#Japan #Tokyo #Phoenix Project #M&A Strategy #fonfun

fonfun Achieves All Objectives of the New Mid-term Management Plan

On May 15, 2026, fonfun Inc. (headquartered in Shibuya, Tokyo, CEO: Tsubasa Mizuguchi, Tokyo Stock Exchange Standard: 2323) announced its financial results for the fiscal year ending March 2026. The company proudly declared that it had successfully achieved all the objectives outlined in its new mid-term management plan, dubbed the "Phoenix Project".

Achievements Overview

Three years ago, fonfun faced significant challenges maintaining compliance with the listing standards of the Standard market. To revive the company, a tender offer (TOB) was initiated, culminating in the establishment of this comprehensive mid-term management plan targeting the fiscal year 2026. Throughout this period, fonfun strategically executed approximately ten mergers and acquisitions, earning high regard from the market. Consequently, the company achieved its financial targets of a consolidated sales figure of 2 billion yen, EBITDA of 400 million yen, a workforce of 100 engineers, and a market capitalization of 10 billion yen, successfully meeting all goals as planned.

Record-High Profits and Structural Expansion

Moreover, by restructuring existing businesses and transitioning towards a stock recurring model, fonfun solidified its revenue structure. This transition, coupled with ongoing operational and profit improvements, led to record-high operating, ordinary, and net profits for the fiscal year 2026. Since its inception in 1997, fonfun has achieved its highest profit figures to date. The company also expanded its workforce from approximately 30 employees at the commencement of its recovery effort to around 300 today, ensuring a robust support structure for future growth.

Second Mid-term Management Plan

Having completed the first phase of its revival, fonfun is now poised to enter a new growth phase with the upcoming "Second Mid-term Management Plan". Mirroring the mythical phoenix that symbolizes the company's name, this transition marks a shift from survival to sustained growth. In this new phase, fonfun aims to build on the revenue frameworks, business portfolios, and growth investments developed during the first phase. Specific strategic policies for further growth will be announced soon, so stakeholders should remain attentive to upcoming developments.

Online Financial Results Briefing

In conjunction with the financial report, fonfun will host an online briefing session for its annual results, scheduled for May 25, 2026, at 6:00 PM JST. This event welcomes shareholders, individual investors, and the general public to participate.

Event Details

• - Date and Time: May 25, 2026 (Monday), starting at 18:00
• - Format: Live webinar format via YouTube
• - Speaker: Tsubasa Mizuguchi, CEO
• - Participation Fee: Free
• - Access Link: Join the Live Stream

Attendees are encouraged to submit questions before the event through the registration form available on fonfun's corporate website.

Company Overview

Founded in 1997, fonfun Inc. is a tech company based in Tokyo's Shibuya district. Its mission is to make society smarter through technology, offering SaaS products and software development services to support corporate digital transformation (DX). Following a takeover by Cybridge Group in 2023, fonfun has adopted a new management strategy focusing on mergers and acquisitions, executing eleven buyouts in just two and a half years, resulting in a tripling of its business performance and an eightfold increase in stock price compared to the time of the takeover. Notably, its unique employee stock incentive program, granting shares to employees and their children, has garnered significant attention.