Improvement in Operating Profit Through SG&A Reductions
First written in FY2016-Q3. 11 of 34 entries say "Advanced", first in FY2016. Latest entry: FY2026-H1.
The whole theme swung hardest in 2022: 4 of 11 companies on the "Worse" side.
2 other companies' latest entry also says "Other".
- FY2026-H1SG&A expenses declined, but the company posted an operating lossAnnual report
「For the six months ended 30 September, revenue decreased 0.6% year on year to ¥10.481 billion. Gross profit margin was 54.0% (down 1.6 percentage points year on year), selling, general and administrative expenses were ¥5.712 billion (down 1.9%), and the operating loss was ¥48 million, compared with operating profit of ¥38 million in the same period of the previous year.」
Selling, general and administrative expenses decreased 1.9% year on year, while operating results turned from operating profit to an operating loss of ¥48.364 million due to the lower gross profit margin and lower revenue. - FY2025Selling, general and administrative expenses decreased, but the Company posted an operating loss.Annual report
「Selling, general and administrative expenses were ¥11.162 billion (down 4.8% year on year), and the operating loss was ¥201 million, compared with operating profit of ¥262 million in the same period of the previous year.」
Selling, general and administrative expenses decreased 4.8% year on year, but operating results turned from operating profit to an operating loss of ¥201.508 million due to lower revenue and other factors. - FY2025-H1Lower SG&A Expenses and Lower Operating ProfitAnnual report
「Selling, general and administrative expenses were ¥5.823 billion (down 3.9% year on year), operating profit was ¥38 million (down 79.9%), and ordinary profit was ¥103 million (down 58.1%).」
Selling, general and administrative expenses decreased 3.9% year on year, but operating profit decreased 79.9%, a result differing from previous profit improvements driven by reductions in selling, general and administrative expenses. - FY2024Higher SG&A Expenses and Lower Operating ProfitAnnual report
「Selling, general and administrative expenses were ¥11.731 billion (up 0.7% year on year), and operating profit was ¥262 million (down 13.2%).」
For the full year, selling, general and administrative expenses increased 0.7% year on year, while operating profit decreased 13.2%. - FY2024-Q3Higher SG&A Expenses and Lower Operating ProfitAnnual report
「For the nine months ended 31 December, revenue was ¥16.238 billion (up 1.2% year on year). Gross profit margin was 57.4% (down 0.5 percentage point year on year), selling, general and administrative expenses were ¥8.935 billion (up 1.2%), operating profit was ¥382 million (down 19.1%), ordinary profit was ¥456 million (down 36.4%), and net profit attributable to owners of the parent was ¥342 million (down 40.8%).」
Revenue increased 1.2% year on year, while selling, general and administrative expenses also increased 1.2% and operating profit decreased 19.1%. - FY2024-Q2Higher SG&A Expenses and Lower Operating ProfitAnnual report
「Gross profit margin was 55.9% (down 0.6 percentage point year on year), selling, general and administrative expenses were ¥6.056 billion (up 3.4%), and operating profit was ¥193 million (down 11.7%).」
For the six months ended 30 September, selling, general and administrative expenses increased 3.4% year on year, while operating profit decreased 11.7%. - FY2024-Q1Higher SG&A Expenses and Lower Operating ProfitAnnual report
「Gross profit margin was 61.4% (down 0.3 percentage point year on year), selling, general and administrative expenses were ¥3.011 billion (up 5.7%), operating profit was ¥269 million (down 12.5%), ordinary profit was ¥282 million (down 30.4%), and net profit attributable to owners of the parent was ¥222 million (down 32.0%).」
In the first quarter, selling, general and administrative expenses increased 5.7% year on year, while operating profit decreased 12.5%. This result differs from previous profit improvements driven by reductions in selling, general and administrative expenses. - FY2023-Q3Selling, general and administrative expenses increased, but operating profit rose substantially.Annual report
「Revenue was ¥16.052 billion (up 9.0% year on year). Gross profit margin was 57.9% (down 1.0 percentage point year on year), selling, general and administrative expenses were ¥8.827 billion (up 4.7%), operating profit was ¥473 million (up 95.8%), ordinary profit was ¥718 million (up 18.1%), and net profit attributable to owners of the parent was ¥578 million (up 20.5%).」
Selling, general and administrative expenses increased 4.7% year on year, while revenue increased 9.0%, operating profit increased 95.8% and ordinary profit increased 18.1%. Gross profit margin fell 1.0 percentage point. - FY2023-Q2Selling, general and administrative expenses increased, but operating profit also increased.Annual report
「Selling, general and administrative expenses were ¥5.86 billion (up 3.2% year on year), operating profit was ¥219 million (up 188.3%), ordinary profit was ¥418 million (up 26.4%), and net profit attributable to owners of the parent was ¥344 million (up 30.7%).」
Selling, general and administrative expenses increased 3.2% year on year, while operating profit increased 188.3% and ordinary profit increased 26.4%. - FY2023-Q1Selling, general and administrative expenses increased, but operating profit also increased.Annual report
「Gross profit margin was 61.7% (down 0.9 percentage points year on year), selling, general and administrative expenses were ¥2.849 billion (up 1.6% year on year), operating profit was ¥308 million (up 57.0%), ordinary profit was ¥406 million (up 26.1%), and net profit attributable to owners of the parent was ¥327 million (up 28.5%).」
Selling, general and administrative expenses increased 1.6% year on year, while operating profit increased 57.0%. This result differs from previous improvements driven by reductions in selling, general and administrative expenses. - FY2022AdvancedAnnual report
「Selling, general and administrative expenses were ¥11.91 billion (¥650.5 million in the same period of the previous year). While actively making upfront investments in businesses that create competitive advantages, including developing new services to attract members, placing newspaper advertisements and newly installing an automatic case erector and sealer for the rapidly growing e-commerce business, the Company has begun to see steady results from its efforts to streamline unprofitable areas, improve efficiency and operate at low cost. As a result, operating profit for the fiscal year was ¥144 million, compared with an operating loss of ¥364 million in the previous year.」
Selling, general and administrative expenses increased due to upfront investments, but results from streamlining unprofitable areas, improving efficiency and operating at low cost were evident, and operating results improved from a loss of ¥364 million in the previous year to a profit of ¥144.70 million. - FY2022-Q3Selling, general and administrative expenses increased, but operating profit turned positive.Annual report
「For the nine months ended 31 December, revenue was ¥14.731 billion (¥10.512 billion in the same period of the previous year), reflecting the application of the Accounting Standard for Revenue Recognition (Accounting Standards Board of Japan Statement No. 29, 31 March 2020) and other standards. Gross profit margin was 58.9% (45.9% in the same period of the previous year), selling, general and administrative expenses were ¥8.431 billion (¥4.906 billion in the same period of the previous year), and operating profit was ¥241 million, compared with an operating loss of ¥77 million in the same period of the previous year.」
Selling, general and administrative expenses increased from ¥490.6 million in the same period of the previous year to ¥843.1882 million, while operating results turned from an operating loss in the same period of the previous year to operating profit of ¥241.637 million. - FY2022-Q2SG&A expenses increased, but operating profit returned to profitabilityAnnual report
「In terms of profitability, the gross profit margin was 57.7%, compared with 44.1% in the same period of the previous year. SG&A expenses were ¥568.1 million, compared with ¥333.1 million, operating profit was ¥76 million, compared with an operating loss of ¥66 million, ordinary profit was ¥331 million, compared with ¥82 million, and quarterly profit attributable to owners of the parent was ¥263 million, compared with ¥51 million.」
For the six months ended, including the impact of applying the revenue recognition accounting standard, SG&A expenses increased to ¥568.123 million, while operating results swung from a loss in the same period of the previous year to a profit of ¥76.102 million. - FY2022-Q1SG&A expenses increased, but operating profit roseAnnual report
「In terms of profitability, the gross profit margin was 62.6%, compared with 49.3% in the same period of the previous year. SG&A expenses were ¥280.5 million, compared with ¥168.5 million, operating profit was ¥196 million, compared with ¥156 million, and ordinary profit was ¥322 million, compared with ¥193 million.」
In the first quarter, SG&A expenses increased to ¥280.5 million from ¥168.5 million in the same period of the previous year, while operating profit was ¥196.32 million. Results differed from the previous improvement in profitability driven by SG&A expense reductions due to the impact of applying the revenue recognition accounting standard. - FY2021AdvancedAnnual report
「Despite actively making upfront investments in businesses that could create competitive advantages, including developing new services to acquire new members and newspaper advertising, SG&A expenses declined by ¥42.4 million from ¥692.9 million in the same period of the previous year as the company began to see steady results from the disposal of unprofitable businesses, efficiency improvements, and low-cost management initiatives. As a result, the operating loss for the fiscal year narrowed to ¥364 million from ¥923 million in the previous year, an improvement of ¥559 million.」
While making upfront investments, the company proceeded with the disposal of unprofitable businesses, efficiency improvements, and low-cost management, reducing SG&A expenses by ¥424 million and narrowing the operating loss from ¥923 million to ¥364 million. - FY2021-Q3AdvancedAnnual report
「The nine-month results were affected by the COVID-19 pandemic, with revenue declining 2.8% year on year to ¥1.0512 billion. In terms of profitability, the gross profit margin rose 2.6 percentage points year on year to 45.9%, while SG&A expenses declined 5.8% to ¥490.6 million. The operating loss narrowed to ¥77 million, compared with an operating loss of ¥520 million in the same period of the previous year. Ordinary profit was ¥221 million, compared with an ordinary loss of ¥465 million, and quarterly profit attributable to owners of the parent was ¥170 million, compared with a quarterly net loss attributable to owners of the parent of ¥743 million.」
SG&A expenses declined 5.8% year on year, narrowing the operating loss from ¥520.049 million to ¥77.041 million. Ordinary profit and profit attributable to owners of the parent recovered from losses to profits. - FY2021-Q2SG&A expenses declined, but the company fell into an operating lossAnnual report
「In terms of profitability, the gross profit margin was 44.1%, up 2.0 percentage points year on year. SG&A expenses were ¥333.1 million, down 7.2% year on year. The company posted an operating loss of ¥66 million, compared with operating profit of ¥75 million in the same period of the previous year.」
For the six months ended, SG&A expenses declined 7.2% year on year, while the company swung from operating profit to an operating loss of ¥66.953 million. - FY2021-Q1SG&A expenses declined, but operating profit also declinedAnnual report
「SG&A expenses were ¥168.5 million, down 7.0% year on year, while operating profit was ¥156 million, down 29.6%.」
SG&A expenses declined 7.0% year on year, but operating profit declined 29.6%. - FY2020SG&A expenses declined, but the company fell into an operating lossAnnual report
「Despite making upfront investments in businesses that could create competitive advantages, including the introduction of new services to acquire new members and newspaper advertising primarily for telecommerce, SG&A expenses declined by ¥12.8 million from ¥705.8 million in the same period of the previous year as the company thoroughly reviewed expenses and eliminated waste during the COVID-19 pandemic. As a result, the company posted an operating loss of ¥923 million for the fiscal year, a decline of ¥1.506 billion from operating profit of ¥582 million in the previous year.」
SG&A expenses declined 1.8% through upfront investment and expense reviews, but the company swung from operating profit to an operating loss of ¥923.925 million due to the decline in the gross profit margin and other factors. - FY2020-Q3SG&A expenses declined, but the company fell into an operating lossAnnual report
「In terms of profitability, the gross profit margin was 43.3%, down 3.3 percentage points year on year. SG&A expenses were ¥520.7 million, down 1.8% year on year. The company posted an operating loss of ¥520 million, compared with operating profit of ¥775 million in the same period of the previous year, and an ordinary loss of ¥465 million, compared with ordinary profit of ¥826 million.」
SG&A expenses declined 1.8% year on year, but the company posted an operating loss of ¥520.49 million due to the decline in the gross profit margin and revenue. - FY2020-Q2Higher SG&A Expenses and Lower Operating ProfitAnnual report
「For the six months ended, revenue was ¥870.2 million, down 2.8% year on year. In terms of profitability, the gross profit margin was 42.1%, down 3.2 percentage points year on year. SG&A expenses were ¥359.2 million, up 1.9% year on year, operating profit was ¥75 million, down 85.7%, ordinary profit was ¥119 million, down 79.1%, and quarterly profit attributable to owners of the parent was ¥68 million, down 81.3%.」
For the six months ended, SG&A expenses rose 1.9% year on year and operating profit declined 85.7%. Results continued to differ from the previous improvement in profitability driven by SG&A expense reductions. - FY2020-Q1Higher SG&A Expenses and Lower Operating ProfitAnnual report
「In terms of profitability, the gross profit margin was 47.2%, down 1.9 percentage points year on year. SG&A expenses were ¥181.2 million, up 1.3% year on year, operating profit was ¥222 million, down 46.7%, ordinary profit was ¥237 million, down 45.5%, and quarterly profit attributable to owners of the parent was ¥156 million, down 44.2%.」
In the first quarter, SG&A expenses rose 1.3% year on year and operating profit declined 46.7%. Results differed from the previous improvement in profitability driven by SG&A expense reductions. - FY2019-Q3SG&A expenses edged down, but operating profit declinedAnnual report
「In terms of profitability, the gross profit margin was 46.6%, down 1.4 percentage points year on year. SG&A expenses were ¥530.4 million, down 0.1% year on year, operating profit was ¥775 million, down 3.8%, and ordinary profit was ¥826 million, down 5.9%.」
For the nine months ended, SG&A expenses declined just 0.1% year on year, while operating profit declined 3.8% and ordinary profit declined 5.9%. - FY2019-Q2SG&A expenses edged down, but operating profit declinedAnnual report
「In terms of profitability, the gross profit margin was 45.3%, down 1.7 percentage points year on year. SG&A expenses were ¥352.6 million, down 0.3% year on year, operating profit was ¥530 million, down 11.6%, and ordinary profit was ¥571 million, down 9.0%.」
For the six months ended, SG&A expenses edged down just 0.3% year on year, while operating profit declined 11.6%. - FY2019-Q1Higher SG&A Expenses and Lower Operating ProfitAnnual report
「In terms of profitability, the gross profit margin was 49.1%, down 2.9 percentage points year on year. SG&A expenses were ¥179 million, up 1.2% year on year, operating profit was ¥417 million, down 15.4%, ordinary profit was ¥435 million, down 13.3%, and profit attributable to owners of the parent was ¥280 million, down 15.5%. Progress was broadly in line with the plan.」
In the first quarter, SG&A expenses rose 1.2% year on year and operating profit declined 15.4%. The company described progress under its management plan as broadly in line with the plan, with no indication that SG&A expense reduction measures had been withdrawn or scaled back. - FY2018AdvancedAnnual report
「SG&A expenses declined to ¥708.5 million, down ¥93.1 million from ¥801.6 million in the same period of the previous year, as the company reduced unnecessary costs and work through initiatives including the Workstyle Reform undertaken to date.」
Reductions in unnecessary costs and work resulting from the Workstyle Reform and other initiatives were reflected in full-year results as a ¥93.1 million year-on-year decline in SG&A expenses. - FY2018-Q3AdvancedAnnual report
「As a result, consolidated revenue for the nine months ended was ¥1.2739 billion, down 14.4% year on year, following the termination of the AIGLE business in the previous fiscal year. In terms of profitability, as a result of the shift from hardware to software, the gross profit margin rose 0.9 percentage points year on year to 48.0%, while SG&A expenses also improved substantially, declining 14.8% to ¥530.9 million. Operating profit rose 4.4% to ¥806 million, ordinary profit rose 9.6% to ¥878 million, and profit attributable to owners of the parent rose 7.4% to ¥561 million, representing profit growth at every level.」
For the nine months ended, SG&A expenses declined 14.8% year on year, while operating profit rose 4.4%, ordinary profit rose 9.6%, and quarterly profit attributable to owners of the parent rose 7.4% despite the decline in revenue. - FY2018-Q2AdvancedAnnual report
「As a result, consolidated revenue for the six months ended was ¥880.1 million, down 17.6% year on year, following the termination of the AIGLE and Casual divisions in the previous fiscal year. In terms of profitability, as a result of the shift from hardware to software, the gross profit margin rose 0.6 percentage points year on year to 47.0%, while SG&A expenses also improved substantially, declining 20.3% to ¥353.7 million. Operating profit rose 17.1% to ¥600 million, ordinary profit rose 18.1% to ¥627 million, and profit attributable to owners of the parent rose 54.6% to ¥400 million, representing substantial profit growth at every level.」
For the six months ended, SG&A expenses declined 20.3% year on year, while operating profit rose 17.1%, ordinary profit rose 18.1%, and quarterly profit attributable to owners of the parent rose 54.6%. - FY2018-Q1AdvancedAnnual report
「In terms of profitability, as a result of the shift from hardware to software, the gross profit margin rose 0.2 percentage points year on year to 52.0%, while SG&A expenses also improved substantially, declining 22.0% to ¥176.8 million. Operating profit rose 25.4% to ¥494 million, ordinary profit rose 23.0% to ¥502 million, and profit attributable to owners of the parent rose 17.2% to ¥331 million, representing substantial profit growth at every level.」
In the first quarter, SG&A expenses declined 22.0% year on year, while operating profit rose 25.4%, ordinary profit rose 23.0%, and quarterly net profit rose 17.2%. - FY2017AdvancedAnnual report
「As a result of the shift from hardware to software, the gross profit margin rose 0.8 percentage points year on year to 46.9%, while SG&A expenses also improved substantially, declining 16.6% to ¥801 million. Operating profit consequently rose 123.6% to ¥756 million.」
SG&A expenses declined 16.6% year on year and operating profit rose 123.6%, demonstrating an improvement in the earnings structure through structural reform. - FY2017-Q3AdvancedAnnual report
「As a result, consolidated revenue for the nine months ended was ¥1.4877 billion, down 11.5% year on year, following the termination of the AIGLE and Casual divisions in the previous fiscal year. In terms of profitability, the gross profit margin declined 0.1 percentage points year on year, but SG&A expenses improved by 15.1% to ¥622.9 million. Operating profit rose 26.1% to ¥772 million, ordinary profit rose 31.1% to ¥801 million, and profit attributable to owners of the parent rose substantially to ¥522 million, compared with a quarterly net loss attributable to owners of the parent of ¥2.587 billion in the same period of the previous year.」
SG&A expenses declined 15.1% year on year, while operating profit rose 26.1% and ordinary profit rose 31.1% despite the decline in revenue. - FY2017-Q2AdvancedAnnual report
「As a result, consolidated revenue for the six months ended was ¥1.0682 billion, down 9.5% year on year, following the termination of the AIGLE and Casual divisions. In terms of profitability, the gross profit margin rose 0.5 percentage points to 46.4%, while SG&A expenses improved by 10.2% year on year to ¥443.9 million. Operating profit rose 6.6% to ¥512 million and ordinary profit rose 6.3% to ¥531 million.」
SG&A expenses declined 10.2% year on year, while operating profit rose 6.6% and ordinary profit rose 6.3% despite the decline in revenue. - FY2016AdvancedAnnual report
「As a result, consolidated revenue for the fiscal year was ¥2.1566 billion, down 1.9% year on year. In terms of profitability, SG&A expenses declined through initiatives including the Medium-Term Structural Reform, and operating profit rose 46.7% to ¥338.23 million, representing a substantial increase in profit,」
For the full year, the company cited reductions in SG&A expenses resulting from the Medium-Term Structural Reform and other initiatives, and operating profit rose 46.7% year on year to ¥338.23 million. - FY2016-Q3First statedAnnual report
「As a result, consolidated revenue for the nine months ended was ¥1.6819 billion, down 0.5% year on year. In terms of profitability, the gross profit margin was 47.2%, down 1.2 percentage points from the same period of the previous year, while operating profit rose 27.4% to ¥612 million due to reductions in SG&A expenses resulting from initiatives including the Medium-Term Structural Reform.」
The company cited reductions in SG&A expenses resulting from the Medium-Term Structural Reform and other initiatives as a factor behind the increase in operating profit.