SAKURA Internet (3778) Q3 2025 earnings summary

Executive summary

• Net sales rose 36.6% year-over-year to ¥21,397 million for Q3 FY 3/2025, driven by strong GPU cloud service growth and large-scale project acquisitions.

• Operating profit surged 476.3% year-over-year to ¥2,585 million, reaching a record high for Q3, reflecting higher sales and aggressive investments in cloud service development and marketing.

• Ordinary profit increased 678.3% year-over-year to ¥2,488 million, despite share issuance costs.

• Profit attributable to owners of parent grew 440.2% year-over-year to ¥1,642 million.

• Significant investments in GPU cloud infrastructure and human resources supported expansion and future growth.

Financial highlights

• Q3 FY 3/2025 net sales: ¥21,397 million (+36.6% YoY); operating profit: ¥2,585 million (+476.3% YoY); ordinary profit: ¥2,488 million (+678.3% YoY); profit attributable to owners: ¥1,642 million (+440.2% YoY).

• Gross profit margin improved to 34.2% from 25.7% YoY; gross profit reached ¥7,315 million, up from ¥4,025 million YoY.

• Annual Recurring Revenue (ARR) increased 12.6% YoY to ¥13,944 million.

• Net income per share was ¥42.40, up from ¥8.52 YoY.

• Upward revision of full-year forecast: net sales ¥31,000 million (+6.9% vs previous forecast, +42.0% YoY), operating profit ¥3,400 million (+30.8% vs previous, +284.4% YoY), ordinary profit ¥3,250 million (+32.7% vs previous, +325.3% YoY), profit attributable to owners ¥2,100 million (+35.5% vs previous, +222.2% YoY), net income per share forecast at ¥53.78.

Outlook and guidance

• Full-year earnings forecast revised upward due to accelerated GPU cloud service deployment and new large-scale projects.

• Expect to exceed Q4 forecast with early provision of services for 800 NVIDIA H100 GPUs and continued project wins.

• Upward revision driven by strong demand for GPU cloud services and additional investment in NVIDIA H100 GPUs.

• Plans for further sales, marketing, and employee motivation initiatives to drive medium- to long-term growth.