Aidma Holdings (7373) Q3 2026 earnings summary

Executive summary

• Full-year consolidated earnings forecast was revised due to lower sales conversion rates, increased uncollected receivables, and higher allowance for doubtful accounts, mainly from individual business owners and sole proprietors.

• Structural reforms are underway, focusing on tailored service packages by customer segment, improved collection processes, and AI-driven cost optimization to enhance profitability and build a long-term growth foundation.

• Revenue for the nine months ended May 2026 increased 12.6% year-over-year to ¥10,852 million, driven by robust demand for sales platform services among SMEs.

• Operating profit declined 19.8% year-over-year to ¥1,850 million due to higher bad debt provisions and goodwill amortization from new business combinations.

• Net income attributable to shareholders fell 27.3% year-over-year to ¥995 million, reflecting lower operating profit and investment losses.

Financial highlights

• Cumulative 3Q revenue: ¥10,852 million, up 12.6% year-over-year; operating profit: ¥1,850 million, down 19.8% year-over-year.

• Gross profit rose to ¥7,593 million (up from ¥6,667 million), but operating margin contracted due to higher SG&A expenses.

• Sales support revenue declined 7% year-over-year, while HR support grew 37% due to effective cross-selling.

• EPS for the period was ¥67.00, compared to ¥90.05 in the prior year.

• Total assets at May 2026 were ¥10,606 million, down from ¥10,901 million at the previous fiscal year-end.

Outlook and guidance

• Full-year revenue forecast revised to ¥14,000 million; operating profit to ¥2,200 million; net profit to ¥1,200 million; EPS guidance is ¥81.01.

• Dividend forecast maintained at ¥30 per share.

• Measures to improve sales conversion and collection are expected to stabilize and increase future order volumes and average order value.

• Next fiscal year aims for revenue and profit growth through AI-driven cost optimization, workforce productivity, and normalized sales conversion rates.