EYEZ,INC.

Business Details

The company operates its core services around "Media Radar," a lead-generation platform for the advertising industry, "Torami," a word-of-mouth marketing service, and "Facclog," a factoring comparison site. Its BtoB matching model connects listed companies/clients with members/users, with lead information provision as its primary revenue source. Facclog, acquired in September 2025, is positioned as the company's third pillar, and the company is promoting diversification of its business portfolio.

Recent Overview

1Q FY2026 saw revenue up 3.8% and a return to operating profitability, with Facclog contributing as a new revenue pillar

Revenue for the first quarter of FY2026 (ending December 2026; January–March 2026) was ¥257 million (up 3.8% year on year), and operating profit was ¥2 million (versus a loss of ¥3 million in the same quarter of the previous year), marking a return to profitability. Facclog recorded revenue of ¥63 million and drove overall performance, while Media Radar declined 31.3% due to changes in customer behavior accompanying the spread of generative AI and reduced advertising investment, and Torami declined 11.7% due to delays in project acceptance—leaving the two core services struggling. Gross profit margin improved to 93.5% owing to a reduction in cost of sales (from ¥20 million to ¥16 million year on year). The full-year earnings forecast (revenue of ¥1,008 million, operating profit of ¥7 million) remains unchanged.

Key Products

Growth Drivers

• Continued growth in the digital advertising market (2.9% year-on-year growth forecast for 2026; source: Dentsu Group, December 4, 2025)
• Favorable current performance and focused allocation of management resources at Facclog, leveraging matching platform know-how
• Multi-faceted revenue growth measures at Facclog, including agency sales, advertising/SEO, lead provision through bulk assessments, and direct sales to factoring companies
• Responding to listed companies' needs through Media Radar's shift toward individual material downloads (higher-quality leads)
• Improved cost structure through operational efficiency gains such as automated advertising report creation using generative AI
• Strengthened re-approaches to existing Torami customers and expanded development of new prospective customers

Risks

• The risk of ongoing changes in demand structure for the traditional bulk lead-generation model, as AI-driven changes in customer behavior caused Media Radar's material downloads to fall below the same quarter of the previous year
• Media Radar's revenue declined sharply by 31.3% year on year, making recovery of this core service's earnings key to achieving the full-year forecast
• Risk of delays in project acceptance timing and delayed revenue recognition on new projects at Torami
• Risk of advertisers holding back ad placements at Torami due to continued stealth marketing regulations
• Continued amortization and impairment risk related to goodwill (¥169 million at end of 1Q FY2026, including goodwill from the Facclog acquisition)
• Repayment burden and financial leverage associated with long-term borrowings of ¥191 million (current and non-current combined)
• Ongoing trade-off between investment restraint and growth, as reductions in advertising expenses directly affect member acquisition and download numbers