Risks of Upfront Investment and Failure to Meet Plans in the Healthcare Services Business

「The operating loss was ¥253 million, compared with operating profit of ¥86 million in the same period of the previous year, due to increased system development costs for Pharmacy DX and Childcare DX and the cost burden of LunLun Mirai Support, among other factors.」

「The operating loss was ¥80 million, compared with operating profit of ¥352 million in the previous fiscal year, as the expansion of earnings from Cloud Medication History was outweighed by increased development costs for Pharmacy DX and Childcare DX.」

「Revenue was ¥5,481 million, up 18.7% year on year, as sales of Cloud Medication History, Childcare DX and other products increased. Operating profit was ¥352 million, compared with an operating loss of ¥224 million in the same period of the previous year, resulting in a return to profitability and a substantial improvement due to the effects of higher revenue.」

「Revenue was ¥2,615 million, up 19.1% year on year, as sales of Cloud Medication History, Childcare DX and other products increased. Operating profit was ¥217 million, compared with an operating loss of ¥219 million in the same period of the previous year, resulting in a substantial improvement due to the effects of higher revenue and expense controls.」

「Revenue was ¥1,260 million, up 24.6% year on year, as sales of Cloud Medication History, Childcare DX and other products expanded. Operating profit was ¥112 million, compared with an operating loss of ¥172 million in the same period of the previous year, resulting in a substantial improvement due to the effects of higher revenue and expense controls.」

「The number of monthly paying members in the healthcare business was 550,000, down 40,000 from the end of September 2022. By focusing on expanding the number of locations introducing Cloud Medication History, which has strong demand for adoption among dispensing pharmacies, the number of locations had reached 1,793 as of the end of September 2023, an increase of 529 from the end of September 2022. Revenue was ¥4,616 million, up 14.6% year on year, as sales of Cloud Medication History, Childcare DX and other products expanded. The operating loss was ¥224 million, compared with an operating loss of ¥1,108 million in the same period of the previous year, and the loss narrowed substantially as a result of higher revenue and expense controls.」

「Although the burden of upfront investment costs continued, the operating loss was ¥233 million, compared with an operating loss of ¥899 million in the same period of the previous year, due to the effects of higher revenue and expense controls.」

「Although the burden of upfront investment costs continued, the operating loss was ¥219 million, compared with an operating loss of ¥648 million in the same period of the previous year, due to the effects of higher revenue and expense controls.」

「Although the burden of upfront investment costs continued, the operating loss was ¥145 million, compared with an operating loss of ¥336 million in the same period of the previous year, as expenses were controlled.」

「Revenue was ¥2,916 million, up 2.3% year on year, as sales of products such as Cloud Medication History expanded despite a year-on-year decline in the number of paying members. The operating loss was ¥899 million, compared with an operating loss of ¥1,008 million in the same period of the previous year, due to the continued burden of upfront investment costs.」

「Although the burden of upfront investment costs continued, the operating loss was ¥648 million, compared with an operating loss of ¥660 million in the same period of the previous year.」

「The healthcare services business recorded an operating loss of ¥336 million, compared with an operating loss of ¥351 million in the same period of the previous year, due to the continued burden of upfront investment costs.」

「Although the burden of upfront investment costs continued, the operating loss was ¥1,267 million, compared with an operating loss of ¥1,530 million in the same period of the previous year, as higher revenue contributed to a reduction in the loss.」

「Although the burden of upfront investment costs continued, the operating loss was ¥1,008 million, compared with an operating loss of ¥1,135 million in the same period of the previous year, as higher revenue contributed to a reduction in the loss.」

「Although the burden of upfront investment costs continued, the operating loss was ¥660 million, compared with an operating loss of ¥764 million in the same period of the previous year, as higher revenue contributed to a reduction in the loss.」

「Upfront investment in the business will continue for the time being, but the company aims to achieve monetization at an early stage by working to expand sales of each service.」

「The company is pursuing the healthcare services business over the medium to long term, as it is expected to be a field with a large market and high growth potential, but it is difficult to reliably predict the impact of this business, and if unexpected changes prevent the company from achieving its initial business plan or fail to produce the expected effects, making it impossible to generate sufficient future earnings to justify the upfront investment.」