GPU infrastructure drives Q1 growth; next time, test the sustainability of high growth and the revenue mix

FY2027-Q1 revenue was ¥11,134 million, up ¥3,642 million from ¥7,492 million in the year-earlier quarter. By service category, GPU infrastructure services generated ¥4,718 million, cloud services ¥3,975 million, other services ¥1,732 million and physical infrastructure services ¥708 million. A simple sum of the individual categories is ¥11,133 million, but because the category figures are rounded, the ¥1 million difference from consolidated revenue of ¥11,134 million is considered a presentation-related rounding difference.

On an approximate basis, GPU infrastructure services accounted for 42.4% of consolidated revenue, cloud services 35.7%, other services 15.6% and physical infrastructure services 6.4%. GPU and cloud combined accounted for approximately 78%, showing that the growth center is shifting from conventional cloud and hosting toward the provision of computing resources, including GPUs. Continued high GPU utilization and demand for generative AI would leave room for further revenue growth, but if GPU equipment utilization declines, the cost structure would leave fixed costs in place first.

Past results show that in FY2026-H1, cloud services generated ¥7,509 million, GPU infrastructure services ¥2,820 million, physical infrastructure services ¥1,577 million and other services ¥3,723 million. Year on year, cloud grew 10.2%, GPU 25.9%, physical infrastructure declined 4.1% and other services grew 44.8%. For FY2026 as a whole, cloud services reached ¥15,324 million, up 9.4% year on year, and GPU infrastructure services ¥8,144 million, up 20.3%, while physical infrastructure services declined 7.2% to ¥3,056 million. The key to assessing the quality of the business will be whether existing cloud growth is being maintained, not only whether GPU is growing.

In the next results release, FY2027-H1, we will confirm whether GPU infrastructure services can maintain a growth rate exceeding FY2026's full-year year-on-year growth of 20.3%, and whether cloud services can accelerate from Q1's 7.5% year-on-year growth. We will also check whether the decline in physical infrastructure services continues and whether the increase in other services from new projects is non-recurring. As category-level profit, actual GPU utilization, order backlog and average customer spending are not currently disclosed, the extent to which revenue growth converts into profit will require further verification at the next results announcement.