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Logizard Co (4391) investor relations material

Logizard Co Q1 2026 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
Logotype for Logizard Co Ltd
Q1 2026 earnings summary14 Nov, 2025

Executive summary

  • Q1 FY2026 revenue was ¥561.5 million, up 2.7% year-over-year, but operating profit fell 37.7% to ¥71.9 million and net profit dropped 39.4% to ¥51.9 million, mainly due to upfront investments and a large customer cancellation.

  • Cloud service revenue and MRR grew 8.0% and 7.5% year-over-year, respectively, with MRR reaching ¥151 million.

  • The company is executing a new mid-term plan focused on B2B expansion, productivity, AI investment, and organizational reform.

  • Profits declined due to increased SG&A expenses, hiring, IR, and R&D investments aligned with the mid-term plan.

  • MRR progress rate was 16.8% (28% excluding one-off cancellation).

Financial highlights

  • Cloud service revenue grew 8.0% year-over-year to ¥453.8 million, accounting for over 80% of total sales.

  • Development/implementation service revenue fell 11.6% year-over-year to ¥85.7 million.

  • Device/equipment sales dropped 26.0% year-over-year to ¥22.0 million, but exceeded internal expectations.

  • Gross profit increased to ¥309.3 million, with gross margin at 61.3%, down 3 points year-over-year.

  • SG&A expenses rose 29.6% year-over-year, mainly due to hiring, IR, and R&D investments.

Outlook and guidance

  • Full-year guidance remains unchanged: revenue ¥2,439 million, operating profit ¥355 million, net profit ¥258 million, and EPS ¥80.35.

  • The company expects to achieve full-year targets through increased B2B sales, AI-driven productivity, and partner expansion.

  • Mid-term plan targets significant growth by FY2028, leveraging new hires and technology investments.

  • No revision to dividend forecast; annual dividend expected at ¥18 per share.

What drives Q1 profit decline and full-year forecast?
How will non-cloud service declines be addressed?
What is the impact of software investment on cash?
Explain 'temporary matter' for large client MRR loss
Detail hiring strategy for delivery capacity
What is the trend of clients replacing services?
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