GMO internet (9449) Q4 2025 earnings summary

Executive summary

• Achieved record net sales of JPY 285.6 billion (+3.0% YoY), operating profit of JPY 57.1 billion (+22.5% YoY), and net profit of JPY 16.1 billion (+20.4% YoY), driven by strong recurring businesses and marking the 30th anniversary.

• Strategic focus on AI and robotics, positioning 2026 as the "Year One of Humanoids" and launching hyperautomation initiatives, with significant investment in reskilling 8,000 employees and recruiting AI talent.

• Major business developments include transition to a holding company structure, acquisition of Prime Strategy Co., Ltd., and expansion of security services.

• Shareholder returns prioritized, with a total payout ratio of 112% for FY25 and proceeds from asset sales allocated to share repurchases.

• Celebrated 30 years in the internet industry, emphasizing urgency to adapt to the AI revolution for continued relevance and growth.

Financial highlights

• Net sales: JPY 285.6 billion (+3.0% YoY); Operating profit: JPY 57.1 billion (+22.5% YoY); Net profit: JPY 16.1 billion (+20.4% YoY); Ordinary profit: JPY 52.8 billion (+13.5% YoY).

• Infrastructure segment achieved over JPY 40 billion in operating profit, marking the 10th consecutive record period.

• Payment and GPU Cloud segments showed steady growth, with GPU Cloud turning profitable on a quarterly basis.

• Finance segment saw decreased revenue but improved profit due to managed one-time costs and a growing customer base.

• Crypto asset segment experienced declines in both top and bottom lines due to market conditions, but future growth is expected.

Outlook and guidance

• Targeting transformation into a hyper-automated group by 2027, with all 8,000 employees utilizing AI agents.

• Strategic focus on AI and robotics for FY2026, aiming for world-class execution and hyperautomation.

• No consolidated forecast for FY2026 due to market volatility in finance, cryptoassets, and incubation businesses.

• Dividend policy targets a minimum 33% payout ratio; future dividends to follow this policy.

• Voluntary adoption of IFRS from FY2025 for enhanced international comparability.