Software Service (3733) Q2 2025 earnings summary

Executive summary

• Revenue for the first half was ¥20,145 million, down 8.4% year-over-year, with operating profit at ¥4,274 million, down 17.8%, and net income attributable to shareholders at ¥2,981 million, down 17.4%.

• Despite the decline, results are in line with internal plans, with ongoing demand for DX-related systems but some delays in adoption due to a challenging business environment.

Financial highlights

• Operating profit margin decreased as both revenue and profit declined year-over-year.

• EPS for the interim period was ¥569.81, compared to ¥690.46 in the prior year.

• Comprehensive income for the period was ¥2,968 million, down 18.6% year-over-year.

• Cash and cash equivalents at period-end increased to ¥18,082 million, up ¥2,952 million from the previous year-end.

Outlook and guidance

• Full-year revenue is forecast at ¥41,600 million, up 8.3% year-over-year, with operating profit of ¥8,246 million and net income of ¥5,759 million, both up over 8%.

• No changes to previously announced full-year guidance.