Ateam Holdings Co., Ltd. (TSE: 3662), a Nagoya-based internet and mobile services group, disclosed its third-quarter (nine-month cumulative) results for the fiscal year ending July 2026 on June 5, 2026. For the period from August 1, 2025 to April 30, 2026, consolidated revenue contracted 4.0% year-on-year to ¥17,242 million, against ¥17,969 million in the prior-year nine months. Operating profit fell 12.5% to ¥766 million, while ordinary profit — significantly impacted by non-operating items — dropped 68.0% to ¥390 million. Net profit attributable to owners of the parent declined 66.1% to ¥343 million, with earnings per share of ¥18.47 (diluted: ¥16.57), compared with ¥54.48 in the same period a year earlier.
The year-on-year deterioration in ordinary and net profit — far steeper than the operating-profit decline — was driven primarily by the collapse in non-operating income relative to the prior-year period, when Ateam benefited from outsized extraordinary and non-operating gains. EBITDA for the nine months came in at ¥1,066 million (−10.0%), while adjusted EBITDA — which strips out M&A-related costs and items from the Paddle subsidiary's operations — declined more sharply, to ¥778 million (−44.9%), underscoring the drag from integration and promotional costs within the group's newer businesses. Comprehensive income for the period was ¥363 million (−39.9%).
Scope change and Paddle segment weigh on adjusted earnings
During the nine-month period, Ateam made a significant change to its consolidated scope: it newly included Signity Co., Ltd. and simultaneously excluded Ateam Finagy Co., Ltd. from consolidation. These changes reflect a reshaping of the group's portfolio as management focuses resources on its core internet services and mobile game businesses while pruning non-core financial-technology operations. The adjusted EBITDA definition — developed specifically for the group — adds back M&A execution fees and expenses from the Paddle subsidiary (which includes promotional accruals and crypto-equivalent point costs) to give a clearer picture of underlying operating performance. The gap between reported EBITDA of ¥1,066 million and adjusted EBITDA of ¥778 million highlights the continuing cost burden from these items.
Balance sheet remains conservatively financed
Total consolidated assets stood at ¥15,209 million at the end of the third quarter, up slightly from ¥15,011 million at the prior fiscal year-end (July 2025), while net assets rose to ¥9,169 million from ¥8,953 million. The equity ratio improved to 59.3% from 58.0%, reflecting a conservatively financed capital structure for an internet services holding company. Equity attributable to owners of the parent was ¥8,702 million. The balance sheet shows no signs of financial stress, giving Ateam flexibility to continue M&A and organic investment while the top-line pressure persists.
Full-year guidance unchanged; interim dividend of ¥14 paid
Management kept its full-year guidance for FY2026 (ending July 2026) intact: revenue of ¥24,500 million (+2.4%), adjusted EBITDA of ¥1,500 million (−12.8%), operating profit of ¥900 million (+6.4%), ordinary profit of ¥900 million (−43.2%), and net profit of ¥600 million (−42.1%), equivalent to EPS of ¥32.32. Full-year EBITDA is guided at ¥1,300 million (+2.1%). The company confirmed no revision to the latest published forecast. On dividends, Ateam paid an interim dividend of ¥14.00 per share for FY2026 (the same as the ¥14.00 interim in FY2025). The full-year dividend forecast for FY2026 has not yet been disclosed, compared with a total of ¥28.00 per share in FY2025 (¥14.00 interim + ¥14.00 year-end). With three quarters completed and roughly ¥343 million of the ¥600 million net profit target achieved, reaching the full-year guidance requires a meaningful acceleration in the final quarter.
| Metric | Q3 YTD FY2026 | Q3 YTD FY2025 | YoY |
|---|---|---|---|
| Revenue (¥ million) | 17,242 | 17,969 | −4.0% |
| Operating profit (¥ million) | 766 | 875 | −12.5% |
| Ordinary profit (¥ million) | 390 | 1,217 | −68.0% |
| Net profit attrib. to owners (¥ million) | 343 | 1,011 | −66.1% |
| EPS (¥) | 18.47 | 54.48 | −66.1% |
| Diluted EPS (¥) | 16.57 | 52.22 | −68.3% |
| EBITDA (¥ million) | 1,066 | 1,184 | −10.0% |
| Adjusted EBITDA (¥ million) | 778 | 1,413 | −44.9% |
| Comprehensive income (¥ million) | 363 | 605 | −39.9% |
| Total assets (¥ million) | 15,209 | 15,011 | +1.3% |
| Net assets (¥ million) | 9,169 | 8,953 | +2.4% |
| Equity ratio | 59.3% | 58.0% | +1.3pp |
| Interim dividend paid (¥) | 14.00 | 14.00 | — |
| FY guidance — revenue (¥ million) | 24,500 | — | +2.4% |
| FY guidance — operating profit (¥ million) | 900 | — | +6.4% |
| FY guidance — net profit (¥ million) | 600 | — | −42.1% |
| FY guidance — EPS (¥) | 32.32 | — | — |
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