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Forecasts

Forecasts for Consolidated Results

In the fiscal year ending March 31, 2026, which is the final year of the current Medium-term Management Plan, the Company expects to post its second consecutive year of revenue and profit growth on a consolidated basis. Backed by strong performance, the Company has raised the forecast it announced in May 2023, adding ¥200.0 billion to revenue, ¥30.0 billion to operating income, and ¥5.0 billion to net income attributable to owners of the Company. Operating income is forecast to rise in all reportable segments, led by the Consumer, Media & EC, and Financial segments. While working to achieve the targets of the current Medium-term Management Plan, the Company will also pursue growth investments such as generative AI to aim for further business expansion during the next Medium-Term Management Plan that begins in the fiscal year ending March 31, 2027.

(Billions of yen)

FY2024
Actual		 FY2025
Forecast		 Year on year Year on year %
Revenue 6,544.3 6,700.0 +155.7 +2.4%
Adjusted EBITDA*1 1,753.1 1,770.0 +16.9 +1.0%
Operating income 989.0 1,000.0 +11.0 +1.1%
Net income*2 526.1 540.0 +13.9 +2.6%

Forecasts for the Operating Income by Segment

In the Consumer segment, the Company expects an increase in profits mainly due to higher telecommunications revenue driven by an increase in the number of subscribers. In the Enterprise segment, the Company expects higher profits from solution services such as cloud services, driven by customers' increasing demand for digitalization. In the Media & EC and the Financial segment, the Company expects to see profit growth through the enhancement of product capabilities. Additionally, “Others” is expected to see increased growth investments in areas such as generative AI.

(Billions of yen)

FY2024
Actual		 FY2025
Forecast		 Year on year Year on year %
Consumer segment 530.4 550.0 +19.6 +3.7%
Enterprise segment 170.3 188.0 +17.7 +10.4%
Distribution segment 30.4 32.0 +1.6 +5.1%
Media & EC segment*3,4 258.8 330.0 +29.5 +9.8%
Financial segment*3,4 41.7
Subtotal 1,031.6 1,100.0 +68.4 +6.6%
Other*5 -42.6 -100.0 -57.4 -
Total 989.0 1,000.0 +11.0 +1.1%
[Notes]
  1. *1
    Adjusted EBITDA = operating income + depreciation and amortization (including loss on disposal of non-current assets) + stock compensation expenses ± other adjustments
  2. *2
    Net income: net income attributable to owners of the Company
  3. *3
    From the fiscal year ending March 31, 2026, PayPay Bank Corporation, which was previously classified under the “Media & EC segment,” will be transferred to the “Financial segment.” As a result, the figures for the “Media & EC segment” and the “Financial segment” for the fiscal year ended March 31, 2025 have been retrospectively adjusted. Note that these retrospectively adjusted figures are currently under review.
  4. *4
    As PayPay Corporation, which is classified under the “Financial segment,” is preparing for an initial public offering (IPO), the operating income forecasts of the “Media & EC segment” and “Financial segment” for the fiscal year ending March 31, 2026 are disclosed as a combined total.
  5. *5
    Other includes operating income and loss not included in any of the “Consumer,” “Enterprise,” “Distribution,” “Media & EC,” and “Financial segments,” and adjustments including eliminations of intersegment transactions and expenses not allocated to each reportable segment.