Financial Results Explanation Materials for the Third Quarter of Fiscal Year Ending June 2026

Business Overview

For the third quarter of the fiscal year ending June 2026, consolidated revenue reached JPY 59,694 million (up 19.7% YoY), and consolidated operating profit was JPY 2,884 million (up 23.0% YoY), demonstrating steady progress toward the full-year forecast. Despite some challenges in domestic and international retail services, growth was driven by the marketing support business. Segment-wise, marketing support recorded JPY 8,968 million (+27.0%), retail JPY 45,573 million (+17.9%), and global JPY 3,998 million (+31.0%). Global revenue increased particularly due to contributions from the Hong Kong flagship stores, although operating profit resulted in a deficit.

Segment Trends and Future Outlook

The marketing support segment continues to perform well, expanding transaction size with brands. The retail segment saw revenue and profit growth both online and brick-and-mortar stores, despite delays in e-commerce delivery and struggles of regional stores. The global segment experienced revenue increases with contributions from Hong Kong flagship stores, but operational efficiencies are still being optimized, resulting in an operating loss. The other segment saw decreases in revenue and profit due to the discontinuation of some BtoC billing services, which is within expectations. Company-wide expenses increased YoY due to higher personnel costs and head office rent, but selling, general and administrative expenses ratio was maintained thanks to top-line growth. Overall, progress toward the full-year plan remains favorable.