Countdown to Profitability
Ureru Net Ad Group, headquartered in Fukuoka, is making headlines as it positions itself to achieve profitability in the fourth quarter of 2025. With its unique business model and impressive growth trajectory, the company is looking ahead to a full-year profit in 2026 as outlined in its ambitious growth strategy "Ureru100."
Recent Highlights in IR (May to July 2025)
The company has several key developments that stand out:
- - TikTok Shop Launch: The subsidiary, Olikus, became the country's first publicly listed company to launch a shop on TikTok Shop, gaining an early-mover advantage in a market projected to be worth ¥5 trillion.
- - Strategic Partnership with Michael Asakura: This collaboration for "SILK THE RICH" is set to leverage Asakura's vast fan base alongside Ureru's expertise, potentially skyrocketing sales in live commerce.
- - TikTok Shop Collaboration with Beauty Giants: A partnership with a leading beauty brand aims to dominate video commerce aimed at the Gen Z demographic, expecting annual revenue exceeding ¥20 billion.
- - Cross-Border E-Commerce Expansion: The collaboration with Furutta Furutta aims to penetrate the massive ¥98 trillion Chinese market through Douyin live commerce.
- - AI Marketing Innovations: The integration of AI has led to the launch of an automated marketing fulfillment agent, further enhancing the company's revenue-generating capabilities.
- - Media Partnerships: The group has reached 50 media platform collaborations, expanding its presence in the rapidly growing app advertising market.
Sales and Growth Metrics
The company reported a remarkable sales increase of ¥1.124 billion, reflecting a year-on-year growth of 193%. Gross profit also surged by 184% to ¥646 million while the operating loss stood at ¥182 million. Despite the early investments in AI and TikTok, monthly revenues are showing an upward trend.
Within just a year and eight months post-IPO, Ureru Net Ad Group has successfully completed multiple M&A deals, launched various projects, and established partnerships that bolster its operational capabilities and market position.
Pathway to Q4 Profitability
The company's strategy centers around leveraging its strengths in AI, TikTok Shop, and M&A activities to achieve profitability as they approach Q4. Their initiatives include:
- - Expanding TikTok Shop Initiatives: They are focusing on driving live commerce flagship brands, enhancing company visibility and consumer engagement.
- - AI Innovations: The introduction of customer assistant projects powered by AI is beginning to contribute significantly to revenue.
- - Continuous Platform Growth: Monthly performance metrics are hitting new highs, signifying solid momentum in revenue streams.
- - Optimized Advertisements: The integration of five major platforms, including Google and TikTok, has resulted in a substantial increase in advertising sales.
- - Consolidating M&A Projects: Several closing deals in M&A scheduled for Q4 are projected to boost profits significantly.
The Threefold Growth Engine: Ureru100
To achieve its ambitious vision, Ureru Net Ad Group is focusing on:
1.
Enhancing Existing D2C Revenue: They aim to maximize lifetime value while optimizing fixed costs.
2.
Accelerating Growth through M&A: Regular acquisitions will bolster consolidated sales and create economies of scale.
3.
Innovating with New Business Opportunities: High-growth areas like TikTok Shop and AI-driven solutions are continuously being commercialized.
Ureru Net Ad Group is determined to achieve ¥10 billion in sales within four years while establishing a prime listing on the Tokyo Stock Exchange, aiming for a market capitalization of ¥25 billion.
CEO's Commitment
CEO Koichi Kato emphasizes his unwavering commitment to stakeholders. With 65.5% of shares owned, he believes his efforts are directly tied to accelerating the company’s stock value. He declares that his success is intertwined with that of the company's shareholders.
Kato's passion and responsibility drive his vision to elevate Ureru Net Ad Group’s stock value, heralding a brighter future for the company.
For more information, visit
Ureru Net Ad Group's official website.
Note: This article includes forward-looking statements based on current information available. Results may vary due to various risks and uncertainties.