M3 (2413) Q3 2025 earnings summary

Executive summary

• FY2024 Q1–Q3 revenue rose 15% year-over-year to JPY 205.5bn, with operating profit down 9% to JPY 50.1bn; profit before tax fell 8% and net profit declined 9% to JPY 35.5bn.

• Profit attributable to owners of the parent decreased 11% YoY to JPY 32.5bn.

• Excluding COVID-related revenues, sales grew 19% YoY; Q3 results aligned with expectations, and ELAN consolidation began as planned.

• The Patient Solution segment was newly established following the acquisition of ELAN Corporation in October 2024.

• Revenue and operating profit in the October–December quarter increased YoY by 27% and 3%, respectively.

Financial highlights

• COVID-related revenue impact decreased to JPY 6bn, mainly affecting Medical Platform and Evidence Solution segments.

• Q1–Q3 revenue and operating profit matched initial forecasts, with shortfalls in Medical Platform and Evidence Solution offset by strong Site and Patient Solutions.

• Order backlog reached JPY 35.5bn, driven by contract renewals and sales function reforms.

• Basic earnings per share for the nine months was 47.93 yen, down from 53.93 yen YoY.

• Total assets increased to 577,540 million yen as of December 31, 2024, up from 490,780 million yen at March 31, 2024.

Outlook and guidance

• Negative COVID impact expected to end in FY2024, with normalization and organic growth resuming in FY2025.

• FY2024 full-year revenue forecast: JPY 268–273bn; operating profit forecast: JPY 67–70bn.

• Full-year revenue forecast for fiscal 2025 is 273,000 million yen, up 14.3% YoY.

• Operating profit is projected at 70,000 million yen, up 8.7% YoY; profit attributable to owners of the parent is forecast at 46,000 million yen.

• Medium- to long-term growth targeted through business foundation expansion and aggressive M&A.