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Media Do lifts net profit forecast 130% on unit sale, raises dividend to ¥55

Wed, Oct 14, 2026 16:00 JST Media Do (3678.T) E-book distribution 中文

Media Do (3678), a Japanese e-book distributor, on Oct. 14 raised its net profit forecast for the fiscal year ending February 2027 by 130.0% to ¥2.76 billion from ¥1.2 billion, citing an expected gain on the sale of subsidiaries, and lifted its year-end dividend forecast to ¥55 per share from ¥40.

FY net profit forecast¥2.76 billion (from ¥1.2 billion)
Year-end dividend forecast¥55 per share (from ¥40)
Gain on sale of subsidiaries¥1.56 billion
H1 revenue¥58.3 billion

Forecasts for revenue, operating profit and ordinary profit were left unchanged at ¥118.0 billion, ¥2.4 billion and ¥2.05 billion, respectively, reflecting recent business trends. Forecast earnings per share rose to ¥181.69 from ¥79.05.

The upgrade stems from the sale of all shares and equity interests in consolidated subsidiaries Quality Solutions, Inc., NetGalley, LLC and their three subsidiaries, which is expected to generate a ¥1.56 billion extraordinary gain. The company said it is focusing its international business on bringing Japanese content overseas through U.S.-based Seven Seas Entertainment, LLC, which it consolidated in March 2026.

Media Do targets a total shareholder return ratio, defined as dividends plus share buybacks divided by net profit, of 30% or more. The ¥15 dividend increase is intended to maintain that 30% level, and the ratio is projected at 30.3% for the year.

In first-half results for March-August 2026, released the same day, revenue rose 8.3% to ¥58.3 billion, helped by growth in e-book distribution and the first-time contribution from Seven Seas. Operating profit fell 15.0% to ¥1.19 billion as earnings at Nihon Bungeisha were still improving and research and development costs for new services were booked. Ordinary profit dropped 33.9% to ¥950 million and net profit fell 61.6% to ¥508 million, reflecting non-operating expenses tied to the Seven Seas acquisition and a year-earlier extraordinary gain from the sale of shares in affiliate MyAnimeList.

Next steps: Media Do said it will hold a results briefing for institutional investors and analysts on Oct. 14 and post the presentation materials on TDnet afterward.


Original filings
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