Message
Internet for Everyone
We would like to express our sincere gratitude to our shareholders for their continued support of GMO Internet Group.
Since our establishment as an Internet business in 1995, GMO Internet Group has operated under the corporate catchphrase "Internet for Everyone." We have concentrated our management resources on providing the "foundation" of the Internet, such as Internet infrastructure and service infrastructure, with the aim of making the Internet richer and more convenient.
GMO Internet Group manages its business based on a common value foundation called "GMOism" with a long-term perspective. GMOism includes our "Invariant Goal" as well as various management know-how, equivalent to our corporate motto and precepts that we have been reciting and practicing since we started our Internet business in 1995. Within this GMOism, we have an ultra-long-term plan called the "55-Year Plan" as an internal commitment, which aims to achieve net sales of 10 trillion yen and ordinary profit of 1 trillion yen by 2051. With the goal of achieving this "55-Year Plan" and becoming a corporate group that will continue for centuries, we are united in our efforts to create new Internet culture and industry, as well as our customers' "smiles" and "inspiration." We are dedicated to contributing to society and people through our business endeavors.
High profit levels continue, driven by solid recurring revenues
The consolidated financial results for the third quarter of FY2025 ending December showed an increase in both revenue and profit. Infrastructure was the primary driver of performance, achieving record profits for the third consecutive quarter and exceeding 10 billion yen. Notably, our GPU cloud business achieved monthly profitability and has entered the investment recovery phase. We also believe that the accumulation of recurring revenues is crucial for sustainable growth. In this regard, the development of solid recurring revenue streams has become well-established not only in infrastructure but across the entire Group.
Regarding progress in our focus areas of security and AI & robotics, cybersecurity companies Ierae and Flatt Security continued their strong growth, driven in part by increasing social demand. Additionally, the "Internet Security by GMO" project, which is progressing under the catchphrase "A Secure Future for Everyone" toward establishing "top-of-mind brand recognition," held the AI & Robotics Conference "GMO Grand Conference 2025 Autumn" in September. At this event, we presented a roadmap for industry-academia-government collaboration centered on humanoids toward the social implementation of cutting-edge technologies. Starting next year, we will hold these conferences twice annually: focusing on cybersecurity in spring and AI & robotics in autumn.
Regarding shareholder returns, our basic policy is to target a total shareholder return ratio of 50%, with (1) a dividend payout ratio target of 33% or more of net income, and (2) share repurchase implementation based on 50% of net income minus total dividends, executed flexibly according to share price levels while comprehensively considering overall performance and financial conditions. Regarding the repurchase and cancellation of treasury stock, we believe that repurchasing and cancelling the 38.35 million shares we issued during our withdrawal from the loan credit business in 2006-2007 for capital enhancement is an appropriate way to return profits to our shareholders. The 10 billion yen treasury stock acquisition announced in February 2025 has been completed, and we further announced the establishment of a new 10 billion yen framework for treasury stock acquisition in November. We will continue to execute the repurchase and cancellation of treasury stock in a steady and consistent manner.
In January 2025, GMO Internet Group transitioned from a business holding company structure to a position closer to a pure holding company. Simultaneously, GMO Internet (4784), which inherited our foundational infrastructure business, also started under the new structure. In September, GMO Commerce (410A) was newly listed on the Growth Market. From October, GMO Product Platform (3695) and GMO TECH Holdings (415A) started under new structures. We will continue to evolve our group structure further and maximize group synergies to accelerate our growth speed and ensure more reliable sustainable growth. As a result, we will work toward achieving our ultra-long-term "55-Year Plan" and expanding our corporate value. We would like to ask our shareholders for their continued understanding and support.
As of 11/2025
SincerelyMasatoshi Kumagai
Founder, Chairman and Group CEO
