Soracom (147A) Q2 2026 earnings summary

Executive summary

• Recurring revenue for the first half reached 4.11bn JPY, up 34.4% year-over-year, with ARR exceeding 10bn JPY as of September 2025.

• Total revenue/net sales rose 35.9% year-over-year to 4.98bn JPY, driven by global growth and Misora Connect consolidation.

• EBITDA increased 2.4x and operating profit surged 144.0% YoY, with profit attributable to owners up 429.7% to 233mn JPY.

• Comprehensive income for the period was 215mn JPY, reversing a prior year loss.

• Transformation into a post-AI organization, leveraging generative AI for automation and cost efficiency.

Financial highlights

• Recurring revenue: 4,118mn JPY (+34.4% YoY); total revenue: 4,988mn JPY (+35.9% YoY).

• Gross profit: 2,637mn JPY (+22.7% YoY), margin at 52.9% (down 5.7pt YoY due to Misora Connect consolidation).

• SG&A ratio to revenue improved by 9.2pt YoY to 46.6% through generative AI-driven efficiency.

• EBITDA: 449mn JPY (9.0% margin), operating profit: 311mn JPY (6.2% margin), both showing strong YoY growth.

• Basic earnings per share increased to 5.17 JPY from 0.98 JPY a year earlier.

Outlook and guidance

• FY3/26 recurring revenue forecast: 8,690–9,410mn JPY (+37.9% YoY); total revenue: 10,800–11,800mn JPY (+25.7% YoY).

• Gross profit expected to grow 18.2% YoY; EBITDA forecasted at 1,060–1,210mn JPY (+36.1% YoY).

• Operating profit guidance: 600–750mn JPY (5.6–6.4% margin); profit attributable to owners forecast at 420–570mn JPY.

• Full-year profitable growth target (recurring revenue growth + EBITDA margin) remains above 40%.

• No cash dividends are planned for the fiscal year.