On the 31st, ODK Solutions<3839> released its consolidated financial results for the first quarter of the 2025 fiscal year (April-June 2024). Revenue was ¥1.057 billion, a 9.6% increase year-on-year, while operating losses were ¥0.186 billion (compared to ¥0.138 billion in losses for the same period last year), ordinary losses were ¥0.161 billion (compared to ¥0.12 billion in losses), and net losses attributable to the parent company's shareholders for the quarter were ¥0.123 billion (compared to ¥0.089 billion in losses).

As part of its medium-term management plan (fiscal years 2025 to 2027), the company group put forth the basic policy of expanding the ODK group, and is pursuing various measures as priorities for this year such as promoting the new business portfolio, realizing group synergies, and promoting M&A and alliances. As a part of its strategy, it is advancing service development in various fields based on the next-generation solution "Apdemy(R)", which proves experience records by utilizing NFTs, and is providing "CareerPort", a recruitment support service, at its consolidated subsidiary, Potos. Potos has signed a business alliance agreement with NINJAPAN, which has a wealth of experience in job hunting support, aiming to offer a one-stop career support service for future "test takers to working adults", and plans to launch its "Recruitment Branding Media Business" in October 2024 as the first step of the alliance.

On the performance side, the company experienced an increase in revenue due to the contribution of sales relating to the development of clinical examination core systems in medical operations and the regulatory reform response development project in the securities business. However, due to a temporary special factor of increased cost of sales due to the decline in software assets development investment accompanying the increase of revenue and fixed costs such as personnel expenses incurred in the previous fiscal year's regulatory reform response, the operating loss increased. The company's businesses tend to increase profits in the fourth quarter, including entrance exam business operations at universities, therefore, revenue in the first quarter tends to be relatively low. However, fixed costs such as personnel expenses do not vary on a quarterly basis, resulting in profits in the first quarter remaining at a very low level compared to other quarters. Although the profit and loss is negative up until the third quarter every year, it is resolved on an annual basis. The sales of the system operation increased 1.5% year-on-year to ¥0.913 billion due to recognition of sales for university entrance exams and other items. The sales of the system development and maintenance increased 193.4% to ¥0.139 billion due to sales of development projects such as clinical examination core systems for medical operations and regulatory reform response in the securities business. The sales of machinery decreased by 71.7% to ¥0.005 billion due to the completion of deliveries of medical system tablet products.

Revenue from system operations increased by 1.5% year-on-year to ¥0.913 billion due to recognition of sales for university entrance exams and other items.

Revenue from system development and maintenance increased by 193.4% to ¥0.139 billion due to sales of development projects such as clinical examination core systems for medical operations and regulatory reform response in the securities business.

Sales of machinery decreased by 71.7% to ¥0.005 billion due to the completion of deliveries of medical system tablet products.

The company is maintaining its initial plan of a consolidated revenue of ¥6.7 billion (a 14.2% increase from the previous year's period), operating profit of ¥0.47 billion (a 17.9% decrease from the previous year's period), ordinary profit of ¥0.5 billion (a 17.3% decrease from the previous year's period), and net income attributable to the parent company's shareholders of ¥0.34 billion (a 27.4% increase from the previous year's period) for the full fiscal year ending in March 2025.