TalentX Inc.

Business Details

Under the vision of "creating the infrastructure of the future and rewriting the history of HR," the company supports the DX of recruitment activities, primarily for large enterprises and growth companies. It provides "MyTalent Platform," which integrates referral recruiting, talent pool recruiting, recruitment branding, and applicant tracking system (ATS) functions, leveraging AI and data to help companies build proprietary recruitment assets. Following the consolidation of Crepe Inc. as a subsidiary, professional HR services have also been added, establishing a combined SaaS and BPaaS support system.

Recent Overview

In its first fiscal year of consolidated results, the company achieved revenue of ¥1,751 million and operating profit of ¥334 million; the following fiscal year is projected to see a significant profit decline due to growth investments

FY2026 (ending March 2026) marked the first period in which the company prepared consolidated financial statements, recording revenue of ¥1,751 million, operating profit of ¥334 million, and net income of ¥254 million. The company carried out a rebranding to "MyTalent Platform" and launched the AI-native ATS "MyTalent Hire" and "MyTalent AI Core." In October 2025, the company made Crepe Inc. a wholly owned subsidiary for ¥140 million, recording goodwill of ¥134 million (amortized equally over 7 years). For FY2027 (ending March 2027), the company expects revenue of ¥2,136 million (+22.0%), while operating profit is forecast to decline significantly to ¥160 million (△52.1%) due to expanded growth investments.

Key Products

Growth Drivers

• Improved marketing ROI and maximized brand value through consolidation and rebranding under "MyTalent Platform"
• Progress in cross-selling through multi-product adoption centered on large enterprises, and continued increase in average revenue per account (ARPA)
• Enhanced product value and strengthened customer retention through the launch of the AI-native ATS "MyTalent Hire" and "MyTalent AI Core"
• Synergy creation between the platform (My-series) and professional HR services through the consolidation of Crepe Inc. (combined SaaS and BPaaS support)
• Expanding demand for recruitment DX driven by continued structural labor shortages amid a declining birthrate and aging population, and growing attention to human capital management
• Significant room for new customer acquisition among large enterprises (of approximately 4,000 companies with 1,000+ employees, only about 200 currently use the service, leaving roughly 95% untapped)
• Expansion of business domains and creation of synergies through strategic alliances and M&A

Risks

• Sensitivity to the recruitment market's economic cycle: an economic downturn could reduce corporate recruitment activity, potentially affecting new contract acquisition and renewal of existing contracts
• Risk of intensifying competition: an increase in new entrants into the recruitment DX and HR Tech space, as well as digitalization efforts by major existing staffing industry players
• Margin pressure from growth investments: operating profit for FY2027 (ending March 2027) is forecast to decline sharply by △52.1% (to ¥160 million) year-on-year, with risk that upfront investments such as strengthening sales and consultant hiring will weigh on profit
• M&A integration risk: risk of impairment of goodwill (¥134 million, amortized equally over 7 years) arising from the consolidation of Crepe Inc., and uncertainty regarding post-merger integration (PMI)
• Information management and security risk: risk of information leakage stemming from a business model that handles large volumes of customer information and personal data
• Revenue structure dependent on advance payments: risk that advance payments of ¥451 million (approximately 61% of current liabilities), a major liability item, may not be recognized as revenue due to cancellations or other factors