Net Protections (7383) Q4 2025 earnings summary

Executive summary

• Achieved significant outperformance versus initial plan, with three upward revisions and all targets met for FY3/25.

• Achieved a turnaround with operating profit of 2,103 million yen and net profit of 1,350 million yen for FY ended March 31, 2025, compared to losses in the prior year.

• Group GMV reached 641,950 million yen, up 13.4% year-over-year, driven by strong BtoC and BtoB growth.

• Non-GAAP EBITDA surged 261.3% year-over-year to 3,747 million yen, reflecting improved operational efficiency and credit screening.

• Growth fueled by new large-scale merchants, effective promotions, and increased e-invoice usage.

Financial highlights

• Full-year operating revenue rose 10.5% to 23,032 million yen; gross profit climbed 34.5% to 10,483 million yen year-over-year.

• Profit attributable to owners of parent was 1,350 million yen, reversing prior year losses; basic EPS at 13.86 yen.

• Cash and cash equivalents increased to 17,039 million yen as of March 31, 2025.

• Cash flow from operating activities rose to 6,567 million yen from 1,931 million yen year-over-year.

• SG&A expenses remained tightly controlled, up just 0.6% year-over-year, with SG&A-to-GMV ratio at 1.48%.

Outlook and guidance

• FY3/26 forecast: GMV 742,000 million yen (+15.6% YoY), operating profit 2,600 million yen (+23.6% YoY), EBITDA 4,300 million yen (+14.7% YoY).

• Double-digit GMV growth expected across all services; atone projected to grow over 40%, NP Kakebarai to sustain 30%+ growth.

• SG&A expenses projected to rise moderately by 5.3% to 9,380 million yen, with continued focus on profitability.

• Three-year plan targets GMV over 1 trillion yen and operating profit of 4 billion yen by FY3/28 (CAGR 25%).

• BtoC (NP Atobarai) expected to maintain stable GMV and gross profit.