Human Holdings Co (2415) Q1 2027 earnings summary

Executive summary

• Revenue/net sales increased 2.6% year-over-year to ¥26,295 million, driven by growth in education and nursing care segments.

• Operating profit declined 5.9% year-over-year to ¥607 million, mainly due to staffing segment pressures.

• Ordinary profit rose 13.9% to ¥890 million, supported by increased subsidies in nursing care.

• Net profit attributable to shareholders/owners of parent grew 31.2% to ¥534 million.

• Earnings per share increased to ¥51.46 from ¥39.23 in the prior year period.

Financial highlights

• Gross profit rose to ¥6,710 million from ¥6,617 million year-over-year.

• Selling, general and administrative expenses increased to ¥6,102 million from ¥5,971 million.

• Non-operating income more than doubled to ¥312 million, driven by higher subsidy income.

• Total assets: ¥52,156 million as of June 30, 2026.

• Net assets/equity: ¥19,351 million as of June 30, 2026.

Segment performance

• Staffing: Revenue up 0.5% to ¥15,454 million; operating profit down 14.6% to ¥781 million due to higher personnel investment and lower placement revenue.

• Education: Revenue up 5.4% to ¥6,869 million; operating loss improved to ¥31 million, driven by strong adult and international education and improved gross margin in child education.

• Nursing care: Revenue up 7.8% to ¥3,420 million; operating profit down 59.6% to ¥21 million due to higher personnel costs from wage improvements.

• Other: Revenue down 0.9% to ¥548 million; operating profit up to ¥60 million, with sports business declining and nail business stable.