TOKYO, Mar 17 (Pulse News Wire) – Gatechnologies CO.,LTD. (3491.T) reported a net loss of ¥1.173 billion for the first quarter ended October 2026, compared to a profit of ¥899 million in the same period last year.
Adjusting for one-time factors, adjusted operating income increased YoY by 8.6%, maintaining growth momentum despite delays in its downsizing business initiative and significant marketing expenses amounting to approximately ¥1 billion. The company's core business profitability rate stood at 14.2%, reflecting steady progress towards its mid-term targets. However, the implementation of extensive marketing strategies led to a decline in the core business margin due to timing discrepancies in the downsizing project.
Despite these challenges, subscription services showed robust performance, growing YoY by 30% without accounting for temporary revenue adjustments from previous management plan changes. GAtechnologies also highlighted strong growth in its US business, driven by the marketplace division, which saw substantial revenue increases. Operating losses narrowed significantly, indicating improved operational efficiency.
Looking ahead, the company anticipates continued growth in key segments such as property technology platforms and international expansion efforts.
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