JAC Recruitment (2124) Q4 2025 earnings summary

Executive summary

• Revenue for FY2025 reached ¥46.08 billion, up 17.7% year-over-year, with profit rising 49.7% to ¥8.4 billion, both setting record highs and exceeding forecasts, driven by strong demand in finance, IT, and healthcare sectors within the Domestic Recruitment Business, which accounts for about 90% of total sales.

• Operating income increased 28.5% year-over-year to ¥11.68 billion, reflecting effective cost management, business focus on high-salary positions, and deferred IT expenses.

• All business segments contributed to growth, with the Domestic Recruitment Business achieving record revenue and profit, and the Overseas Business returning to profitability.

• The Domestic Job Offer Advertising Business saw a 1.0% decline in sales but a 56.9% increase in profit.

Financial highlights

• Gross profit rose 17.9% year-over-year to ¥42.72 billion, with a gross margin of 92.7%.

• EBITDA increased 24.8% to ¥12.15 billion, with the EBITDA margin improving by 1.5 points to 26.4%.

• Profit before tax grew 37.8% year-over-year to ¥11.5 billion.

• Cash and deposits at year-end totaled ¥23.31 billion, up ¥4.26 billion from the previous year.

• Total assets rose to ¥30.90 billion, and net assets to ¥22.35 billion, with an equity ratio of 72.3%.

Outlook and guidance

• FY2026 revenue is forecast to grow 15.4% year-over-year to ¥53.2 billion, with profit growth expected to be more moderate at 2.4% due to deferred IT costs and the absence of prior-year tax incentives.

• Dividend forecast for FY2026 is ¥38 per share, maintaining a high payout ratio while reserving funds for growth investments.

• The medium-term plan targets annual revenue growth of approximately 15% through FY2028.