[Autonomous-driving taxi announcement] Ride-hailing app “GO”: Can you explain how its profit model differs from that of its taxi-industry rival, Daiichi Koutsu Sangyo?

GO, the operator of the GO taxi-hailing app, was listed on the Tokyo Stock Exchange Growth Market in June 2026. This comparison examines GO and major Japanese operator Daiichi Koutsu Sangyo, contrasting their income statements and balance sheets to assess how their respective business models are reflected in their financial statements.

In the income statement comparison, GO had revenue of approximately ¥41.4 billion, operating profit of approximately ¥7.0 billion and an operating margin of approximately 17.0%. Daiichi Koutsu Sangyo, meanwhile, had revenue of approximately ¥112.5 billion, operating profit of approximately ¥3.6 billion and an operating margin of approximately 3.2%. Its revenue was approximately 2.7 times higher, but GO's operating margin was substantially higher.

On the balance sheet, cash and deposits stood at approximately ¥34.6 billion for GO, while tangible fixed assets stood at approximately ¥83.8 billion for Daiichi Koutsu Sangyo, highlighting a major difference in asset composition. Accounts payable account for most of GO's liabilities, whereas long-term borrowings account for most of Daiichi Koutsu Sangyo's liabilities.

Both companies' equity ratios are below the median, but their liability structures differ significantly. GO's liabilities are centered on accounts payable, while Daiichi Koutsu Sangyo's are centered on borrowings. This difference in financial structure also leads to differences in the assessment of their financial soundness.