MFS Reports Third Quarter Profit Recovery Amid Revenue Adjustments

TOKYO, May 14 (Pulse News Wire) – MFS, Inc. (196A.T) reported a recovery to profitability in its third quarter ending March 2026, driven by cost efficiencies and strategic adjustments.

Operating profit improved significantly due to reduced advertising expenses, achieving a decrease of 49.6% in customer acquisition costs (CPA). Despite revenue growth slowing down, the company managed to record a cumulative net income of ¥128.583 billion for the quarter. For the fiscal year through June 2026, MFS expects to achieve a consolidated operating profit of ¥195.2 billion, marking a positive revision from previous forecasts. The improvement is attributed to continued efficiency measures and the successful transition to a funding execution-based billing model.

Additionally, the company plans to fully integrate AI across its services by the end of June 2026, enhancing operational capabilities and client offerings. In the INVASE division, while revenues saw a temporary decline compared to the previous quarter, the sales and trading model remained robust, contributing to sustained profitability. Looking ahead, MFS anticipates maintaining black ink throughout the fiscal year despite projected revenue reductions. The company's focus remains on optimizing marketing strategies to ensure sustainable growth and profitability moving forward.