Cross Marketing Group (3675) Q4 2025 earnings summary

Executive summary

• FY2025/6 revenue reached 28.9 billion yen, up 10.4% YoY, and operating profit hit 2.52 billion yen, up 36.8% YoY, both record highs despite missing initial targets.

• Net income attributable to owners grew 13.7% YoY to 1.36 billion yen, while comprehensive income slightly decreased by 1.9% YoY to 1.26 billion yen.

• Growth was driven by the Data Marketing and Digital Marketing segments, while the Insight Business declined.

• The medium-term policy, "Unite & Generate," targets 50 billion yen revenue and 5 billion yen operating profit within five years.

• Business segments will be reorganized into Digital Marketing and Research Insight from FY2026/6.

Financial highlights

• Gross profit rose 8% YoY to 11.07 billion yen, with a gross margin of 38.3%.

• EBITDA increased 27% YoY to 3.13 billion yen; EBITDA margin improved by 1.4pt.

• Net income attributable to owners grew 13.7% YoY to 1.36 billion yen.

• SG&A ratio improved by 2.4pt YoY, reflecting cost control amid M&A activity.

• ROE reached 18.0%.

Outlook and guidance

• FY2026/6 forecast: revenue of 32 billion yen (+10.7% YoY), operating profit of 2.8 billion yen (+11% YoY), and net income of 1.55 billion yen (+14.3% YoY).

• Dividend per share projected at 15.0 yen, up 1.0 yen YoY, with a progressive dividend policy targeting a 15% payout ratio.

• Strategic focus on influencer/IP marketing and digital HR services, aiming for high growth in these domains.

• Basic earnings per share forecasted at 81.69 yen for the next fiscal year.