BEENOS (3328) Q1 2025 earnings summary

Executive summary

• Q1 FY2025 saw strong operating profit growth, driven by E-Commerce and Entertainment, despite a revenue decline from the exclusion of the Value Cycle segment.

• Operating income rose to 606 million JPY from 49 million JPY in Q1 FY2024, and net income attributable to owners was 294 million JPY, up from 25 million JPY.

• GMV for the quarter was 28,821 million JPY, up 0.2% year-on-year, with strong performance in Global Commerce and Entertainment segments.

• Advisory fees and costs related to the LY Corporation tender offer were recorded as non-operating expenses.

Financial highlights

• Net sales were 4,684 million JPY, down 40.9% year-on-year due to segment changes, but up 25.1% excluding Value Cycle.

• Operating income surged to 606 million JPY, up 1136.8% year-on-year; E-Commerce operating income rose 37.9%.

• Net income attributable to owners of parent was 294 million JPY, with progress at 15.9% of the annual forecast.

• Gross profit for Q1 FY2025 was 2,553 million JPY, down from 3,016 million JPY in Q1 FY2024.

• Ordinary income improved to 529 million JPY from a loss of 31 million JPY year-on-year.

Outlook and guidance

• FY2025 consolidated forecast targets GMV of 115.0 billion JPY, net sales of 18,390 million JPY, operating income of 2,840 million JPY, and net profit of 1,850 million JPY.

• Global Commerce segment aims for 100 billion JPY GMV (+9.7% YoY) and 4.4 billion JPY operating income (+5.2% YoY).

• Entertainment segment expects GMV of 15.0 billion JPY (down 9.9% YoY) but operating income to triple to 0.10 billion JPY.

• No revision to the previously announced dividend forecast; year-end dividend expected at 40 JPY per share.

• No dividend planned for FY2025 due to a pending tender offer.