The shift to the AI business is progressing, but a return to consolidated operating profitability remains some way off.

Consolidated revenue in FY2026 was ¥266 million, down 61.8% from ¥698 million in FY2025, while the operating loss widened from ¥477 million to ¥704 million. Revenue contracted while the operating deficit widened at the same time, indicating that the portfolio shift toward AI-related businesses did not, at least for FY2026 as a whole, lead to growth in consolidated scale or greater absorption of fixed costs. The ordinary loss for FY2026 was ¥2,526 million, and the net loss attributable to owners of the parent was ¥2,546 million, showing substantial losses not only at the operating level but also lower down the income statement.

By business segment, the AI solutions business improved from a segment loss of ¥158 million in FY2024 to a profit of ¥6 million in FY2025, but swung to a segment loss of ¥304 million in FY2026. The wellness business, meanwhile, turned from a segment loss of ¥5 million in FY2025 to a profit of ¥5 million in FY2026. The small profit from the wellness business was insufficient to offset the AI business's return to losses. In FY2027-H1, it will be necessary to review revenue and operating results separately by segment to determine which areas, including AI infrastructure, AI games and enterprise AI solutions, are driving revenue.

In FY2026, cost of sales was ¥80 million, gross profit was ¥187 million and depreciation was only ¥2 million. Gross margin may appear high in isolation, but the revenue base itself was small and apparently insufficient to absorb selling, general and administrative expenses. In FY2025, revenue was ¥698 million and gross profit was ¥641 million, so gross profit declined by ¥454 million. Recovery in transaction volumes and business scale, rather than gross margin alone, is the prerequisite for improving operating results.

For FY2027-H1, the minimum benchmarks are whether revenue exceeds ¥137 million and whether the operating loss narrows from ¥240 million. In addition to checking whether the AI solutions business's loss narrows from ¥64 million in the same period of the previous year, it will be necessary to see whether revenue and operating profit or loss are disclosed separately for AIDC, AI games and enterprise AI solutions. Even if ordinary or net income improves, it would be difficult to conclude that the AI business is becoming profitable if the improvement is attributable to non-operating factors such as gains or losses on crypto assets.