Q1 2027 Financial Results Presentation

Business performance overview

For the first quarter of the fiscal year ending April 2027, revenue was 16,620 million yen and operating income was 6,391 million yen, with revenue up 0.5% year over year, but a 8.8% decline in operating income. By segment, Commerce and Events exceeded expectations, Live Streaming remained flat to down, and Promotions were steady. The Q2 outlook is revenue of 15,000 million yen and operating income of 5,600 million yen, with the full-year forecast unchanged at 56,000 to 60,000 million yen. Share buyback is planned up to 2.8 million shares for a total of 7 billion yen within the period. The mid-term growth strategy focuses on expanding IP, expanding overseas markets, increasing studio capacity, and investing in people.

Mid-term growth strategy and risks

Under the long-term vision of 'making VTubers a culture', the company plans to push a mid-term program of studio investment, talent investment, IP expansion, and overseas market development. The FY29/4 revenue CAGR is expected to be about 19.5%, strengthening core content supply, debuts and unit deployments for new talents, and expanding various content including music and overseas expansion. Risks include talent acquisition difficulty, reliance on popular VTubers, and reputational and IP risks, with a stated focus on strengthening internal controls and compliance.