Sharingtechnology (3989) Q2 2025 earnings summary

Executive summary

• 2Q YTD sales revenue reached 3,760 million yen, up 16% year-over-year, with strong contributions from Az support and main genres.

• Operating profit for 2Q YTD was 888 million yen, a 27% increase year-over-year, reflecting sales growth and controlled advertisement costs.

• Net income for the 2Q period decreased to 268 million yen (82% YoY) due to tax effect accounting, but 2Q YTD net income rose to 592 million yen (102% YoY).

• Dividend per share forecast for FY2025 raised from 30 yen to 40 yen, with a projected payout ratio of 65.5%.

• Comprehensive profit attributable to owners increased to 592 million yen from 582 million yen year-over-year.

Financial highlights

• 2Q sales revenue: 1,818 million yen (120% YoY); 2Q YTD: 3,760 million yen (116% YoY).

• 2Q operating profit: 400 million yen (123% YoY); 2Q YTD: 888 million yen (127% YoY).

• Gross profit for 2Q FY ending Sep. 2025 was 3,452 million yen, up from 2,974 million yen year-over-year.

• Basic EPS for the quarter was 25.55 yen, slightly down from 25.72 yen year-over-year.

• Cash and cash equivalents at quarter-end were 3,809 million yen, down from 4,110 million yen at the previous year-end.

Outlook and guidance

• Full-year FY ending Sep. 2025 sales revenue forecast at 8,600 million yen (115% YoY), operating profit 2,000 million yen, net income 1,400 million yen.

• Full-year EPS forecast at 60.34 yen.

• 2Q YTD sales and operating profit are progressing well toward FY2025 targets, with sales at 43.7% and operating profit at 44.4% of full-year forecast.

• Dividend per share increased to 40 yen, payout ratio expected to exceed 65.5%.

• Operating profit ratio expected to remain stable despite rising COS and fixed costs from service expansion.