WirelessGate, Inc.
9419・Standard Market・Information & Communication
Business
WirelessGate, Inc. is a company established in 2004 that specializes exclusively in wireless broadband services. It procures WiMAX lines from UQ Communications and provides mobile internet services such as "WirelessGate WiMAX+5G" to individual customers through consumer electronics retailers (Yodobashi Camera, etc.) and its own e-commerce site. In November 2025, the company made FREEDiVE, Inc. a wholly owned subsidiary, adding mobile Wi-Fi rental services (MUGEN WiFi, AIR WiFi, 5G CONNECT, etc.) to its business domain. It also operates direct online sales of prepaid eSIM to capture demand from inbound visitors to Japan, recording telecommunications business revenue of ¥8,272 million and digital marketing business revenue of ¥76 million. Listed on the Standard Market of the Tokyo Stock Exchange.
Business Model
The majority of revenue is composed of continuing usage fee income (stock-based) from monthly paying members. Communication lines are procured from UQ Communications and others, and customers are acquired through sales agencies such as Yodobashi Camera and the company's own EC site. Payment commissions such as sales commissions and incentive payments account for the majority of SG&A expenses (¥3,350 million), making the structure such that fluctuations in the number of members directly affect revenue. Collection operations are outsourced to GMO Payment Gateway (equivalent to 89.1% of sales) for payment collection.
Company Strengths
Adopted a subscription-based (stock-type) billing model centered on recurring usage fee income from monthly paying members. Of the ¥8,349 million in net sales for FY2025 (ending December 2025), the telecommunications business accounted for ¥8,273 million, forming a stable revenue base. In the fourth quarter, the number of WiMAX contracts turned to net increase, with the contract count at fiscal year-end reaching 100.2% compared to the end of the third quarter.
The company continues to maintain a sales agency agreement with Yodobashi Camera Co., Ltd. (concluded in April 2018, automatically renewed annually), securing a stable customer acquisition base through nationwide consumer electronics retail channels. Further strengthening of this partnership is explicitly stated as a key tactic in the medium-term management plan.
In November 2025, the company made FREEDiVE Co., Ltd. a wholly owned subsidiary. FREEDiVE is an established company operating multiple brands (Mobile WiFi Service (FREEDiVE: MUGEN WiFi, AIR-WiFi, 5G CONNECT), etc.) in EC sales of mobile WiFi services, and expansion of the customer base through synergies with the company's brick-and-mortar sales capabilities is expected. Goodwill recorded amounted to ¥575 million.
ENVALITH's Perspective
Performance Trend
Net sales peaked at ¥9,776 million in FY2021 and had contracted for four consecutive fiscal years to ¥8,349 million in FY2025, but in Q4 of the fiscal year ending December 2025, the company made FREEDiVE a wholly owned subsidiary and transitioned to consolidated accounting. In Q1 of the fiscal year ending December 2026 (January to March 2026), the company recorded net sales of ¥2,764 million, operating profit of ¥116 million, ordinary profit of ¥116 million, and quarterly net profit of ¥75 million. Year-on-year comparison is not possible due to the shift to consolidated accounting. The number of WiMAX subscriptions turned to net growth, reaching 100.9% of the previous fiscal year-end level at the end of Q1. In terms of the external environment, resilient inbound demand to Japan is providing a tailwind, while exchange rate fluctuations, rising prices, and increasing labor costs are heightening uncertainty in the business environment. There has been no change to the full-year forecast, which remains at net sales of ¥11,000 million and operating profit of ¥430 million.
Growth Strategy
Aiming for sales scale of ¥11,000 million through FREEDiVE synergies, Global eSIM expansion, and channel diversification
FREEDiVE became a wholly owned subsidiary in Q4 of FY2025 (ending December 2025), with full-year consolidated contribution beginning in FY2026 (ending December 2026). FREEDiVE's sales in Q1 amounted to ¥489 million, functioning as a key driver toward achieving the group-wide sales target of ¥11,000 million.
Leveraging the resilient trend in inbound demand as an external environment factor, the Global eSIM Service (Prepaid eSIM for Inbound Visitors to Japan) has been clearly established as the next growth axis. The segment name has been changed to "Wi-Fi and Global eSIM Connectivity Business," and efforts are underway to secure first-mover advantages through direct web sales.
Capitalizing on market expansion driven by the spread of home routers, the company is deepening collaboration with agencies and enhancing direct-sales e-commerce sites. WiMAX subscriptions at the end of Q1 FY2026 (ending March 2026) reached 100.9% of the previous fiscal year-end level, turning to net growth, and efforts to recover and expand the cumulative subscriber base are being strengthened as a key priority.
By expanding the lineup of New Category Products such as PHILIPS Mice and Recovery Wear, developing new products such as SIM-free tablets, and expanding sales of peripheral services such as Virus Buster, Pika Pro DX, and smartphone insurance, the company aims to diversify revenue away from WiMAX dependence and increase customer spend.
Last updated: July 17, 2026