Komori
Financial results presentation9418U-NEXT HOLDINGS Co.,Ltd.Information and Communications, Services and Others

Financial Results Presentation for the Third Quarter of the Fiscal Year Ending August 2026

For the nine months ended the third quarter of FY2026 ending August, revenue and operating profit exceeded the same period of the previous fiscal year, while revenue, operating profit and EBITDA reached record highs. Ordinary income and net income, however, were below the previous-year period due to the reversal of non-operating income and increases in interest expense and foreign exchange losses.

Worth reading
83Important
Scored from 5 of 6 sections
Direction
Mixed performance
Direction inferred from the company’s description.
Scale
17
Year-on-year change in revenue (%)
Wording
Definitive
How definitive the wording is.

Contents of this document

Financial results presentationFY ending August 2026, third quarter10 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥332,320 million+17.0%
Operating profit¥25,233 million+4.0%
Ordinary income¥23,728 million-1.0%
Net income¥12,919 million-5.0%
Operating profit margin7.6 %
Results for the three months of the current quarterThree-month year-on-year and quarter-on-quarter changes in revenue, operating profit, net income and EPS are shown in graphs and other materials, but specific results amounts cannot be confirmed in the text.
Full-year earnings forecast
Net Sales
¥424,000 million
Operating profit
¥33,500 million
Ordinary income
¥32,200 million
Net income
¥18,500 million
Net income (after goodwill adjustment)
¥22,000 million
EBITDA
¥46,500 million
EBITDA-CAPEX
¥21,500 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 Sales78%
Operating profit75%
Ordinary income74%
Net income70%
Net income (after goodwill adjustment)71%
EBITDA77%
By segmentContent Distribution: 79% of revenue and 81% of operating profit; Store and Facility Solutions: 79% of revenue and 80% of operating profit; Communications and Energy: 77% of revenue and 56% of operating profit; Financial Services, Real Estate and Global: 78% of revenue and 126% of operating profit; Adjustments: 78% of revenue and 68% of operating profit
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Revenue is progressing steadily across all segments. Operating profit is weaker in the energy business, but the other segments are significantly ahead of plan.
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Operating profit bridge
FY2025 3Q results24,207
Demand related to the banknote redesign1,600
Energy Business4,211
FY2026 3Q results25,233
Year-on-year change in adjusted operating profit+20%
Cash flow
Year-on-year increase in payments for the acquisition of subsidiary shares-14,302
Proceeds from bond issuance20,000
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
Assumed Exchange RatesAverage rate during the period: US$1 = ¥147
Annual net increase in users+210,000 (U-NEXT +270,000, Paravi -60,000)
Annual net increase in high-voltage electricity customers+100
Annual net increase in low-voltage electricity customersUp 97,000 (corporate 15,000, individual 82,000)
Decline following demand for self-checkout machine replacementsRevenue: ¥4.3 billion decline; profit: ¥1.6 billion decline
New initiatives
  • Capital and business alliance with TBS Holdings
  • Acquisition of all shares of anime production company GoHands and its conversion into a wholly owned subsidiary
  • Commencement of consolidation of the karaoke business (EXING)
  • Commencement of consolidation of the acquiring business
  • Integration of the group’s construction companies and expansion into heavy electrical, air-conditioning and interior construction
Key KPIsA metric the company considers important as a management benchmark.
  • Paying users5.22 million users
    Year on year against the same period last year+490,000 (+10%)
  • ARR (Content Distribution)¥13.5 billion year on year (+12%)
    Year on year against the same period last year+12%
  • Number of stores under Store Solutions contracts100,000 higher year on year
    Year on year against the same period last year+8%
  • Number of contracts for the three core products40,000 higher year on year
    Year on year against the same period last year+18%
  • Communications and Energy contracts (high voltage)23% higher year on year
    Year on year against the same period last year+23%
  • Communications and Energy contracts (low voltage)49% higher year on year
    Year on year against the same period last year+49%
  • Cashless payments GMV¥351,617 million
    Year on year against the same period last yearNo comparison with the same period of the previous year shown in the graph
Unit price and quantity metricsThese figures show sales broken down by price and volume.
The materials show the number of paying users, contract counts for each service, high- and low-voltage power contracts, and cashless payments GMV per store.
Segment results
Content distribution
Net Sales
¥107,623 million+13.0%
Operating profit
¥9,007 million+16.0%
Store and Facility Solutions
Net Sales
¥76,754 million+5.0%
Operating profit
¥13,059 million-2.0%
Communications and Energy
Net Sales
¥137,939 million+22.0%
Operating profit
¥8,644 million-1.0%
Financial Services, Real Estate and Global
Net Sales
¥16,523 million+106.0%
Operating profit
¥1,758 million+44.0%
Adjustments
Net Sales
¥-6,520 million+17.0%
Operating profit
¥-7,236 million+6.0%
Financial targets
The trend in the equity ratio is shown, but the financial target is Not disclosed
Market Size / Share
No. 2 domestic share in video distribution; No. 1 domestically in the number of subscription video-on-demand content titles; No. 1 domestic share in in-store BGM, POS systems and self-checkout machines; and No. 2 domestic share in commercial karaoke equipment, among others
Number of stores and locations
860,000 stores and 30,000 facilities. Store openings and closures during the period: Not disclosed
Contents of this document
ItemDetails
Document typeFinancial results presentation
Fiscal Period CoveredFY ending August 2026, third quarter
Net Sales¥332,320 million (YoY +17.0%)
Operating profit¥25,233 million (YoY +4.0%)
Ordinary income¥23,728 million (YoY -1.0%)
Net income¥12,919 million (YoY -5.0%)
Operating profit margin7.6 %
Results for the three months of the current quarterThree-month year-on-year and quarter-on-quarter changes in revenue, operating profit, net income and EPS are shown in graphs and other materials, but specific results amounts cannot be confirmed in the text.
Full-year earnings forecastNet Sales ¥424,000 million / Operating profit ¥33,500 million / Ordinary income ¥32,200 million / Net income ¥18,500 million / Net income (after goodwill adjustment) ¥22,000 million / EBITDA ¥46,500 million / EBITDA-CAPEX ¥21,500 million
Progress against full-year forecastNet Sales 78% / Operating profit 75% / Ordinary income 74% / Net income 70% / Net income (after goodwill adjustment) 71% / EBITDA 77% / By segment Content Distribution: 79% of revenue and 81% of operating profit; Store and Facility Solutions: 79% of revenue and 80% of operating profit; Communications and Energy: 77% of revenue and 56% of operating profit; Financial Services, Real Estate and Global: 78% of revenue and 126% of operating profit; Adjustments: 78% of revenue and 68% of operating profit
Self-assessment against the planRevenue is progressing steadily across all segments. Operating profit is weaker in the energy business, but the other segments are significantly ahead of plan.
Segment resultsContent distribution Net Sales ¥107,623 million (YoY +13.0%) / Operating profit ¥9,007 million (YoY +16.0%) / Store and Facility Solutions Net Sales ¥76,754 million (YoY +5.0%) / Operating profit ¥13,059 million (YoY -2.0%) / Communications and Energy Net Sales ¥137,939 million (YoY +22.0%) / Operating profit ¥8,644 million (YoY -1.0%) / Financial Services, Real Estate and Global Net Sales ¥16,523 million (YoY +106.0%) / Operating profit ¥1,758 million (YoY +44.0%) / Adjustments Net Sales ¥-6,520 million (YoY +17.0%) / Operating profit ¥-7,236 million (YoY +6.0%)
Breakdown of Factors Affecting the ChangeOperating profit bridge FY2025 3Q results 24,207 / Demand related to the banknote redesign 1,600 / Energy Business 4,211 / FY2026 3Q results 25,233 / Year-on-year change in adjusted operating profit +20% / Cash flow Year-on-year increase in payments for the acquisition of subsidiary shares -14,302 / Proceeds from bond issuance 20,000
Key KPIsIndicator name Paying users / Value 5.22 million users / Year on year against the same period last year +490,000 (+10%), Indicator name ARR (Content Distribution) / Value ¥13.5 billion year on year (+12%) / Year on year against the same period last year +12%, Indicator name Number of stores under Store Solutions contracts / Value 100,000 higher year on year / Year on year against the same period last year +8%, Indicator name Number of contracts for the three core products / Value 40,000 higher year on year / Year on year against the same period last year +18%, Indicator name Communications and Energy contracts (high voltage) / Value 23% higher year on year / Year on year against the same period last year +23%, Indicator name Communications and Energy contracts (low voltage) / Value 49% higher year on year / Year on year against the same period last year +49%, Indicator name Cashless payments GMV / Value ¥351,617 million / Year on year against the same period last year No comparison with the same period of the previous year shown in the graph
Unit price and quantity metricsThe materials show the number of paying users, contract counts for each service, high- and low-voltage power contracts, and cashless payments GMV per store.
Number of stores and locations860,000 stores and 30,000 facilities. Store openings and closures during the period: Not disclosed
Assumptions Underlying the Business OutlookAssumed Exchange Rates Average rate during the period: US$1 = ¥147 / Annual net increase in users +210,000 (U-NEXT +270,000, Paravi -60,000) / Annual net increase in high-voltage electricity customers +100 / Annual net increase in low-voltage electricity customers Up 97,000 (corporate 15,000, individual 82,000) / Decline following demand for self-checkout machine replacements Revenue: ¥4.3 billion decline; profit: ¥1.6 billion decline
Financial targetsThe trend in the equity ratio is shown, but the financial target is Not disclosed
Market Size / ShareNo. 2 domestic share in video distribution; No. 1 domestically in the number of subscription video-on-demand content titles; No. 1 domestic share in in-store BGM, POS systems and self-checkout machines; and No. 2 domestic share in commercial karaoke equipment, among others
New initiativesCapital and business alliance with TBS Holdings, Acquisition of all shares of anime production company GoHands and its conversion into a wholly owned subsidiary, Commencement of consolidation of the karaoke business (EXING), Commencement of consolidation of the acquiring business, Integration of the group’s construction companies and expansion into heavy electrical, air-conditioning and interior construction
Items this document does not state (11)
Gross Profit MarginSelling, general and administrative expensesNumber of employeesRisk amount incorporated into the outlookMedium-term management plan targetsAnnual DividendPayout ratioAcquisition 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.

The increase in revenue and operating profit was attributed to growth linked to the scale of the content distribution user base, growth in existing businesses, and the consolidation of new subsidiaries, as well as the inclusion of the karaoke and acquiring businesses. On the profit side, the company cited higher power procurement costs due to the situation in the Middle East, increased agency fees, the loss of non-operating income recorded in the previous fiscal year, and increases in interest expense and foreign exchange losses.

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 for the Third Quarter of the Fiscal Year Ending August 2026 | U-NEXT HOLDINGS Co.,Ltd. (9418) timely disclosure | Komori