jig.jp co. ,ltd.

Business Details

The Group operates the live streaming service Fuwacc (iOS/Android/Web) as its core business, alongside the feature-phone browser jig browser, the VTuber-related service SPOTLIGHTS, and the restaurant reservation proxy app Pecotter. The majority of revenue is derived from item purchases (gifting) by viewing users. As the Government & Enterprise-related Business is deemed to lack materiality as disclosed information, segment information for it has been omitted, meaning the Consumer-related Business effectively constitutes the Group's overall performance.

Recent Overview

Net sales increased 6.1% year on year, but operating profit declined 1.8% due to higher SG&A expenses.

Consolidated net sales for the full year FY2026 (ending March 2026) reached ¥14,631 million (up 6.1% year on year), achieving revenue growth. However, cost of sales increased from ¥715 million to ¥955 million, and selling, general and administrative expenses expanded from ¥11,068 million to ¥11,698 million, resulting in a decline in operating profit to ¥1,976 million (down 1.8% year on year). Net profit increased to ¥1,155 million (up 7.3% year on year), reflecting the absence of the prior-period extraordinary loss (¥155 million related to fraudulent refunds), among other factors. The domestic smartphone household penetration rate remained high at 93.5% as of the end of March 2026. Ambireal Inc. was newly added to the scope of consolidation as a subsidiary.

Key Products

Growth Drivers

• Increase in new users and expanded usage opportunities from existing users utilizing multiple services concurrently, against a backdrop of continued expansion in the video posting and live streaming market
• A large potential user base underpinned by the 93.5% domestic smartphone household penetration rate (as of end of March 2026)
• Continued implementation of measures to enhance user engagement through the addition of new items and features and the hosting of regular events
• Disciplined advertising investment based on ROAS/ROI management with a focus on acquisition efficiency
• Compression of payment processing fees and improved profitability through diversification of payment channels (increased browser payment ratio)
• High ARPPU from the core user segment of people in their 30s to 50s (centered on the working-age population with relatively high wage levels)
• Acquisition of new revenue base and business diversification through the consolidation of Bachelor Date Inc. (matching app), effective April 30, 2026

Risks

• Intensifying competition due to aggressive advertising and user retention efforts by new entrants and competitors in the live streaming market
• Declining trend in the number of paying unique users (down 1.7% year on year in Q4 FY2025, ended March 2025)
• Risk of fee burden due to reliance on specific platform providers (Apple, Google, DG Financial Technology, etc.) for payment processing
• Risk of recurrence of incidents threatening platform integrity, such as fraudulent refunds (an extraordinary loss of ¥155 million was recorded in the prior period; none occurred in the current period)
• Decline in the number of unique streaming users (down 4.0% year on year in the Q4 FY2025 monthly average, ended March 2025)
• Risk of impact on performance due to changes in estimates regarding the recoverability of deferred tax assets (an income tax adjustment of ¥60 million was recorded in the current period)
• Risk of increased financial leverage due to total borrowings of ¥3,480 million from three banks in connection with the acquisition of Bachelor Date Inc. (acquisition price of ¥3,483 million)
• Risk of margin decline due to increased cost of sales (up 33.6% year on year) and increased SG&A expenses