Digital Garage's payment volume grew 42.0% to ¥5.8tn in the six months to September 2026, helped by a large project for the KDDI group that went live, but the extra volume did not reach profit.
The Platform Solution segment's revenue was ¥11.97bn, essentially unchanged, and its pretax profit fell 13.9% to ¥3.84bn. The interim earnings release blames cancellations and revised terms at some large merchants in the previous fiscal year, plus higher fixed costs from system strengthening. The earnings presentation puts payments pretax profit at about ¥3.0bn, down 16.9%, and says the cancellation effect should run its course in the second half, with a gradual recovery expected.
The group result is a separate story. Revenue fell 9.1% to ¥18.2bn, and the company swung to a pretax loss of ¥4.09bn from a ¥1.42bn profit a year earlier. The loss attributable to owners was ¥2.57bn. The release links the Global Investment Incubation segment's pretax loss of ¥5.30bn, against ¥1.21bn a year earlier, to lower fair values at some investees and a stronger yen. It does not split the two effects.
A separate notice names one holding: Droom Pte Limited, held through a consolidated subsidiary, whose fair value fell sharply by the end of September. Digital Garage booked a ¥1.41bn loss on operating investment securities for the July to September quarter.
The company gives no full-year forecast, saying it cannot reasonably estimate year-end fair values of its startup holdings. It also gives no platform-segment forecast, because it is drafting a new medium-term plan that it intends to publish during the year to March 2027.