Bizmates, Inc.
9345・Growth Market・Services
Language Solutions Business
The core business, centered on business-focused online English conversation lessons, serving both corporate and individual customers.
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment sales (Q1 FY2026, ending December 2026) | ¥810 million | ¥838 million (Q1 FY2025, ended December 2025) | ↓ |
| Segment profit (Q1 FY2026, ending December 2026) | ¥243 million | ¥286 million (Q1 FY2025, ended December 2025) | ↓ |
| Segment profit margin (Q1 FY2026, ending December 2026) | 30.0% | 34.2% (Q1 FY2025, ended December 2025) | ↓ |
| Segment sales (full-year results, for reference) | ¥3,322 million (full year FY2025, ended December 2025) | — | — |
| Segment profit (full-year results, for reference) | ¥1,020 million (full year FY2025, ended December 2025) | — | — |
Business Details
Utilizing the proprietary communication system "MyStage," the company provides "Bizmates," a business-focused online English conversation service featuring carefully selected trainers with an acceptance rate of 1.0% or less. In addition to monthly flat-rate lessons for individuals, the segment also offers Global Talent Development Solutions for Corporations (training and consulting sales), the English learning app "Bizmates App," the coaching service "Bizmates Coaching," and "Zipan," a business Japanese lesson service for foreign nationals. This core segment accounts for approximately 95% of consolidated net sales.
Recent Overview
The number of individual learners is on a gradual recovery trend, but sales and profit both declined year on year.
In the first quarter of FY2026 (ending March 2026 [ending December 2026]), sales in the Language Solutions Business were ¥810 million (down 3.3% year on year), and segment profit was ¥243 million (down 15.2% year on year). For individual customers, the company promoted a hybrid learning platform combining Bizmates, Bizmates Coaching, and Bizmates App, and despite a challenging competitive environment, the number of learners has been gradually recovering. For corporate customers, performance remained steady, driven by consulting sales efforts that led to the receipt of large-scale orders. On the other hand, an increase in cost of sales (from ¥206 million in the same period of the prior year to ¥214 million in the current period) and structural changes in selling, general and administrative expenses have put pressure on profit margins.
Key Products
Growth Drivers
- Increase in the number of paying corporate clients and receipt of large-scale orders through strengthened corporate consulting sales
- Expansion of market share in the coaching market (Bizmates Coaching)
- Establishment of a hybrid learning platform through the implementation of shadowing and AI role-play functions in Bizmates App
- Improvement in LTV through expansion of the service lineup, including offline training and cross-cultural training
- Overseas expansion into the Taiwan market (acceptance testing commenced from January 2026)
Risks
- Intensifying competition in the individual market (increasing new entrants offering online English conversation and generative AI-based services)
- Pressure on profit margins due to continued increases in personnel and recruitment expenses associated with the transition to a CxO structure and workforce reinforcement
- Increase in outsourcing costs to trainers (Philippine subsidiary) in line with an increase in the number of lessons provided
- Impairment risk related to intangible fixed assets (in-house developed software)
- Foreign exchange risk (foreign-currency-denominated costs associated with transactions with the Philippine subsidiary; a foreign exchange loss of ¥3 million was recorded in the current period)
Last updated: March 26, 2026