MTI Ltd.
9438・Prime Market・Information & Communication
Content Business
A mature business centered on BtoC monthly subscription services that supports the Group's earnings base
| Period | Current | Previous | Change |
|---|---|---|---|
| Revenue (H1 FY2026, ending March 2026) | ¥8,399 million | ¥8,542 million (H1 FY2025, ending March 2025) | ↓ |
| Operating income (H1 FY2026, ending March 2026) | ¥2,240 million | ¥1,979 million (H1 FY2025, ending March 2025) | ↑ |
| Operating margin (H1 FY2026, ending March 2026) | approx. 26.7% | approx. 22.9% (H1 FY2025, ending March 2025) | ↑ |
| Number of paying members (as of end of March 2026) | 3.18 million | 3.24 million (as of end of September 2025) | ↓ |
| Revenue (full year, prior year results) | ¥17,314 million (FY2025, ending September 2025, full year) | — | — |
| Operating income (full year, prior year results) | ¥4,270 million (FY2025, ending September 2025, full year) | — | — |
Business Details
Provides BtoC monthly subscription content services for smartphones, including entertainment content such as video, music, books, and comics, as well as lifestyle content such as the security-related app AdGuard (Security-related App). In addition, this segment includes the BtoB Original Comics Business, which provides original comic works to comic distribution operators. It plays the role of supporting the Group's overall earnings and generating funds for upfront investment in the Healthcare Business and School DX Business. Note that in the first half of FY2026 (ending March 2026), the company transferred all shares of consolidated subsidiary Video Market Co., Ltd., which was subsequently excluded from consolidation.
Recent Overview
Revenue declined due to the sale of Video Market, but operating income increased significantly due to cost reductions
In the first half of FY2026 (ending September 2026), following the transfer of all shares of consolidated subsidiary Video Market Co., Ltd., the company was excluded from consolidation, resulting in revenue of ¥8,399 million (down 2.9% year on year). The number of paying members also decreased by 60 thousand due to the loss of Video Market's members, bringing the total to 3.18 million, though expansion of AdGuard (Security-related App) and other services kept the figure roughly flat. On the other hand, cost control through reductions in selling, general and administrative expenses led to a substantial increase in operating income to ¥2,240 million (up 13.2% year on year), improving the operating margin to approximately 26.7%.
Key Products
Growth Drivers
- Continued expansion in the number of paying members for the security-related app AdGuard (Security-related App)
- Improved profitability through cost reduction and greater efficiency in selling, general and administrative expenses (demonstrated in H1 FY2026, ending March 2026)
- Expansion of the BtoB business through an increase in the number of Original Comics titles
- Acquisition of new members through enrollment promotion via carrier shops
- Improvement of the earnings structure through optimization of the business portfolio following the sale of Video Market
Risks
- Risk of market maturity and a plateau in the number of paying members in the smartphone monthly subscription market
- Structural decline in revenue due to the deconsolidation of Video Market Co., Ltd.
- Profit pressure from increased advertising expenses associated with promoting enrollment for AdGuard and other services
- High dependence on revenue from major clients (NTT DOCOMO and KDDI), making the segment susceptible to changes in carrier policy
- Risk of rising content procurement costs
- Since this segment serves as a source of growth investment funds for the Group as a whole, maintaining earnings is a precondition for the medium- to long-term strategy
Last updated: December 19, 2025