Slide 1: LY Corporation Earnings FY2026 Q1
LY Corporation Earnings FY2026 Q1 August 3, 2026 Security Code: 4689
Slide 2: FY2026 Q1 Earnings Highlights
FY2026 Q1 Earnings Highlights LY Corporation’s gross profit grew, with performance exceeding internal projections. 1 - FY2026 Q1 Results: Consolidated revenue JPY553.9 B (YoY+13.1%) / Consolidated adjusted EBITDA JPY154.8 B (YoY+23.1%) Expanded user base and promoted monetization of AI-powered servi
Slide 3: Table of Contents
Table of Contents 1 Financial Results – Consolidated 2 Financial Results – by Segment 3 Scheduled Commencement of Tender Offer for Kakaku.com
Slide 4: Table of Contents
Table of Contents 1 Financial Results – Consolidated 2 Financial Results – by Segment 3 Scheduled Commencement of Tender Offer for Kakaku.com
Slide 5: Consolidated FY2026 Q1 – Performance
Consolidated FY2026 Q1 – Performance Both revenue and profit have made steady progress toward achieving the full-year guidance Segment Item FY2026 Q1 % YoY Change Progress Against Guidance Revenue JPY553.9 B +13.1 % +24.7 % Consolidated Adjusted EBITDA JPY154.8 B +23.1 % +26.5 % Adjusted EPS JPY9.70
Slide 6: Consolidated – Performance
Consolidated Consolidated – Performance Revenue grew 13.1%, adjusted EBITDA rose 23.1%, with a significant improvement in adjusted EBITDA margin Revenue/ %YoY Growth Adjusted EBITDA/ %YoY Growth Adjusted EBITDA Margin (JPY B) (JPY B) +13.1% +23.1% +9.4% +10.7% % Growth +5.7% % Growth +11.3% +11.2% -
Slide 7: Consolidated – Performance
Consolidated Consolidated – Performance In addition to PayPay Consolidated, higher gross profit at LY Corporation contributed to overall profit growth Factors of Change in Adjusted EBITDA1 (JPY B) Adjusted EBITDA of Adjusted EBITDA of LY Corporation, etc. ZOZO/ASKUL/newly Adjusted EBITDA +14.8 of Pa
Slide 8: Agent i
Consolidated Agent i User navigation enhancements and usability improvements drove greater everyday usage. Users exceeded 12 million. User Navigation & Feature Enhancements Usability Improvements Seamless transition from Long-term memory of Domain agents: Expanded to 25 domains2 LINE and Yahoo! JAPA
Slide 9: Collaborative Initiatives with Seven-Eleven
Consolidated Collaborative Initiatives with Seven-Eleven Deliver a convenient and rewarding shopping experience to 100 million users Various campaigns for Expansion of digital LYP Premium members touchpoints via LINE Official Account and LINE MINI App LYP Premium LINE Official Account LINE MINI App
Slide 10: Table of Contents
Table of Contents 1 Financial Results – Consolidated 2 Financial Results – by Segment 3 Scheduled Commencement of Tender Offer for Kakaku.com
Slide 11: Media Business – Performance
Media Business Media Business – Performance Further shift in revenue mix. Double-digit adjusted EBITDA growth with margin up 4.2 percentage points YoY. Revenue/ % YoY Growth1, 2, 3 Adjusted EBITDA/ % YoY Growth1, 2, 3 Adjusted EBITDA Margin1, 2, 3 (JPY B) (JPY B) +0.6% -0.3% +0.1% +1.3% +2.6% +14.2%
Slide 12: Media Business – Performance (YoY +14.2%)
Media Business Media Business – Performance Revenue1, 2 Adjusted EBITDA1, 2, 3 (JPY B) (JPY B) 182.0 +2.6% (YoY +14.2%) 177.5 76.1 Decrease Increase 43.0 -6.8% in COGS Search Advertising 46.1 in revenue -0.9 +4.5 -4.0 58.7 -2.5% Decrease Display Advertising 60.2 66.7 in SG&A, etc. 38.3 +13.3% Accoun
Slide 13: Account Advertising: Expanding steadily, in line with the initial plan
Media Business Account Advertising Expanding steadily, in line with the initial plan No. of Paid LINE Official Accounts (Global/Japan)1 Revenue / % YoY Growth (Thousands) (JPY B) 500 +16.5% 484 493 +14.2% +13.6% 469 Pay-As-You-Go +13.3% +13.3% 454 43 46 44 Billing Accounts1 41 38 38.1 37.6 38.3 34.9
Slide 14: LINE MINI App
Media Business LINE MINI App Growth exceeded 50% YoY both for the number of MINI Apps and MAU No. of LINE MINI Apps LINE MINI App MAU (Thousands) (Mil) Increase due to temporary reinforcement of user traffic to the 35 33 tab at launch, and campaign activities 30 28.97 25 23 22.18 20.48 16.85 14.73 Y
Slide 15: Digital Transformation (DX) Solutions for Stores and CRM
Media Business Digital Transformation (DX) Solutions for Stores and CRM Monetization for store DX began in June. Service deployment progressing smoothly. DX Solutions for F&B and Hair/Beauty Industries Advanced LINE Official Accounts Restaurant/Beauty Options CRM Options Centralizing reservations, c
Slide 16: LYP Premium
Media Business LYP Premium User subscriptions (e.g., LYP Premium) becoming a revenue pillar for the Media Business Membership Base Expansion New Plans and Enhanced Benefits No. of Direct Subscribers1 New Plans (Mil) Goal: 10.00 mil (New plans included) Lite Plan Enjoy Pack New LINE MUSIC Plan Unsend
Slide 17: Commerce Business – Performance
Commerce Business Commerce Business – Performance Revenue and adjusted EBITDA both achieved double-digit growth, with a significant margin improvement Revenue/ %YoY Growth1, 2, 3 Adjusted EBITDA/ %YoY Growth1, 2, 3 Adjusted EBITDA Margin1, 2, 3 (JPY B) (JPY B) +7.3% +8.6% +12.5% -4.3% +10.2% +3.6% -
Slide 18: Commerce Business – Performance (YoY +10.2%)
Commerce Business Commerce Business – Performance Revenue1, 2 Factors of Change in Adjusted EBITDA1, 2, 3 (JPY B) (JPY B) Decrease in 242.8 +12.5% Increase adjusted EBITDA in revenue of ASKUL 215.9 +83.8% +6.6 -5.2 75.6 Excl. BEENOS and (YoY +10.2%) 41.1 LINE MAN LY Corporation (+11.2%) +0.4 -0.3 42
Slide 19: Commerce Business Transaction Value
Commerce Business Transaction Value1 Reuse business sustained strong growth Shopping Reuse Services ZOZO & ASKUL Transaction Value / %YoY Growth Transaction Value / %YoY Growth Transaction Value / %YoY Growth Transaction Value / %YoY Growth (JPY B) (JPY B) (JPY B) (JPY B) +15.0% +16.8% +11.9% +16.0%
Slide 20: Shopping & Reuse Businesses
Commerce Business Shopping & Reuse Businesses Continuous improvements to service features and promotions drove the growth in transaction value Yahoo! JAPAN Shopping Yahoo! JAPAN Auction & Yahoo! JAPAN Flea Market • Introduced PayPay Points (Time Limited),1 reinforced frequently purchased • Stimulate
Slide 21: Strategic Business – Performance
Strategic Business Strategic Business – Performance Both revenue and adjusted EBITDA grew significantly, while the margin expanded to 26.9% Revenue/ %YoY Growth1,2,3 Adjusted EBITDA1,2.3 Adjusted EBITDA Margin1,2,3 (JPY B) (JPY B) +34.9% +34.9% +34.9% 35.0 +30.0% % Growth +22.0% 130.2 118.4 120.9 26
Slide 22: Strategic Business – Performance
Strategic Business Strategic Business – Performance Revenue1,2,3 Factors of Change in Adjusted EBITDA1,2,4 (JPY B) (JPY B) Increase 130.2 +34.9% in revenue Increase in SG&A +33.7 +16.2 96.5 +3.6 (YoY +64.4%) Increase in COGS 35.0 108.6 +28.4% PayPay Consolidated 84.6 21.3 21.5 +81.7% Other Fintech 1
Slide 23: PayPay Consolidated – Business Overview
Strategic Business PayPay Consolidated – Business Overview Accelerating the delivery of comprehensive financial services through the acquisition of T&D Financial Life Insurance No. of Registered Users1 GMV (Consolidated)2 Revenue (Consolidated)3 EBITDA (Consolidated)4 (Mil) (JPY T) (JPY B) (JPY B) 7
Slide 24: Table of Contents
Table of Contents 1 Financial Results – Consolidated 2 Financial Results – by Segment 3 Scheduled Commencement of Tender Offer for Kakaku.com
Slide 25: Overview of the Scheduled Tender Offer
Overview of the Scheduled Tender Offer Items Details • Two tender offer price offered depending on Kakaku.com’s acquisition of treasury shares from KDDI - When all shares are acquired through the tender offer: JPY3,520/share Tender Offer Price - If Kakaku.com acquires its treasury shares from KDDI:
Slide 26: Synergies to Be Created (Proposed)
Synergies1 to Be Created (Proposed) Leveraging LY Corporation's extensive user touchpoints, data, and payment platform (Subject to the successful completion of the transaction, a separate presentation will be provided on the details) 1. User referral to Kakaku.com’s businesses 2. Use of Kakaku.com’s
Slide 27: Disclaimer
Disclaimer Statements made at the meeting or included in the documents that are not historical facts are forward-looking statements about the future performance of LY Corporation (Company) and its consolidated subsidiaries and affiliates. The Company cautions you that a number of important factors c
Slide 28: WOW Our Users!
LY Corporation WOW Our Users!