Bengo4.com (6027) Q3 2025 earnings summary

Executive summary

• Net sales for Q3 FY3/2025 increased 28.1% year-over-year to 10,278 million yen, driven by strong CloudSign and IT/Solutions growth, and the consolidation of Bengo Kakumei Inc.

• Operating profit for Q3 was 759 million yen, up 3.3% year-over-year, but declined 13.5% for the nine months, with profit attributable to owners of parent at 467 million yen, down 18.2%.

• CloudSign's ARR rose 30% year-over-year, with a record number of new paying companies and minimal churn from price increases.

• Strategic investments in multi-product expansion and AI are ongoing, with SGA expenses being optimized.

• The company revised its full-year forecast, projecting net sales of 14,000 million yen and profit attributable to owners of parent of 950 million yen.

Financial highlights

• Q3 net sales: 10,278 million JPY (+28.1% YoY); operating profit: 759 million JPY (+3.3% YoY); net profit: 467 million JPY (+18.2% YoY).

• Company-wide ARR reached 11.85 billion JPY (+18.3% YoY), with CloudSign contributing over 300 million JPY from pricing adjustments.

• Q3 gross profit: 2,737 million JPY (+14.7% YoY); SGA: 2,523 million JPY (+23.1% YoY); EBITDA: 427 million JPY (-16.3% YoY).

• Gross profit for nine months: 7,852 million yen, up from 6,431 million yen YoY.

• Basic earnings per share for the period was 20.83 yen, down from 25.66 yen a year earlier.

Outlook and guidance

• Q4 operating profit is projected to reach a record 550 million JPY, with an operating profit ratio of 15%.

• Revised FY3/2025 forecast: net sales 14,000 million JPY, operating profit 1,310 million JPY, profit attributable to owners 950 million JPY.

• SGA expenses expected to decline quarter-over-quarter in Q4 as cost-effectiveness is prioritized.

• The company revised its earnings forecast on February 12, 2025.