ZIGExN (3679) investor relations material

Executive summary

• Achieved record-high Q1 results for revenue and all profit levels, with revenue up 16% YoY to 7,807 million yen and EBITDA up 10% YoY to 1,986 million yen.

• Operating income increased 13% YoY to 1,601 million yen, and net income attributable to owners of the parent grew 9.6% to 1,065 million yen.

• Portfolio rationalization advanced via divestments and business integrations, including the absorption of Hoken Mammoth and URG's job placement business into Ties.

• Introduced a virtual company structure and established the AX/AI Security Promotion Office to drive group-wide AI and security initiatives.

• Life Service Platform business showed steady demand, though some segments faced headwinds from inflation and macroeconomic factors.

Financial highlights

• Revenue: 7,807 million yen (+16% YoY); EBITDA: 1,986 million yen (+10% YoY); Operating income: 1,601 million yen (+13% YoY); Net income: 1,065 million yen (+10% YoY); EPS: 10.73 yen (+11% YoY).

• Gross profit reached 6,377 million yen, up 16% YoY.

• EBITDA and operating income reached record Q1 highs despite a slight margin decline due to portfolio mix and upfront investments.

• Number of corporate clients declined 1.5% YoY to 23,059, but unit price per client rose 18% YoY to 1.31 million yen.

• Total assets as of June 30, 2026, were 39,802 million yen, down 754 million yen from the previous fiscal year-end.

Outlook and guidance

• Revenue and profit metrics are in line with expectations, with Q1 progress rates of 23–25% against full-year forecasts.

• Full-year FY3/2027 revenue forecast is 33,500 million yen, up 14.6% YoY, with net income attributable to owners projected at 4,390 million yen, up 5.6%.

• Dividend forecast raised to 13.5 yen per share (payout ratio ~30%), reflecting confidence in continued growth.

• Strategic investments for the year are expected to be minimal compared to the prior year.

• No changes to the previously announced consolidated earnings forecast.