ValueCommerce (2491) Q4 2025 earnings summary

Executive summary

• Net sales for FY2025 were ¥24,169 million, down 20.5% year-over-year, mainly due to the termination of key EC Solutions services mid-year.

• Operating income dropped 52.6% to ¥1,971 million, and net income attributable to owners fell 82.9% to ¥487 million, impacted by impairment losses and lower segment performance.

• Profitability was further impacted by the absence of high-margin projects and termination of key transaction agreements.

• Strategic investments continued, but cost-cutting measures reduced SG&A expenses by 7.7%.

• Impairment losses and reversal of deferred tax assets led to extraordinary losses and deferred tax expenses.

Financial highlights

• FY2025 net sales: ¥24,169 million, down 20.5% year-over-year; operating income: ¥1,971 million, down 52.6%.

• Net income attributable to owners: ¥487 million, down 82.9% year-over-year.

• EBITDA: ¥2,363 million, down 48.6% year-over-year.

• Ordinary income declined 64.1% to ¥1,481 million, affected by a ¥365 million equity-method loss.

• Q4 net sales: ¥3,357 million, down 58.8% year-over-year and 30.8% sequentially.

Outlook and guidance

• FY2026 revenue forecast: ¥14,400 million, down 39.5% year-over-year; operating and net loss of ¥700–800 million expected.

• Dividend forecast for FY2026: ¥16.00 per share, maintaining a 30% payout ratio policy.

• The company will transition to non-consolidated financial statements from FY2026.

• Continued cost reductions and strategic investments planned amid a challenging business environment.

• The business environment is expected to remain challenging due to market maturity and changing consumer habits.