ASIRO (7378) Q1 2025 earnings summary

Executive summary

• Achieved record-high Q1 FY2025 revenue of ¥1,581 million, up 63.7% year-over-year, and operating profit of ¥406 million, reversing a prior year loss.

• Net income attributable to owners was ¥269 million, up 62.9% sequentially and reversing a ¥128 million loss last year.

• Set FY2025 targets at ¥6.33 billion revenue and ¥1.27 billion operating profit, both above initial mid-term plan.

• Strong growth in legal media and HR segments, with continued investment in insurance product development.

• Company plans a significant update to its business model, with details to be announced in 2Q.

Financial highlights

• Adjusted EBITDA for Q1 was ¥423 million, up 938% year-over-year; EBITDA was ¥444 million, up 584%.

• Gross profit margin increased to 43.8% from 33.8% year-over-year.

• Operating margin improved to 25.7% from 13.8% in the previous quarter.

• EPS was ¥36.89, up from -¥17.76 last year.

• Cash and deposits at quarter-end were ¥1,534 million, down ¥63 million from the previous quarter.

Outlook and guidance

• Full-year FY2025 guidance maintained: revenue ¥6,326 million (+31.8%), operating profit ¥1,265 million (+285%), net income ¥820 million (+540%).

• 1Q revenue progress reached 25% of full-year target, with operating profit at 32.1% and net income at 32.4%.

• Management targets continued profit growth and cost control.

• Focus remains on achieving ¥20 billion in revenue in the shortest time and pursuing further long-term growth.