Human Technologies (5621) Q3 2026 earnings summary

Executive summary

• Revenue and profit showed strong growth in the third quarter, with revenue up 24.2% and operating profit up 19.1% year-over-year, driven by customer expansion and service enhancements.

• Net sales for the second quarter were ¥659 million, a 3.7% decrease year-over-year, with operating profit down 55.2% and profit attributable to owners of parent down 52.9%.

• Expansion of billable IDs and changes in billing structure contributed to growth, with a low and stable churn rate supporting customer base expansion.

• OEM provision of the main product to a new partner is expected to further expand the customer base.

Financial highlights

• Revenue for Q3 was ¥5,509 million, up 24.2% year-over-year, with a progress rate of 75.8% toward the full-year plan.

• Operating profit reached ¥1,070 million, up 19.1% year-over-year, with a progress rate of 83.2%.

• Net profit was ¥780 million, up 18.3% year-over-year, with a progress rate of 87.8%.

• KOT SaaS revenue was ¥4,958 million (+25.8% YoY), while other revenue was ¥551 million (+11.4% YoY).

• Comprehensive income for the second quarter was ¥47 million, down 50.3% year-over-year.

Outlook and guidance

• Full-year revenue forecast remains unchanged at ¥7,265 million, with operating profit forecast at ¥1,285 million and net profit at ¥888 million.

• Full-year net sales forecast for June 2026 is ¥1,600 million, with operating profit forecast at ¥300 million and ordinary profit at ¥300 million.

• Profit attributable to owners of parent is forecast at ¥260 million, a 1.4% increase, and basic earnings per share for the year are forecast at ¥45.68.

• Growth investments, including ARPU enhancement and ASEAN payroll service expansion, are planned for the current period.

• Targeting annual revenue growth of 20% and operating margin of around 30% in the medium term.