Will Group (6089) Q3 2025 earnings summary

Executive summary

• Revenue grew 1.4% year-over-year to ¥105.35 billion, driven by strategic investment domains, especially the construction management engineer domain in Domestic W, but operating profit fell 35.9% to ¥1.79 billion and profit attributable to owners declined 28.6% to ¥1.11 billion.

• EBITDA for the period was ¥3.32 billion, down 24.8% year-over-year.

• All major KPI targets under the Medium-term Management Plan were achieved, with strong progress in Domestic W.

• Overseas Working Business revenue increased due to yen depreciation, but profits fell amid continued weak hiring by major clients.

• The Others segment posted lower revenue and a segment loss due to business transfers.

Financial highlights

• Revenue: ¥105.35 billion (+1.4% YoY); Operating profit: ¥1.79 billion (−35.9% YoY); EBITDA: ¥3.32 billion (−24.8% YoY).

• Profit attributable to owners: ¥1.11 billion (−28.6% YoY); Basic EPS: ¥48.98 (down from ¥68.91 YoY).

• Gross margin declined 1.2pt to 21.0%; Operating margin fell 1.0pt to 1.7%.

• Total assets: ¥51.65 billion; total equity: ¥17.98 billion as of December 31, 2024.

Outlook and guidance

• FY2025 full-year revenue forecast: ¥140.40 billion (+1.6% YoY); Operating profit: ¥2.29 billion (−49.4% YoY); profit attributable to owners: ¥1.64 billion (−41.0% YoY); basic EPS: ¥71.91.

• No changes to previously announced earnings forecasts.

• Dividend forecast maintained at ¥44 per share, with a total payout ratio of 61.9%.

• Domestic W to focus on expanding strategic domains; Overseas W to implement cost controls while retaining talent.