Pasona Group (2168) investor relations material

Executive summary

• FY2025 net sales decreased by 0.2% year-over-year to ¥308.5 billion, with operating loss narrowing to ¥1.15 billion and net loss attributable to owners improving to ¥3.39 billion, a ¥5.27 billion improvement from the prior year.

• Ordinary profit turned positive at ¥0.14 billion, and gross profit margin improved, offsetting higher personnel and IT costs.

• Life Solutions and Regional Revitalization and Tourism Solutions segments showed strong growth, while BPO and Career Solutions faced declines.

• Extraordinary losses of ¥2.06 billion were recorded, mainly due to Expo-related expenses, but overall deficit narrowed.

Financial highlights

• Gross profit margin rose to 22.8% (+0.8pt YoY), with gross profit up ¥2.3 billion year-over-year to ¥70.28 billion.

• SG&A expenses increased by ¥2.2 billion, driven by higher personnel and IT costs.

• Ordinary profit turned positive at ¥0.14 billion, up ¥0.60 billion year-over-year.

• Cash and cash equivalents at year-end were ¥54.6 billion, down ¥24.1 billion from the previous year, mainly due to investments and project-related outflows.

• Equity ratio improved to 53.9% (+3.0pt YoY).

Outlook and guidance

• FY2026 forecasts: net sales of ¥325.0 billion (+5.3%), operating profit of ¥1.5 billion, ordinary profit of ¥1.5 billion, and net loss attributable to owners of ¥1.0 billion.

• Strategic focus on specialized BPO, digital transformation, and cost controls to drive profit recovery.

• Segment growth expected in BPO, Expert, Career, Life, and Regional Revitalization and Tourism Solutions.

• Dividend policy maintains a minimum of ¥75 per share through FY2028, with a progressive approach targeting a 40% payout ratio.

• Vision 2030 targets: ¥400 billion net sales, 5% ordinary profit margin, ROE ≥8%.