Robot Consulting (LAWR) Q4 2026 earnings summary

Executive summary

• Revenue for FY2026 was JPY611.7 million ($3.85 million), down 9.5% year-over-year, with a net loss of JPY1,489.4 million ($9.36 million), reflecting a 178.6% increase in losses compared to FY2025.

• The company’s main products are Labor Robot (HR management), Robot Lawyer (AI legal consultation), and Billing Robot (B2B billing/payment), with Labor Robot user growth accelerating to 715 users as of March 31, 2026.

• IPO completed in July 2025, raising $11.86 million in net proceeds; however, trading of ADSs remains suspended on Nasdaq as of the report date.

Financial highlights

• Software sales revenue increased 95.1% year-over-year to JPY294.5 million, driven by the launch of Billing Robot.

• Consulting and support services revenue declined 39.9% to JPY315.3 million due to fewer e-learning and installation service customers.

• Gross profit margin declined to 98.6% from 99.4% due to higher cost of revenue from resumed subsidy consulting services.

• SG&A expenses rose 85.9% to JPY2,081.8 million, mainly from IPO-related costs, advertising, and stock-based compensation.

• No research and development expenses were recorded in FY2026, down from JPY86.2 million in FY2025.

• Accumulated deficit reached JPY3,271.9 million ($20.6 million) as of March 31, 2026.

Outlook and guidance

• Management expresses substantial doubt about the company’s ability to continue as a going concern due to recurring losses and negative cash flows.

• Plans to expand Robot Lawyer and Intake Robot in the legal tech market and continue growing Labor Robot’s user base.

• Future success depends on acquiring new revenue-generating contracts and securing additional financing.