i-mobile Co (6535) Q1 2025 earnings summary

Executive summary

• FY2025.7 Q1 net sales were ¥4,417m, down 25.2% YoY; operating profit was ¥1,077m, down 46.1%, and profit attributable to owners of parent was ¥720m, down 48.2%.

• Results reflected the absence of prior-year advance donations ahead of October 2023 rule changes and pressure on Ad Network advertising budgets.

• Results reached 86.6% of the net-sales forecast and 85.5% of the operating-profit forecast; management expects recovery in the December donation peak.

• Net sales and operating profit were 183.1% and 193.7% of FY2023.7 Q1 levels.

Financial highlights

• Net sales were ¥4,417m versus ¥5,910m YoY; gross profit was ¥4,398m versus ¥5,891m, and SG&A was ¥3,321m versus ¥3,892m.

• Operating profit was ¥1,077m, ordinary profit ¥1,083m, and profit attributable to owners of parent ¥720m, down 46.1%, 46.3%, and 48.2% YoY, respectively.

• Basic EPS was ¥12.51 versus ¥24.20 YoY; comprehensive income was ¥723m versus ¥1,400m.

Outlook and guidance

• FY2025.7 forecasts under the new method: net sales ¥23,000m, operating profit ¥4,500m, ordinary profit ¥4,330m, and profit attributable to owners of parent ¥2,950m; forecasts remain unchanged.

• Conventional-method forecasts are net sales ¥22,280m, operating profit ¥3,800m, and profit attributable to owners of parent ¥2,500m.

• December is the usual donation-demand peak; Q1 advance donations fell short of assumptions, with recovery planned for Q2.

• New-method medium-term targets from FY2025.7 to FY2027.7: net sales rise from ¥23.0bn to ¥26.3bn and operating profit from ¥4.5bn to ¥5.0bn.