freee K.K. · TSE:4478
freee K.K — Q1 FY2027.6 Earnings Presentation
59 slides from freee K.K's earnings presentation, Nov 11, 2026
Slide 1: Q1 FY2027.6 Financial Results
Q1 FY2027.6 Financial Results freee K.K. November 11, 2026
Slide 2: Highlights for the First Quarter of Fiscal Year Ending June 30, 2027
Highlights for the First Quarter of Fiscal Year Ending June 30, 2027 Revenue grew +23.5% YoY with an adj. operating profit margin of 12.4%, remaining on track to achieve full-year earnings guidance. ● Solid revenue growth and enhanced profitability drove a strong start toward achieving full-year ear
Slide 3: Important KPIs and Financial Results
Important KPIs and Financial Results Platform ARR(1) Platform Number of Paying Customers(2) Platform ARPU(3) JPY 45.2Bn (YoY +21.9%) 694K+ (YoY +11.2%) JPY 65.1K (YoY +9.7%) Corporate Segment: Corporate Segment: Corporate Segment: JPY36.4Bn (YoY +24.1%) 275K+ (YoY +11.8%) JPY132.2K (YoY +11.0%) Reve
Slide 4: Financial Highlights - Platform Business -
Financial Highlights ‐ Platform Business ‐ 4
Slide 5: Platform ARR
Platform ARR ● Platform ARR reached JPY 45,265MM, up +21.9% YoY. ○ Subscription ARR(1): Corporate segment growth accelerated to 22.1% YoY, driven by the Mid segment. ○ Transaction ARR(2): Sustained strong growth at +61.0% YoY, driven by the continuing expansion of the corporate credit card business.
Slide 6: Mid Segment Platform ARR
Mid Segment Platform ARR ● Achieved strong growth of +29.3% YoY, expanding to JPY 18,302MM. ○ Cross-selling HR solutions and corporate credit cards drove sustained high growth. In addition,industry-specific initiatives progressed steadily, supported by solid performance from Logikura’s freee Invento
Slide 7: Number of Paying Customers/ARPU (Platform)
Number of Paying Customers/ARPU (Platform) ● Number of paying customers grew +11.2% YoY to 694,707. ○ Corporate segment reached 275,447, up +11.8% YoY, impacted by churn associated with the termination of the A-SaaS(1) service. ● Corporate segment ARPU grew +11.0% YoY, driven by cross-selling progre
Slide 8: Revenue
Revenue ● Revenue was JPY 12,031MM, up +23.5% YoY, remaining on track toward full year earnings guidance of +23% growth. YoY Revenue(1)（Quarterly） +23.5％ JPY MM Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 FY2025.6 FY2026.6 FY2027.6 1. Apollo Inc. is consolidated from Q2 of FY2025.6, YUI Inc. is consolidated from Q3
Slide 9: Gross Profit
Gross Profit ● Gross profit was JPY 9,719MM, with a gross profit margin of 80.8%, and a gross profit margin excluding software amortization of 84.2%. Gross Profit(1)（Quarterly） Gross Profit Margin(1)（Quarterly） JPY MM % ※ Gross profit margin in () excludes the impact of software amortization (85.2%)
Slide 10: Adjusted Operating Profit
Adjusted Operating Profit ● Adjusted operating profit was JPY 1,487MM, with an adjusted operating profit margin of 12.4%. We remain committed to achieving our full-year earnings guidance. Adjusted Operating Profit(1)(2)(Quarterly) Adjusted Operating Profit(1)(2)(Quarterly) JPY MM % YoY +5.3pts Q1 Q2
Slide 11: Breakdown of SG&A (% of Revenue)
Breakdown of SG&A (% of Revenue) ● S&M(1)-to-revenue ratio decreased YoY. ARR acquisition efficiency improved primarily across the Mid segment, driven by product lineup expansion and enhanced industry-specific approaches. Additionally, the S&M ratio declined, reflecting improved marketing efficiency
Slide 12: (Reference) Adjusted EBITDA Excluding Software Capitalization
(Reference) Adjusted EBITDA Excluding Software Capitalization Q1 FY2027.6 Margin JPY MM 16.9% Margin 12.4% Margin 6.8% Adjusted Goodwill Software Adjusted EBITDA Depreciation Adjusted EBITDA Operating Profit Amortization Capitalization （Excl. Software Capitalization） 12
Slide 13: Newly Selected as a Constituent of TOPIX
Newly Selected as a Constituent of TOPIX (Tokyo Stock Price Index) ● Following the TOPIX revision, our share was newly selected as a constituent effective October 30, 2026; with TOPIX-linked assets under management estimated at approximately JPY 160Tn(1), we expect inflows from index-tracking funds
Slide 14: FY2027.6 Earnings Guidance
FY2027.6 Earnings Guidance 14
Slide 15: Reaffirming FY2027.6 Guidance: JPY 52.2Bn revenue and 11% adj. OPM
Reaffirming FY2027.6 Guidance: Targeting JPY 52.2Bn revenue and 11% adj. OPM ● For FY2027.6, we expect revenue to grow by 23.0% YoY, driven by new customer acquisition and cross-selling initiatives. ● Regarding profit performance, supported by company-wide productivity gains through AI implementatio
Slide 16: Executing Growth Initiatives to Solidify Corporate Segment Market Positioning
Executing Growth Initiatives to Solidify Corporate Segment Market Positioning ● Realize sustained growth in the Corporate segment by enhancing new customer acquisition efficiency and improving LTV through cross-selling and increased transaction volume. Solidify market positioning by leveraging brand
Slide 17: Driving Operating Leverage Through Revenue Growth and AI-Driven Productivity
Driving Operating Leverage Through Revenue Growth and AI-Driven Productivity ● By accelerating our AI initiatives, we are expanding company-wide productivity across product development, sales, marketing, and customer success. This will enhance operational leverage by moderating cost growth relative
Slide 18: Mid-to-Long-term Growth Strategy Initiatives
Mid-to-Long-term Growth Strategy Initiatives 18
Slide 19: Deliver the "Done for You" Experience
Drivers to Become the De Facto Standard for Small Business Operations ● Trustworthy AI Agents Built for Human Accountability Deliver the ● Delivering an End-to-End, Hands-Off Operations Experience ✕ AI "Done for You" Experience ● High Token Efficiency with High Quality Outputs Become the De Facto Ex
Slide 20: Surging Demand from Accounting Firms Driven by "freee × AI"
Surging Demand from Accounting Firms Driven by Expanding Awareness of "freee × AI" ● Hosted "freee Advisor Day 2026," one of the industry's largest events for accounting firms, in Tokyo, Osaka, and Fukuoka, demonstrating the value of the "Done for You" experience through hands-on AI agent sessions.
Slide 21: Expanding Adoption of AI Agents for Accounting Firms Following Commercial Launch
Steadily Expanding Adoption of AI Agents for Accounting Firms Following Commercial Launch ● As the leader of AI-Native management platforms, we commercially launched AI agents specialized for accounting firm client operations in September 2026. ● Addressing a wide range of client-related business ne
Slide 22: Expanding Addressable Market with Industry-Specific Accounting Coverage
Expanding Addressable Market by Enhancing Coverage for Industry-Specific Accounting Standards and Practices ● Launched freee Accounting for Social Welfare in October 2026, compliant with Social Welfare Corporation(1) Accounting Standards and supporting end-to-end preparation of statutory reports for
Slide 23: Integrating Factoring into freee Invoice
Integrating Factoring into freee Invoice, Delivering Seamless Access to Cash Flow Solutions ● Launched freee Invoice Factoring in September 2026, an embedded finance solution enabling one-click access to factoring directly within freee Invoice, which supports invoicing and A/R management, to address
Slide 24: Enhancing the "Done for You" Experience for Sole Proprietors Through Mobile App
Enhancing the "Done for You" Experience for Sole Proprietors Through Mobile App Advancements ● Our tax filing mobile app enhanced AI-powered data entry and journalizing while providing professional support for tax-related inquiries and concerns, reducing workload from input to filing and delivering
Slide 25: FAQ
FAQ 25
Slide 26: Q. Adj. OPM for Q1 exceeded full-year guidance
Q. Adj. OPM for Q1 FY2027.6 came in at 12.4%, exceeding the full-year earnings guidance of 11.0%. Was this result in line with internal expectations? Is there any potential for revising the guidance? A. During the first quarter, acquisition efficiency improved primarily in the Mid segment, driven by
Slide 27: Q. Change in freee's pricing policy?
Q. Following recent price increases by peer companies, is there any change in freee's pricing policy? A. Our pricing policy remains unchanged at this time. We focus on enhancing the value delivered by our integrated business management platform through continuous module expansion and the implementat
Slide 28: Appendix 1 Mid-to-Long-term Growth Strategy
Appendix 1 Mid-to-Long-term Growth Strategy 28
Slide 29: Relationship Between Adjusted Operating Profit Margin and Adjusted FCF Margin
Supplementary: Relationship Between Adjusted Operating Profit Margin and Adjusted FCF Margin Reconciliation Items for Adj. Operating Profit and Adj. FCF Software Capitalization Impact on Adj. Operating Profit and Adj. FCF JGAAP Key Operating Metrics (Adjusted) Software Capitalization and Amortizatio
Slide 30: Business Model Enabling 40%+ Adjusted Operating Margin in Long-term
Business Model Enabling 40%+ Adjusted Operating Margin in Long-term Mid-to Long-term Financial Model FY21 FY22 FY23 FY24 FY25 FY26 FY27 FY30 Gross Margin 79.5% 80.7% 83.6% 82.5% 82.2% 81.0% 78%-81% 75%-80% R&D(1)(2)(3) 25.6% 25.8% 35.7% 32.8% 14.3% 15.4% 12%-15% 8%-13% % of Revenue S&M(1)(2)(4) 58.8
Slide 31: Cloud Penetration in Japan's Small Business Continues to Expand
Cloud Penetration in Japan’s Small Business Continues to Expand Growing demand due to labor shortage Generational succession accelerating cloud shift Increase in new company incorporations ● Labor shortage in small businesses are about ● Business succession and generational 10x more severe than in l
Slide 32: Our Services for 6.6 Million Potential Customers
Our Services for 6.6 Million Potential Customers and over 70% of Total Employees Small business accounts for more than 70% out freee’s target segment of the 57 million employees in Japan Large Enterprise # of potential Ratio of total employees by company size(3) (1) （1,000EE+ ） customers(2) Mid （20-
Slide 33: Our Goal: "De Facto Standard for Small Business"
Our Goal: “De Facto Standard for Small Business” Delivering integrated Expanding scope of Accelerating network Unlocking potential in Building strong experience that drives automation and effects through SaaS-adjacent services: ecosystem with meaningful business management support exponential growth
Slide 34: Path to Establishing De Facto Standard Position
Path to Establishing De Facto Standard Position ● Strategic investments will drive freee product penetration rate to 30% in the Corporate segment in mid-term, with a longer-term goal of establishing it as the de facto standard in small business market. ● Leverage network effects from higher penetrat
Slide 35: Expanding Back-Office Personnel Expenses and B2B Payment Markets
Driving Sustainable Growth by Expanding the Back-Office Personnel Expenses and B2B Payment Markets for Small Businesses Facing Labor Shortages ● By accelerating AI utilization and driving the expansion of our outsourcing business, in addition to the SaaS and Finance domains, we aim to develop a vast
Slide 36: Positioning and Strategic Advantages of the Small Business Market in the Agentic AI Era
Positioning and Strategic Advantages of the Small Business Market in the Agentic AI Era Strategic Advantages of the Integrated Market Characteristics in the Agentic AI Era Management Platform for Small Businesses ● Abundant management resources enable ● High replacement barriers for small businesses
Slide 37: Customer Base Expansion and Cross-Selling Driven by Integrated Value
Into Phase of Expanding Customer Base and Improving Productivity through Cross-Selling Driven by Integrated Value Competitive Advantage “A Flywheel” Driving as an Integrated Management Platform Customer Base Growth and Productivity Gains Deliver seamless integration across accounting, HR, and other
Slide 38: Shift in Customer Value: from "Done by You" to "Done for You"
Shift in Customer Value：from “Done by You” to “Done for You” Conventional Saas Agentic AI Era SaaS Automates compliant expense Intuitive UI/UX for easy expense item What to expect from applications based on receipts, entry and minimize errors. Accounting？ internal policies, and tax regulations. Deli
Slide 39: Redefining the Value Proposition of SaaS in the Agentic AI Era
Redefining the Value Proposition of SaaS in the Agentic AI Era Increasing Value Proposition SaaS that is Challenged by AI SaaS that Thrives in the Agentic AI Era ● SaaS in domains where full business data ● SaaS in domains requiring auditability and Authoritative Record integrity is not required. ac
Slide 40: freee: Built a Competitive Advantage as a SaaS that Thrives in the Agentic AI Era
freee: Built a Competitive Advantage as a SaaS that Thrives in the Agentic AI Era Increasing Value Proposition freee’s Competitive Advantage and Reinforcement Points in the Agentic AI Era Authoritative Record ● One stop source of truth for all data in domains where an authoritative record is mandato
Slide 41: freee's "Done for You" Value Proposition: Two Concepts
freee’s “Done for You” Value Proposition: Two Concepts in the Agentic AI Era for Small Business Owners for Back-Office Professionals Towards Unprecedented, The AI Management Core Platform Fully Entrusted Automation. that Delivers Professional AI-Native Back-Office Series Accuracy and Accountability.
Slide 42: freee Cockpit: Achieving Professional Accuracy and Accountability
freee Cockpit: Achieving Professional Accuracy and Accountability What is Necessary to Achieve Expert-Level Accuracy and Accountability The Only AI Management Core Platform that 1 Delivers Professional Accuracy and Accountability Governance Business processes are standardized based on legal regulati
Slide 43: freee Autopilot: The Ecosystem for Complete Business Entrustment
freee Autopilot: The Ecosystem for Complete Business Entrustment What is Necessary for Complete Entrustment Towards unprecedented, fully entrusted automation. AI-Native Back-Office Series 1 Entrustment to AI x Professionals from freee Autopilot Upstream Business Processes AI x Professionals handle a
Slide 44: Appendix 2 - Financial Data -
Appendix 2 - Financial Data - 44
Slide 45: ARR/Number of Paying Customers/ARPU
ARR/Number of Paying Customers/ARPU FY2025.6 FY2026.6 FY2027.6 Platform ARR(1) Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Platform ARR JPY MM 28,787 31,071 34,469 35,796 37,120 39,151 42,481 43,595 45,265 Self-employed 6,604 6,988 8,656 7,745 7,765 7,970 9,741 8,816 8,832 Corporates 22,183 24,083 25,813 28,051 29,3
Slide 46: Consolidated Income Statement for Platform Business
Consolidated Income Statement for Platform Business Platform Business JPY MM FY2026.6 FY2027.6 FY2022.6 FY2023.6 FY2024.6 FY2025.6 FY2026.6 Q1 Q1 Revenue 13,987 19,219 25,430 33,270 42,441 9,743 12,031 YoY Growth 36.4% 37.4% 32.3% 30.8% 27.6% 32.1% 23.5% Cost of Revenue 2,701 3,153 4,439 5,909 8,043
Slide 47: Reconciliation Table for Consolidated Income Statement for Platform Business
Reconciliation Table for Consolidated Income Statement for Platform Business FY2025.6 FY2026.6 FY2027.6 R&D(1) JPY MM FY2025.6 FY2026.6 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 R&D 4,742 6,549 1,004 1,069 1,175 1,491 1,402 1,545 1,774 1,826 1,770 - ) Stock-based compensation expenses 0 0 0 0 0 0 0 0 0 0 0 - ) Exp
Slide 48: Reconciliation Table for Consolidated Income Statement for Platform Business
Reconciliation Table for Consolidated Income Statement for Platform Business G&A(1) FY2025.6 FY2026.6 FY2027.6 JPY MM FY2025.6 FY2026.6 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 G&A 4,274 5,438 1,023 1,004 1,067 1,178 1,421 1,291 1,355 1,369 1,685 - ) Stock-based compensation expenses 972 1,284 237 236 233 264 347
Slide 49: Reconciliation Table (Breakdown of COGS and R&D)
Reconciliation Table for Consolidated Income Statement for Platform Business (Breakdown of COGS and R&D) FY2025.6 FY2026.6 FY2027.6 COGS Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 JPY MM FY2025.6 FY2026.6 COGS 5,909 8,043 1,279 1,343 1,486 1,799 1,860 1,999 1,900 2,283 2,311 - ) Software Amortization 310 1,163 10 5
Slide 50: Consolidated Balance Sheet and Consolidated Cash Flow Statement
Consolidated Balance Sheet and Consolidated Cash Flow Statement Consolidated Balance Sheet Consolidated Cash Flow Statement JPY MM JPY MM FY2024.6 FY2025.6 FY2026.6 FY2027.6 FY2024.6 FY2025.6 FY2026.6 FY2027.6 Q1 Q1 Net Cash Provided -6,767 3,661 1,519 -3,864 Total Current Assets 38,431 45,874 50,35
Slide 51: Reconciliation Table for Consolidated Cash Flow Statement for Platform Business
Reconciliation Table for Consolidated Cash Flow Statement for Platform Business Adjusted Free Cash Flow FY2024.6 FY2025.6 FY2026.6 JPY MM FY2024.6 FY2025.6 FY2026.6 H1 H2 H1 H2 H1 H2 Operating Cash Flow -6,767 3,661 1,519 -6,420 -347 -1,926 5,588 -4,622 6,141 + ) Increase in advances paid 1,275 1,69
Slide 52: Shareholder Structure (As of June 30, 2026)
Shareholder Structure (As of June 30, 2026) Based on Total Shares Outstanding Excluding Shares Held by freee Executives and Pre-IPO VC / Strategic Shareholders Individual investors(1) etc. Individual investors(1) etc. freee executives Domestic corporations 8.7 % 12.0 % and institutional investors 23
Slide 53: Appendix 3 - Product Pricing -
Appendix 3 - Product Pricing - 53
Slide 54: Pricing - freee Accounting
Pricing - freee Accounting Plan(1) Price(1) Features(1) Financial Expense Internal Monthly Payment Annual Payment Statements Management Budgeting Workflow Support Controls Chat / Enterprise *Quoted price *Quoted price E-mail / Dedicated Support Team ● Base fee: JPY 51,980 ● Base fee: JPY 477,360 Cha
Slide 55: Pricing - freee Accounting (for Self-employed)
Pricing - freee Accounting (for Self-employed) Plan(1) Price(1) Features(1) Book- Cash Flow Expense Monthly Payment Annual Payment Tax Return Support keeping Reports Management Chat / E-mail ● Base fee: JPY 39,800 (Preferential Premium *Annual payment only ● ID fee: JPY 3,600 treatment)/ (Free ID fo
Slide 56: Pricing - freee HR
Pricing - freee HR Plan(1) Price(1) Features(1) HR Attendance Advanced Per Month Payroll Employee Support Procedures Management Management (2) Chat / Advanced ● Fee per employee: JPY 1,100 E-mail / Telephone Chat / Standard ● Fee per employee: JPY 800 E-mail Chat / Starter ● Fee per employee: JPY 60
Slide 57: Pricing - freee Sign
Pricing - freee Sign Plan(1) Price(1) Features(1) Certified No. of No. of Contract (2) Templates Contracts Workflow API Annual Payment Electronic Signature Check Electronic Signature Registered Transmitted JPY 100 per contract JPY 200 Enterprise *Quoted price (Free for up to 5,000 Unlimited Unlimite
Slide 58: Pricing - Other Services
Pricing - Other Services freee A/R & A/P Management (1) freee Order Management(1)(2) Base fee : JPY 3,580 per month Annually Base fee : JPY 357,600 per annum Monthly ID fee : JPY 600 per month (Free ID for up to 1 member) freee Expense Reimbursement Plus(1) Base fee : JPY 2,980 per month Annually Ba
Slide 59: Disclaimer
Disclaimer This document has been prepared solely for the purpose of disclosing relevant information regarding freee K.K. (referred to herein as the "Company", "we" or "us") and, depending on the context, its consolidated subsidiary. This document does not constitute an offer to sell or the solicita