FY25 1H results summary Medical Data Vision [MDV] reported FY25 1H (Dec year-end) results with sales coming in largely in line with the firm’s guidance while reporting an operating loss in Q2, on higher costs [COGS and personnel] incurred to boost sales in 2H. MDV produced 1H gross profit [GP] of ¥2,126mil (+3.2% YoY) and an operating loss of -¥5mil (vs FY24 1H OP of ¥26mil) on sales of ¥3,034mil (+9.1% YoY). The topline increase was achieved thanks to improved sales in the Data Utilisation segment. Potential shortfall risks to FY25 guidance The firm guides for full-year FY25 sales of ¥9,000mil (+52.4% YoY), which will comprise Data Network Service sales of ¥2,220mil (+81.6% YoY), Data Utilisation Service sales of ¥6,100mil (+46.3% YoY) and sales of Other Services of ¥ 680mil (+31.8% YoY). Given the 1H performance, there are two potential risks to achieving the FY25 guidance: (1) the onboarding of 77 new customers to Alpha Salus sales vs the current order backlog of 35, and (2) achieving the Data Utilisation Services target for sales to double HoH in 2H.