PRONEXUS (7893) Q2 2025 earnings summary

Executive summary

• H1 FY2025 revenue rose 1.0% YoY to ¥17,887m, while operating profit increased 8.9% to ¥3,163m.

• Profit attributable to owners of parent rose 57.1% to ¥3,132m, including a ¥1,411m gain on sale of equity-method investments.

• Growth was supported by web, translation and finance-related demand, robust stock markets and gradual adoption of electronic convocation notices.

Financial highlights

• Gross profit rose 1.9% to ¥7,322m; SG&A decreased 2.2% to ¥4,217m.

• Profit before tax increased 56.6% to ¥4,595m; income tax expense rose to ¥1,461m from ¥939m.

• Under the prior annual-fee recognition method, H1 revenue would have risen ¥267m and operating profit ¥354m YoY; the accounting change reduced H1 sales by ¥96m with no full-year impact.

• Total assets were ¥41,643m at September 30, 2024, up ¥3,059m from March 31, 2024; equity attributable to owners of parent was ¥27,849m, with a 66.9% equity ratio.

Outlook and guidance

• FY2025 guidance remained unchanged: revenue ¥31,000m, operating profit ¥2,500m, profit before tax ¥3,900m and parent-attributable profit ¥2,650m.

• H1 revenue was 57.7% of forecast; operating profit, profit before tax and parent-attributable profit were 126.5%, 117.8% and 118.2% of forecast, respectively.

• Forecast H2 revenue is ¥13,113m, operating profit negative ¥663m and parent-attributable profit negative ¥482m.