Synchro Food (3963) Q2 2025 earnings summary

Executive summary

• Consolidated revenue for 2Q YTD was ¥1,967 million, up 13.0% year-over-year, with operating profit at ¥585.9 million, up 24.4%, and net profit attributable to shareholders at ¥394.4 million, up 22.5%.

• Growth was driven by both core media platform and M&A intermediary businesses, with notable expansion in user and client numbers.

• Media platform business saw steady growth in job ad and design company services; M&A brokerage accumulated small deals despite delays in mid-sized deals.

• Continued investment in human capital and efficient cost management, with personnel cost ratio rising 2.3pt and ad cost ratio falling 0.6pt year-over-year.

• Key topics: mobility service subscriptions surpassed 900, new regional job site launched, insurance for restaurants introduced, and new features for agricultural job site released.

Financial highlights

• Revenue: ¥1,967 million (+13.0% YoY), gross profit: ¥1,649 million (+13.6% YoY), operating profit: ¥585.9 million (+24.4% YoY), net income attributable to parent: ¥394.4 million (+22.5% YoY).

• Operating margin improved to 29.8% (+2.7pt YoY).

• Progress rate against full-year forecast: revenue 46.8%, operating profit 46.5%, net income 44.7%.

• Cash and equivalents at period-end: ¥4,369.8 million, up ¥225.6 million from previous year-end.

• SG&A expenses up 8.5% YoY, with strategic investments in acquired businesses.

Outlook and guidance

• Full-year revenue forecast: ¥4,200 million (+16.6% YoY), operating profit: ¥1,260 million (+21.4% YoY), net income: ¥882 million (+25.3% YoY).

• 2Q progress in line with previous years, supporting confidence in achieving full-year targets.

• No changes have been made to previously announced guidance.

• Mid-term plan targets ¥10 billion revenue and ¥3 billion operating profit (30% margin) by FY2030.