Laxus Technologies (288A) Q3 2026 earnings summary

Executive summary

• Net sales for 3Q FY03/2026 were 1,644 million JPY, down 15% year-over-year, with operating profit at 106 million JPY, a 77% decline from the previous year.

• Subscriber acquisition improved in 3Q, with a net increase of 1,177 contracts to 18,066, reversing last year's net decrease.

• ARPU rose to 8,951 JPY, up 65 JPY year-over-year, and leading indicators such as downloads and registered email users grew 115% and 126% YoY, respectively.

• Strategic initiatives included the launch of the smart storage service "Lax-mochi" (β version), expansion of ShaaS partnerships, and new advertising channels.

• Despite operational efforts and new service launches, net sales and profits declined significantly year-over-year.

Financial highlights

• Net sales declined by 291 million JPY year-over-year; gross profit fell by 289 million JPY to 1,187 million JPY.

• Operating profit margin dropped from 24.4% to 6.5%; net profit margin decreased from 20.3% to 3.4%.

• Net profit for 3Q was 56 million JPY, down 85.6% year-over-year; net profit per share was 2.19 JPY.

• SG&A expenses increased by 75 million JPY, mainly due to higher advertising and listing-related costs.

• Advertising expenses rose 24% YoY, while sales commissions and packing/freight costs declined.

Outlook and guidance

• Full-year net sales forecast revised downward by 885 million JPY due to delayed ShaaS rollouts and slower partner acquisition; net sales expected at 2,192 million JPY (down 14.5% YoY).

• Operating, ordinary, and net profit all expected to fall below previous forecasts; operating profit forecast at 167 million JPY (down 71.7% YoY), net profit at 83 million JPY (down 80.9% YoY).

• Strategic focus for 4Q includes improving conversion rates, expanding procurement channels, and launching postponed ShaaS projects.

• Contracts projected to reach 19,700 by March 2026, below the initial plan of 24,600.

• Management notes forecasts are subject to risk and uncertainty.