Human Technologies (5621) Q4 2025 earnings summary

Executive summary

• Achieved record revenue and profit, with revenue up 20.3% year-over-year to ¥6,055 million, operating profit up 79.0% to ¥930 million, and net profit up 95.4% to ¥655 million, surpassing forecasts and driven by steady customer growth and service enhancements.

• Expanded customer base and strengthened business foundation, supporting sustainable growth and market leadership.

• Launched new services, including electronic contract and labor regulation navigation, broadening value proposition beyond time management and HR.

• Focused on SaaS-based attendance management, web marketing, and partner sales to drive digital transformation.

• Continued demand for digital labor management solutions across industries, with new customer acquisition from analog-to-digital shifts.

Financial highlights

• Revenue: ¥6,055 million, up 20.3% year-over-year, exceeding plan by 1.2%.

• Operating profit: ¥930 million, up 79.0% year-over-year, 26.8% above forecast.

• Net profit: ¥655 million, up 95.4% year-over-year.

• Ordinary income: ¥935 million, up 86.7% year-over-year.

• KOT SaaS revenue: ¥5,361 million (+21.2% YoY); Other: ¥693 million (+13.2% YoY).

• Key KPIs: ARR ¥5.75 billion (+20.0% YoY), 3.85 million user IDs (+16.5% YoY), 61,000 client companies (+12.5% YoY), monthly churn 0.30%.

• Cash and equivalents at year-end: ¥3,974 million, up ¥650 million from prior year.

Outlook and guidance

• FY2026 revenue forecast: ¥7,265 million (+20.0% YoY), operating profit forecast: ¥1,285 million (+38.1% YoY), net profit: ¥888 million (+35.6% YoY).

• Aims for 20% annual revenue growth and 30% operating margin in the medium term as prior investments yield efficiency gains.

• Transitioning pricing model from per-punch to per-registered-user to improve profitability, effective April 2025.