■Performance Trends

1. Summary of financial results for the fiscal year ending 2024/1

HowTV's financial results (unconsolidated) for the fiscal year ended 2024/1 were sales of 1,842 million yen, up 19.4% from the previous fiscal year; operating income of 407 million yen, up 2.7%; ordinary profit of 405 million yen, up 2.3%; and net income of 301 million yen, up 6.2% from the same period. Although sales, operating income, and ordinary profit fell below the plan (sales of 2,100 million yen, operating income of 450 million yen, ordinary income of 445 million yen, net income of 286 million yen), growth in the new graduate service “foreign job hunting dot com” led the way and secured an increase in sales and profit. Expenses (cost plus sales and administration costs) increased by 25.1%, and compared to sales, they rose 3.6 points to 77.9%. In addition to a 23.0% increase in labor costs due to personnel expansion for business growth, outsourcing costs such as outsourcing costs increased by 30.3%, and advertising/sales promotion costs increased by 21.3%. However, since cost control was implemented, the cost also fell below the plan. As of the end of the 2024/1 fiscal year, the number of employees was 66, an increase of 12 compared to the end of the previous fiscal year. As a result, the operating profit margin fell 3.6 points from the previous fiscal year to 22.1%. Net income exceeded the plan due to a decrease in tax burdens.

Furthermore, the reason why sales fell below the plan was mainly due to the fact that in addition to the fact that the mid-career service “Liiga” was slightly sluggish, some of the distribution-type products that were expected to be recorded in 2024/1 at the end of the fiscal year in the new graduate service “Foreign Investment Job Hunting Dot Com” fell out of place after 2024/2 due to customer circumstances. Sales will be recorded for the fiscal year ending 2025/1 for periods off.

(Author: FISCO Visiting Analyst Masashi Mizuta Exhibition)