Soracom, Inc. (TSE: 147A), a Japan-based IoT connectivity platform provider listed on the Tokyo Stock Exchange Growth Market, reported consolidated full-year results for FY2026 (April 1, 2025 – March 31, 2026) under Japanese GAAP. Revenue came in at ¥12,423m, up 38.1% year-on-year from ¥8,993m, reflecting strong adoption of the company's software-defined cellular and IoT data management services worldwide. Recurring revenue — Soracom's key performance indicator measuring subscription and usage-based income — grew even faster at 41.7% to ¥9,296m, underscoring the platform's high customer retention and expanding connected-device base.
Operating profit advanced 32.7% to ¥871m (from ¥656m), while ordinary profit rose 38.4% to ¥857m. Net profit attributable to owners of the parent surged 79.0% to ¥631m, compared with ¥352m the prior year, benefiting from operating leverage on the recurring revenue base. Basic EPS climbed to ¥13.94 from ¥7.84, and diluted EPS rose to ¥13.51 from ¥7.48. Return on equity improved to 6.0% from 3.9%. The operating profit margin was 7.0% (versus 7.3% in the prior year), a modest step-down reflecting continued investment in infrastructure and headcount to support global expansion.
EBITDA +47% as platform investment continues
EBITDA — defined by Soracom as operating profit plus depreciation, amortisation of goodwill, and stock-based compensation — expanded 47.3% to ¥1,228m from ¥833m, demonstrating that cash-generation capacity is growing faster than reported operating profit as earlier infrastructure and talent investments begin to earn through. Comprehensive income for the year was ¥773m, up 147.2% from ¥313m, driven by operational improvement and foreign-exchange translation gains on overseas assets.
Solid balance sheet with ¥9.3bn cash position
Total assets at year-end stood at ¥15,499m (up from ¥13,403m), with equity of ¥11,026m and an equity ratio of 71.1% (versus 75.0% the prior year). Book value per share rose to ¥241.91 from ¥222.78. The company ended the year with a cash and cash equivalents balance of ¥9,269m, supported by ¥1,761m of operating cash flow — a significant swing from the -¥728m operating outflow in FY2025 — offset by ¥1,382m of investing cash outflows and ¥67m of financing outflows. The strong liquidity position provides ample runway for organic growth and bolt-on M&A. Soracom pays no dividend.
New subsidiary Misora Connect added to consolidation scope
The company noted that Misora Connect, Inc. (株式会社ミソラコネクト) was newly brought within the consolidated scope during the year, expanding the group's operational footprint. No other material changes to the scope of consolidation, accounting policies, or estimates were recorded during FY2026.
FY2027 guidance: revenue +21.7% to ¥15.1bn, operating profit +28.8% to ¥1.1bn
For FY2027 (April 1, 2026 – March 31, 2027), Soracom guides for consolidated revenue of ¥15,124m (+21.7%), recurring revenue of ¥11,421m (+22.8%), EBITDA of ¥1,650m (+34.3%), operating profit of ¥1,122m (+28.8%), ordinary profit of ¥1,073m (+25.1%), net profit of ¥706m (+11.8%), and EPS of ¥15.49. The guidance reflects continued platform expansion, deepening enterprise customer relationships, and growing international adoption of Soracom's cloud-native connectivity stack across industrial IoT, logistics, and healthcare verticals.
| Metric | FY2026 | FY2025 | YoY |
|---|---|---|---|
| Revenue (¥m) | 12,423 | 8,993 | +38.1% |
| Recurring revenue (¥m) | 9,296 | 6,562 | +41.7% |
| EBITDA (¥m) | 1,228 | 833 | +47.3% |
| Operating profit (¥m) | 871 | 656 | +32.7% |
| Ordinary profit (¥m) | 857 | 619 | +38.4% |
| Net profit attr. to owners (¥m) | 631 | 352 | +79.0% |
| EPS (¥) — basic | 13.94 | 7.84 | +77.8% |
| ROE | 6.0% | 3.9% | +2.1pp |
| Operating margin | 7.0% | 7.3% | −0.3pp |
| Total assets (¥m) | 15,499 | 13,403 | +15.6% |
| Cash & equivalents (¥m) | 9,269 | 8,917 | +3.9% |
| Annual dividend (¥) | — | — | — |
JapanStockPulse provides informational content only and does not constitute investment advice. Figures are taken from the company's published earnings short report and may be subject to subsequent revision.