- Rakuten‘s operating income for Q3 was 7.96 billion yen, significantly lower than the estimated 23.38 billion yen.
- The Internet services segment recorded a profit of 27.66 billion yen, surpassing the estimated 25.57 billion yen, excluding mobile ecosystem contributions.
- The Fintech segment achieved a profit of 60.11 billion yen, exceeding the forecasted 49.97 billion yen, before accounting for mobile ecosystem contributions.
- The Mobile segment reported a loss of 46.94 billion yen, not factoring in contributions from the mobile ecosystem.
- Rakuten‘s net loss was 26.86 billion yen, significantly higher than the anticipated loss of 8.11 billion yen.
- Net sales reached 628.56 billion yen, outperforming the estimated 594.77 billion yen.
- Revenue from the Internet services segment, including intersegment sales, was 349.60 billion yen, which was above the projected 334.86 billion yen.
- The Mobile segment generated 118.71 billion yen in revenue, slightly below the estimated 120.71 billion yen, when including intersegment sales.
- Fintech segment revenue, including intersegment activities, amounted to 250.52 billion yen, exceeding the expected 235.22 billion yen.
- Analyst ratings: 10 buy, 7 hold, and 1 sell recommendations.
Rakuten on Smartkarma
Analysts on Smartkarma are closely covering Rakuten, with a recent report titled “Primer: Rakuten (4755 JP) – Sep 2025″ by Ξ±SK indicating a bullish sentiment. The report highlights Rakuten‘s strategic inflection point, with its FinTech and E-commerce segments providing a stable foundation while the Mobile segment works towards profitability. The core “Rakuten Ecosystem” strategy is noted as a key competitive advantage, fostering user loyalty and cross-selling opportunities. Despite concerns over losses in the Mobile segment, there are positive signs of improvement, with a target for full-year EBITDA profitability in 2025. Future growth prospects for Rakuten center around achieving profitability in the Mobile segment, strong growth in FinTech, and maintaining e-commerce leadership in Japan.
A look at Rakuten Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 2 | |
| Dividend | 1 | |
| Growth | 4 | |
| Resilience | 2 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 2.8 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts using Smartkarma Smart Scores to assess the long-term prospects of Rakuten have highlighted a strong momentum score, indicating positive market sentiment and potential for continued growth. This bodes well for the company’s future performance and ability to capture market opportunities. Additionally, a high growth score suggests that Rakuten is well-positioned to expand its business and generate sustainable revenue streams over time.
Rakuten‘s overall outlook is also supported by its digital content services and internet finance offerings, which help diversify its revenue sources and enhance its resilience. While the value and dividend scores are not as high, the company’s strengths in growth and momentum indicate a promising trajectory for investors seeking long-term opportunities in the digital services sector.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
Have feedback on this article? Concerned about the content? Get in touch with us directly.
π‘ Before itβs here, it’s on Smartkarma
Sign Up for Free
The Smartkarma Preview Pass is your entry to the Independent Investment Research Network
- β Unlimited Research Summaries
- β Personalised Alerts
- β Custom Watchlists
- β Company Analytics and News
- β Events & Webinars
