Rakuten Posts Record Quarterly Revenue of ¥697.1 Billion in Third Quarter
Key Facts
Rakuten said on November 13 that consolidated revenue reached ¥697.1 billion in the third quarter of 2026, up 10.9% year on year and a record for the quarter. Operating profit under International Financial Reporting Standards rose to ¥39.5 billion, up 396.3% from the same period. Operating profit under the company’s non-IFRS measure was ¥48.6 billion, up 25.9% and the highest level since the launch of its mobile network services. EBITDA also reached ¥123.5 billion, up 4.0% and a third-quarter record. The results show revenue expansion alongside improved profitability, although performance varied across the group’s segments.
Growth was driven mainly by the fintech and mobile businesses, Rakuten said, while internet services revenue remained close to its level a year earlier despite weaker exceptional demand for purchases under the hometown tax program. Fintech revenue rose 22.1% to ¥306.0 billion, while mobile revenue increased 18.3% to ¥140.4 billion. Internet services revenue, by contrast, fell 0.7% to ¥347.3 billion. Advertising business revenue was ¥67.1 billion, up 11.1%, with travel advertising contributing to the increase. The company said the financial and mobile segments led revenue growth, while internet services held near the prior-year level as the earlier surge in program-related demand faded.
In domestic e-commerce, gross merchandise sales totaled ¥1.69 trillion, up 0.6% year on year. Rakuten said growth in the business would have reached 9.0% excluding the impact of the previous year’s surge in demand for the hometown tax program. This highlights how the year-on-year comparison differs when exceptional demand that raised the comparison base is included. On profitability, the fintech segment posted non-IFRS operating profit of ¥68.0 billion, up 23.7%. Rakuten Card’s gross transaction volume also rose to ¥7.2 trillion in the quarter, up 7.0%. The company attributed the expansion to a broader customer base and higher spending per customer.
The mobile business continued to expand its subscriber base and average revenue, with total contracted lines reaching 11.05 million at the end of September, a net increase of 1.72 million lines year on year. Average net revenue per user was ¥2,545 in the quarter, up ¥74 from the same period. But the segment’s revenue growth did not translate equally into profitability across all businesses; non-IFRS operating profit in internet services fell 31.3% to ¥16.4 billion. Rakuten said valuation losses on investment holdings affected the figure. Excluding those investments, the segment’s operating profit was ¥33.9 billion, up 20.1% year on year.
Rakuten said the rise in IFRS operating profit was supported by strong growth across segments and a recovery from impairment losses related to its online grocery business in the previous year. The comparison shows that part of the year-on-year increase reflected the absence of those earlier losses, alongside business growth. At the international unit, revenue was $482.1 million, down 1.0% year on year. At the same time, its non-IFRS operating profit rose to $30 million, an increase of $25.9 million from the previous year. The results therefore show divergent trends in international revenue and profitability during the quarter.
Capital expenditure in the quarter was ¥40.3 billion, and Rakuten kept its fiscal 2026 capital investment plan unchanged at ¥200 billion. In October, the company issued a total of ¥400 billion in domestic bonds and said it had completed financing arrangements for senior bonds due in 2027. It is also preparing to issue subordinated perpetual bonds. Rakuten shares, listed under the ticker 4755.T, closed at ¥632.5 in the November 12 session, on the eve of the results announcement. November 13, 2026, is the scheduled announcement date for third-quarter fiscal 2026 results.