market Size / Share
Life insurance
Annual market size¥35 trillion
Number of participants¥118 trillion
Unit for number of sales representatives10,000 people
Property Insurance
Annual market size¥9 trillion
Number of participants¥179 trillion
Unit for number of sales representatives10,000 people
Number of walk-in insurance shop stores307 保険クリニック stores, ranking third in the industry
Number of stores and locations
End of period307 Location
Change during the period24 stores opened and 3 closed. 108 company-operated stores and 199 franchise stores
Annual Dividend
Fiscal year ending June 2026
Annual dividend per share¥32
Interim¥16
End of period¥16
Forecast for the fiscal year ending June 2027
Annual dividend per share¥32
Interim¥16
End of period¥16
Payout ratio
Fiscal year ending June 202666.6 %
Forecast for the fiscal year ending June 202758.9 %
PolicyConsolidated payout ratio of at least 50%; progressive dividends
Contents of this document
ItemDetails
Document typeFinancial results presentation
Fiscal Period CoveredFiscal year ending June 2026
Net Sales¥10,964 million (YoY +16.3%)
Operating profit¥703 million (YoY -5.2%)
Ordinary income¥711 million (YoY -5.5%)
Net income¥392 million (YoY -9.8%)
Gross Profit MarginRate 76.3% / Year-on-year change (points) Down 0.8 percentage points (78.2% in the fiscal year ended June 2025)
Operating profit marginRate 6.4% / Year-on-year change (points) Down 1.5 percentage points (7.9% in the fiscal year ended June 2025)
Selling, general and administrative expenses¥7,664 million
Results for the three months of the current quarterIn the fourth quarter of the fiscal year ended June 2026, revenue was ¥2,990 million and the operating margin was 6.0%. Segment revenue was ¥1,577 million for 保険クリニック, ¥611 million for FA, ¥353 million for Solutions and ¥447 million for Systems.
Full-year earnings forecastNet Sales ¥12,556 million / Cost of sales ¥2,766 million / Gross profit ¥9,789 million / Selling, general and administrative expenses ¥8,976 million / Operating profit ¥812 million / Operating profit margin 6.5 % / ROE 11.1 % / By segment Hoken Clinic business Net Sales ¥6,732 million / Operating profit ¥901 million / FA Business Net Sales ¥2,449 million / Operating profit ¥110 million / Solutions Business Net Sales ¥1,569 million / Operating profit ¥422 million / Systems Business Net Sales ¥2,242 million / Operating profit ¥144 million
Segment resultsHoken Clinic business Net Sales ¥5,817 million (YoY +21.4%) / Operating profit ¥918 million (YoY +20.9%) / Company-operated stores Net Sales ¥4,905 million (YoY +24.6%) / Operating profit ¥749 million (YoY +22.0%) / FC Net Sales ¥911 million (YoY +6.4%) / Operating profit ¥169 million (YoY +16.1%) / FA Business Net Sales ¥2,275 million (YoY +27.2%) / Operating profit ¥112 million (YoY +566.0%) / Solutions Business Net Sales ¥1,388 million (YoY -6.5%) / Operating profit ¥341 million (YoY -39.7%) / Systems Business Net Sales ¥1,958 million (YoY +8.6%) / Operating profit ¥101 million (YoY -38.1%)
Breakdown of Factors Affecting the ChangeCompany-operated 保険クリニック stores Existing-store revenue +¥181 million, new-store revenue +¥788 million, other +¥969 million, new-store operating expenses -¥834 million, operating expenses -¥585 million, marketing expenses -¥116 million / 保険クリニック FC Revenue +¥55 million, operating expenses -¥31 million / FA Business Revenue +¥487 million, operating expenses -¥391 million / Solutions Business Upfront investments for compliance with the amended Insurance Business Act and other initiatives -¥19 million, decrease in recurring revenue -¥76 million, decrease in project-based revenue -¥128 million, increase in operating expenses -¥122 million / Systems Business Increase in recurring revenue +¥278 million, decrease in project-based revenue -¥218 million, increase in operating expenses -¥5 million, other -? million
Key KPIsIndicator name Number of visitors / Value 40,078 Engagements / Year on year against the same period last year 30.8 Engagements, Indicator name Closing Rate / Value 57.1 % / Year on year against the same period last year -5.1 %, Indicator name Completed Engagements / Value 22,865 Engagements / Year on year against the same period last year 20 Engagements, Indicator name Registered franchisees / Value 105 companies / Year on year against the same period last year Down 2 companies from the end of the previous fiscal year, Indicator name Number of insurance solicitors / Value 201 people / Year on year against the same period last year Not disclosed, Indicator name Recurring revenue ratio (Solutions) / Value 77.5 % / Year on year against the same period last year 3.7 %, Indicator name Number of AS series IDs / Value 7,782 ID / Year on year against the same period last year Up 709 IDs from the end of the previous fiscal year, Indicator name MRR (insurance companies) / Value ¥34,508 thousand / Year on year against the same period last year Down ¥1,896 thousand from the end of the previous fiscal year, Indicator name MRR (agencies and banks) / Value ¥44,780 thousand / Year on year against the same period last year Up ¥1,782 thousand from the end of the previous fiscal year, Indicator name Recurring revenue (Systems) / Value ¥1,434 million / Year on year against the same period last year ¥24.1 million
Number of stores and locationsEnd of period 307 Location / Change during the period 24 stores opened and 3 closed. 108 company-operated stores and 199 franchise stores
Medium-term management plan targetsFiscal year ending June 2028 Net Sales 15,205 / Operating profit 1,578 / Operating profit margin 10.4% / ROE At least 20.0% / Fiscal year ending June 2031 500 保険クリニック stores
Financial targetsROE Actual results for the fiscal year ended June 2026 10.1% / Forecast for the fiscal year ending June 2027 11.1% / Target for the fiscal year ending June 2028 At least 20.0%
Annual DividendFiscal year ending June 2026 Annual dividend per share ¥32 / Interim ¥16 / End of period ¥16 / Forecast for the fiscal year ending June 2027 Annual dividend per share ¥32 / Interim ¥16 / End of period ¥16
Payout ratioFiscal year ending June 2026 66.6 % / Forecast for the fiscal year ending June 2027 58.9 % / Policy Consolidated payout ratio of at least 50%; progressive dividends
Market Size / ShareLife insurance Annual market size ¥35 trillion / Number of participants ¥118 trillion / Unit for number of sales representatives 10,000 people / Property Insurance Annual market size ¥9 trillion / Number of participants ¥179 trillion / Unit for number of sales representatives 10,000 people / Number of walk-in insurance shop stores 307 保険クリニック stores, ranking third in the industry
New initiativesExpansion of the sales process management system for compliance with the amended Insurance Business Act, Provision of the AS platform, Launch of AS Platform and AS FiNDER, Development of systems for the non-life insurance sector, Development and enhancement of AI products, Opening of new 保険クリニック stores and M&A, Review of the evaluation system beginning with the fiscal year ending June 2027
Items this document does not state (10)
Progress against full-year forecastSelf-assessment against the planUnit price and quantity metricsNumber of employeesAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookAcquisition of treasury sharesCapital expendituresOrders received and order backlogKey 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.

In the 保険クリニック business, the number of stores, visitors and concluded contracts increased through M&A and web-based customer acquisition, while the FA business also performed well. In the Solutions business, an expected large-scale contract was not won, and upfront investments were made to comply with the amended Insurance Business Act and to develop systems for the non-life insurance sector.

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 Presentation Materials for the Fiscal Year Ending June 2026 | IRRC Corporation (7325) timely disclosure | Komori