Laxus Technologies (288A) investor relations material

Executive summary

• Revenue for Q1 FY2027 was ¥519 million, 92% of the prior year, with operating profit at ¥63.6 million, up 136.7% year-over-year.

• Subscription contract numbers increased by 197 year-over-year to 17,245, reversing a previous decline.

• Strategic shift from quantity to quality, focusing on high-efficiency advertising, improved CPA, and high-margin business structure.

• New premium bag rental service (Royal Closet) launched, expanding high-value sales channels and enhancing ARPU and customer satisfaction.

• Collaboration with ANA Group began in July, expanding revenue opportunities.

Financial highlights

• Revenue decreased to ¥519 million (91.9% of prior year, down 8.1% year-over-year) due to prioritizing profitability in bag sales.

• Operating profit rose to ¥63.6 million (136.7% of prior year, up 36.7%), as SG&A expenses fell to 82.8% of the previous year.

• Net profit was ¥36.4 million, 91.5% of the prior year, impacted by higher corporate tax adjustments.

• Gross profit margin was 72.2%, down from 74.4% year-over-year.

• Advertising expenses reduced by 37% year-over-year, improving efficiency.

Outlook and guidance

• FY2027 revenue forecast is ¥2,546 million (+11.6%), with operating profit projected at ¥295 million (+59.5%) and net profit guidance at ¥152 million (+55.1%).

• Guidance notes risks from global economic trends, oil price volatility, and other uncertainties.