PayPay (PAYP) Registration Filing summary

Company overview and business model

• Operates a leading digital finance platform in Japan, integrating payments, banking, credit, and investment services for consumers and merchants.

• Achieved 75% penetration among smartphone users in Japan, with 72 million registered users and 40 million monthly transacting users as of December 2025.

• Core business includes code-based mobile payments, credit card services, internet banking, securities brokerage, and value-added merchant solutions.

• Expanded through strategic acquisitions, including PayPay Card, PayPay Bank, and PayPay Securities, consolidating a comprehensive financial ecosystem.

Financial performance and metrics

• FY2025 revenue reached ¥299.1 billion, with a two-year CAGR of 22% and operating profit of ¥35.5 billion (12% margin).

• Achieved profitability in FY2025 after years of losses, with profit for the year of ¥39.2 billion and Adjusted EBITDA of ¥58.7 billion (20% margin).

• Payment Segment GMV for FY2025 was ¥15.39 trillion, with over 20% annual GMV growth since FY2019.

• As of December 2025, deposits totaled ¥2,281.9 billion and loan balances ¥1,098.3 billion; 1.54 million brokerage accounts at PayPay Securities.

• Cost control and operating leverage improved margins, with operating expenses rising only 3.5% year-over-year versus 17.5% revenue growth.

Use of proceeds and capital allocation

• Net proceeds from the IPO will be used for general corporate purposes, including working capital, sales and marketing, product development, and potential acquisitions or investments.

• No proceeds will be received from shares sold by the selling shareholder.