Rakuten Group Q1 FY2026 Financial Results Highlights

・The Rakuten Group recorded year-on-year (YoY) revenue growth in all three segments in Q1 FY2026: Internet Services, FinTech and Mobile. Consolidated revenue reached a record high of 643.6 billion yen, up 14.4% YoY, marking the first time for Q1 revenue to exceed 600 billion yen.  

・For the first time since entering the MNO business, Rakuten Group recorded Q1 operating income on both a consolidated Non-GAAP and IFRS basis, reaching 36.3 billion yen (an increase of 36.6 billion yen YoY) and 30.4 billion yen (an increase of 45.8 billion yen YoY), respectively. In addition to revenue growth, FinTech’s strong performance and improvements in Rakuten Mobile’s profitability contributed significantly to these results. EBITDA^*1, an indicator the Rakuten Group uses to assess the ability to generate cash flow, reached 108.8 billion yen, an increase of 36.2% YoY, marking the first time for Q1 EBITDA to exceed 100 billion yen. Quarterly profit before tax improved by 63.2 billion yen YoY, achieving a profit of 17.4 billion yen. Net loss attributable to owners of the parent company for the quarter was 18.6 billion yen, representing a significant improvement of 54.8 billion yen YoY, as the shift toward a more profitable earnings structure accelerates. 

・Rakuten Mobile recorded its first-ever EBITDA profit^*1,2,3 for Q1, even when accounting for the impact of property tax expenses. 

・Rakuten remains committed to its financial policy and strategy, aiming to continuously improve its credit profile and maintain mid-term financial health. The USD-denominated perpetual subordinated bonds issued in April 2021 were fully redeemed on the first optional redemption date of April 22, 2026. For the redemption of senior bonds due this fiscal year, the company plans to use cash on hand, and funding for all 2026 bond redemptions has already been secured. Regarding bond redemptions from 2027 onwards, the company intends to proactively and flexibly control funding needs by combining various methods.

・The Internet Services segment achieved growth in both revenue and profit in Q1 FY2026, with revenue^*4 of 317.6 billion yen, up 4.0% YoY, and Non-GAAP operating income^*2,4 of 21.2 billion yen, up 65.6％ YoY. 

・Domestic e-commerce gross merchandise sales (GMS)^*4,5 in Q1 FY2026 reached 1.5 trillion yen, up 4.8％ YoY. Non-GAAP operating income^*2 increased significantly, reaching 30.9 billion yen, up 29.2% YoY, driven by steady revenue growth from core businesses such as Rakuten Ichiba and Rakuten Travel, which benefited from continued robust inbound tourism demand and successfully captured domestic demand. Additional contributions came from initiatives to improve profitability in growth investment businesses, including Logistics.

・The Rakuten International business unit^*5,6 achieved revenue of USD 459.2 million, up 6.9％ YoY. Non-GAAP operating income^*2 was USD 7.1 million, an improvement of USD 8.6 million YoY. In addition to Rakuten Kobo and Rakuten Viber, Rakuten Viki also achieved revenue growth, driven by successful subscription pricing revisions and improvements to its product lineup. 

・The advertising business achieved high growth with revenue reaching 61.9 billion yen, up 13.0% YoY^*7, due to initiatives including AI-powered auto optimization through the Rakuten Promotion Platform for ads on Rakuten Ichiba.

・The FinTech segment achieved growth in both revenue and profit in Q1 FY2026, with revenue of 275.3 billion yen, up 23.1% YoY, and Non-GAAP operating income^*2 of 58.5 billion yen, up 33.8% YoY. Growth was driven by the expansion of the customer base and transaction value across all businesses, in addition to continued effective cost controls. 

・Rakuten Card recorded steady growth in shopping gross transaction value (GTV), achieving 6.8 trillion yen in Q1 FY2026, up 8.5％ YoY. Both revenue and profit increased due to an expanded membership base and higher spending per customer.

・Leveraging Group synergies to drive account acquisitions, Rakuten Bank reached 18.07 million customer accounts (non-consolidated)^*8 as of the end of March 2026, up 7.3％ YoY, with the total balance of deposits (non-consolidated) reaching 12.9 trillion yen^*8,9, up 12.9% YoY, supported by progress in becoming customers’ primary bank for everyday life. In addition to an increase in the Bank’s managed assets, the Bank of Japan’s policy interest rate hike improved yields and boosted interest income, leading to substantial revenue and profit growth, as well as new record-highs for ordinary income and ordinary profit on a quarterly basis.

・Rakuten Securities’ total number of general securities accounts exceeded 13.87 million as of the end of March 2026, up 12.4％ YoY, and surpassed 14 million^*8 in April, due to strong customer acquisition via the new NISA program. The company recorded its highest-ever quarterly revenue, bolstered by growth in financial income driven by an active market environment and higher interest income from the Bank of Japan’s policy rate hikes.

・In the Insurance business, life insurance continued to perform strongly across face-to-face, online and group credit life insurance channels, contributing to revenue growth. For general insurance, profitability improved through expanded sales of key products such as Rakuten Automobile Insurance.

・Rakuten Payment achieved revenue growth driven by increased transaction value due to customer base expansion centered on the Rakuten Pay app. In addition, the business kept cost levels low and continued steady profit growth.

・In Q1 FY2026, the Mobile segment recorded revenue of 131.2 billion yen, up 18.5% YoY. Non-GAAP operating losses^*2 narrowed to 38.0 billion yen, an improvement of 13.3 billion yen YoY.

・Rakuten Mobile recorded revenue^*10 of 108.0 billion yen, up 23.9% YoY, driven by subscription growth. Non-GAAP operating losses^*2,3 narrowed to 36.4 billion yen, an improvement of 12.7 billion yen YoY. EBITDA^*1,2,3 reached 1.0 billion yen, up 7.5 billion yen YoY, with Rakuten Mobile achieving its first-ever profitable first quarter, even when accounting for the impact of property tax expenses.

・The total number of Rakuten Mobile subscriptions^*11 reached 10.36 million as of the end of March 2026, a net increase of 1.74 million YoY. This growth was due to steady customer acquisition throughout the peak sales season. In addition, net ARPU^*12, which is directly linked to Non-GAAP operating income and EBITDA profitability, was 2,442 yen. Option ARPU and other ARPU continued to grow steadily, while data ARPU declined due to a shift in subscriber composition resulting from the B2B acquisition surge in the previous quarter, and the temporary advance increase in the number of subscribers due to the acceleration of B2C acquisitions at the end of Q1.  

・In Q1 FY2026, capital expenditure^*13 reached 26.2 billion yen. Rakuten Mobile has established a close cooperative framework with partner companies and concentrated on internal human resources to accelerate the buildout of new base stations and improve network quality even further. Starting from the second quarter, Rakuten Mobile will bring site acquisition and other front-end processes in-house to further accelerate base station deployment.

・Rakuten Symphony was selected by the Ministry of Economy, Trade and Industry (METI) for a large-scale overseas Open RAN and RAN Intelligent Controller (RIC) demonstration project in March 2026. Additionally, the company launched Rakuten Symphony Japan in March 2026 to drive the expansion of its enterprise cloud and OSS businesses.

Notes:
*1 EBITDA is an indicator the Rakuten Group uses to assess the ability for business activities to generate cash flow. It is calculated by adding Non-GAAP operating income to depreciation costs, etc.
*2 Rakuten Group revised the allocation method for certain AI development expenses to be charged directly to each business from Q1/26. Retroactive adjustments were made to each business’s financial results from Q1/25 onwards to reflect this change.
*3 Includes mobile-related investment profit/loss from Q4/25.
*4 A portion of the point-related business has been transferred from Rakuten Group Headquarters (adjustment amount) to the Internet Services segment from Q1/26. Retroactive adjustments were not made for this change.
*5 Retroactive adjustments were made due to a reclassification of Internet Services segment businesses in Q2/25.
*6 Open Commerce is the total of Rakuten Rewards (USA, Europe, Canada), Fillr, and overseas Ads business. EU is the total of Rakuten TV and Rakuten France. Others is the total of Rakuten Kobo, Rakuten Viber, Rakuten Viki, etc. This does not include Rakuten Symphony businesses, Taiwan e-commerce, or overseas financial subsidiaries.
*7 Total domestic ad revenue recorded for all segments (Internet Services, FinTech and Mobile). Includes internal transactions.
*8 Figures are rounded down to the nearest unit.
*9 J-GAAP.
*10 A portion of Rakuten Communication’s business was merged into Rakuten Mobile, Inc. in April 2025.
*11 Total number of MNO, MVNE and MVNO subscribers, including BCP lines.
*12 ARPU is calculated using the average of MNO subscribers at the end of the most recent and previous quarters, excluding MVNE and BCP and other contracts. Within ARPU, the cost of sales associated with the revenue uplift from Rakuten Mobile's MNO subscribers and the effect of referring customers from Group companies to the Mobile business are deducted from Ecosystem ARPU. Mobile Ecosystem Contribution is calculated as (Net ARPU x number of MNO contract subscriptions), and is recorded in Rakuten Mobile, Inc.'s income statement after revenue and operating expenses.
*13 Network-related capital expenditure.