Z Holdings Corp., the parent of Yahoo Japan Corp. and messaging app giant Line Corp., has reported brisk revenue growth in fiscal 2020 thanks to stay-home demand amid the novel coronavirus crisis.
Consolidated revenue for the year through last month rose 14.5% from the previous year to ¥1.2 trillion, boosted by strong online shopping demand, Z Holdings said Wednesday.
The company made Line a wholly owned subsidiary for business integration March 1. The move pushed up the revenue by ¥24.9 billion.
Operating profit increased 6.5% to ¥162 billion.
The value of goods and services sold via the Z Holdings group’s e-commerce platforms shot up 24.4% to ¥3.22 trillion.
The annual number of financial settlements using the PayPay smartphone payment service jumped 2.5-fold to more than 2 billion times.
But Z Holdings saw its consolidated net profit fall 14.1% to ¥70.1 billion after enjoying a strong boost a year before thanks to a profit from a change in its shareholdings in PayPay Corp.
For the current year ending in March 2022, the holding company forecasts revenue of ¥1.52 trillion to ¥1.57 trillion.
The growth will be supported by positive effects from the business integration with Line and the launch of new services including those using artificial intelligence technology, officials said.
Z Holdings President Kentaro Kawabe made an apology after Line received administrative guidance for its inappropriate management of user information.
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