Nihon M&A Center (2127) investor relations material

Executive summary

• Celebrated 35th anniversary and marked a full recovery from the FY 2021 accounting incident, entering a new growth phase called Next GENESIS and launching "Vision 300" targeting ¥30bn ordinary profit by FY2032.

• Achieved strong recovery in FY2025 with net sales up 14.0% YoY to ¥50,257 million and ordinary profit up 13.2% YoY to ¥19,154 million, surpassing mid-term targets a year early.

• Regained original performance cycle, with improved departmental budget achievement rates and a focus on mandates with higher closing likelihood.

• Introduced a trust-type stock compensation plan to align interests of employees, executives, and investors.

• Batonz, an equity-method affiliate, listed on TSE Growth segment, reflecting strong market expectations.

Financial highlights

• Sales: ¥50,257 million (+14.0% YoY); ordinary profit: ¥19,154 million (+13.2% YoY); net profit: ¥12,515 million (+14.1% YoY).

• Number of transactions closed: 1,061 (-1.6% YoY); M&A sales per transaction: ¥45.7 million (+15.4% YoY); large transactions closed increased by 45.6%.

• Gross profit margin: 60.2%; ordinary profit margin: 38.1% (down 0.3pt YoY); ROE remained above 20%.

• Net assets: ¥50,643 million; total assets: ¥66,223 million; equity-to-asset ratio stood at 75.8%.

• Basic earnings per share increased to ¥39.36; annual dividend per share was ¥29.00, including a special dividend.

Outlook and guidance

• FY2026/FY2027 guidance: sales ¥52,800 million (+5.1% YoY), ordinary profit ¥19,300 million (+0.8% YoY), net profit ¥13,400 million (+7.3% YoY).

• Vision 300 aims for ordinary profit of ¥30 billion by FY2032, with business domain expansion in funds, overseas, and PMI.

• Dividend per share forecast for FY2027 is ¥29.00, including a special dividend; payout ratio to remain above 60%.

• Ordinary profit margin expected to decline slightly due to increased investment in HR, IT, and branding.