Cookpad Inc.

Business Details

The sole reportable segment of Cookpad Inc. It consists of three services: the core recipe posting and search service "Cookpad" (Recipe Service), which operates globally with a focus on Japan; "moment," an AI camera-based cooking coaching service; and "Cookpad Mart," a fresh food purchasing service utilizing refrigerated delivery boxes installed in apartment buildings and similar locations. The majority of revenue is derived from premium membership fees for the domestic recipe service, and the company continues to invest aggressively even as the number of premium members continues to decline.

Recent Overview

A combination of declining revenue, one-time expenses from overseas personnel restructuring, and losses on securities valuation resulted in a quarterly loss of ¥417 million

Revenue for the first quarter of FY2026 (ending March 2026) (January to March 2026) was ¥1,267 million (down 7.7% year-on-year), as the decline in premium membership numbers continued. Selling, general and administrative expenses swelled to ¥1,397 million (up 10.5% year-on-year), due in part to the recording of ¥182 million in one-time expenses associated with personnel restructuring at overseas locations, resulting in an operating loss of ¥137 million. Furthermore, fair value valuation differences on held securities arising from market fluctuations, primarily in the U.S. market, were recorded as financial expenses, resulting in a loss before tax of ¥415 million and a quarterly loss attributable to owners of the parent of ¥417 million. Additionally, as of March 31, 2026, the company retired 28,621,500 shares of treasury stock, significantly changing its capital structure. As a subsequent event, on May 1, 2026, stock acquisition rights (equivalent to 260,000 shares, exercise price ¥143) were allotted to four executive officers.

Key Products

Growth Drivers

• Continued financial income from securities investment (¥86 million in Q1 FY2026, ending March 2026)
• Improved product development efficiency through the integration of domestic and global development structures
• Advancement of operational efficiency, including personnel restructuring at overseas locations
• Confirmation of positive traction in personalized individual experiences within the AI-powered moment service
• Improved capital efficiency through the retirement of treasury stock (28,621,500 shares)

Risks

• Shrinkage of the main revenue source due to the continued decline in premium service membership numbers
• Risk that changes in search experience driven by advances in AI technology could erode the competitive advantage of the recipe service
• Uncertainty regarding the establishment of new revenue sources due to delays in the development and rollout of moment and Cookpad Mart
• Difficulty in securing scalability and profitability for Cookpad Mart due to logistics and supply constraints
• Risk of fair value valuation losses on held securities due to market fluctuations, primarily in the U.S. market
• Incurrence of one-time expenses associated with structural reforms, including personnel restructuring at overseas locations
• Insufficient information for investors due to non-disclosure of earnings forecasts for FY2026 (ending December 2026) (difficulty in reasonable estimation)
• Uncertainty regarding future taxable income outlook, as evidenced by the reversal of deferred tax assets