Full-Year Earnings Presentation for Fiscal Year Ended August 2026 — Transcript

Overview of Results

For the fiscal year ended August 2026, consolidated revenue was 1,512 million yen and operating income recorded a loss of 82 million yen. The MRR area grew 8.9% year-over-year, and the community engagement generation business grew 121.8%. However, a decline in hometown tax donation revenue combined with increased selling, general and administrative expenses pressured profitability, resulting in operating and net income below plan. For the fiscal year ending August 2027, the company expects revenue of 1,675 million yen and operating income of 22 million yen, planning to drive growth centered on MRR.

Outlook and Strategy

The Group will implement portfolio reorganization to focus resources and accelerate growth of the regional information distribution business centered on MRR. In October 2026, the hometown tax donation business will be spun off to establish more agile decision-making and a growth-oriented structure. The company will expand enterprise-focused directly-operated MRR, broaden its customer base through OEM and overseas expansion, and enhance the asset value of primary regional information using AI, aiming to achieve ARR of 10 billion yen at an early stage.