On the 14th, Kaizen Platform <4170> announced its consolidated financial results for the third quarter of the fiscal year ending December 2024 (January-September 2024). Revenue was 3.385 billion yen, an increase of 6.2% compared to the same period last year, with an operating loss of 0.03 billion yen (compared to a loss of 0.075 billion yen in the same period last year), a recurring loss of 0.021 billion yen (compared to a loss of 0.071 billion yen), and a quarterly net loss attributable to shareholders of the parent company of 0.051 billion yen (compared to a loss of 0.088 billion yen).

The revenue from the growth segment was 1.768 billion yen, an increase of 1.5% compared to the same period last year, with a segment loss of 0.076 billion yen (compared to a loss of 0.121 billion yen in the same period last year). In addition to the improvements made on websites and video production thus far, a focus on total proposals tailored to client challenges, including website production and CRM improvements by the subsidiary D-Zero, has facilitated cross-selling mainly to major clients, resulting in a 10% increase in ARPU, demonstrating steady progress.

The revenue from the transformation segment was 1.616 billion yen, an increase of 11.7%, with a segment profit up 1.4% to 0.045 billion yen. Revenue is generated from consulting and workshops related to DX and the business conducted by Hiwell, which was made a subsidiary in October 2022. Active total proposals aimed at major clients have led to increased customer unit prices centered around DX consulting, continuing to expand the business performance.

Regarding the consolidated performance forecast for the fiscal year ending December 2024, the company maintains its initial plan, with revenue increasing by 3.6% YoY to JPY 4.5 billion, EBITDA increasing by 4.5% to JPY 0.25 billion, operating profit of JPY 0.01 billion, ordinary profit of JPY 0.00 billion, and a net loss attributable to parent company shareholders of JPY 0.03 billion.