Will the non-disclosure of FY2027 forecasts continue?

For FY2026, revenue was ¥4,047 million, operating profit was ¥101 million, and net income attributable to owners of the parent was ¥25 million. Revenue increased 17.2% year on year, and the operating result turned from a loss to a profit. For FY2027, however, the company has not disclosed numerical forecasts for revenue, operating profit, ordinary profit, or net income for either the full year or the first half. As a result, there is currently no benchmark for evaluating FY2027-Q1 results by their progress against the full-year plan.

The uncertainties identified by the company include advertising market conditions, page views and revenue per page view, the earnings contribution from new media, the occurrence of tournament prize income, the release timing of NFT and blockchain games, and the timing of store reviews and overlap with major titles released by other companies. No numerical assumptions have been provided for their impact on revenue or operating profit, or for the minimum required page views or number of contracts. If the company discloses its earnings forecast in FY2027-Q1, we will want to confirm not only the range but also which assumptions for advertising, esports, ISP, and new businesses have been quantified.

As for shareholder returns, both the actual annual dividend for FY2026 and the annual dividend forecast for FY2027 are ¥0.00. No numerical targets have been provided for the payout ratio, DOE, or total payout ratio. Cash and cash equivalents at the end of FY2026 were ¥2,320 million, operating cash flow was ¥302 million, and the equity ratio was 76.0%. It will therefore also be important in FY2027-Q1 to see how much of these funds the company plans to allocate to new areas and whether it discloses the relationship between investment spending and its shareholder-return policy.

At the next earnings release, at a minimum, we need to confirm the numerical forecast for either the full year or the first half, the assumptions for advertising and revenue per page view, the outlook for prize income, and the timing of revenue recognition for new media and games. If forecasts remain undisclosed, we will track standalone quarterly profitability, segment contract and page-view counts, and new-business expenses against the prior-year comparable-quarter figures of ¥1,002 million in revenue and ¥2 million in operating profit.