CrowdWorks Inc.

Business Details

Composed of two axes: the platform domain ("CrowdWorks") and the agent domain ("CrowdWorks Agent"). As of the end of March 2026, based on one of Japan's largest databases with 7.787 million registered users and 1.104 million registered clients, the segment provides an integrated offering ranging from freelance talent matching to DX Consulting combining full-time consultants with freelancers. Revenue accounts for approximately 94.8% of total consolidated revenue, making it the core segment.

Recent Overview

Revenue slightly declined while profit fell sharply; talent investment for DX consulting and AI-BPO development weighed on profit

In H1 FY2026 (ending March 2026), the Matching Business recorded revenue of ¥10,536 million (down 0.5% year on year) and segment profit of ¥285 million (down 65.3% year on year), a significant decline in profit. The main causes were accelerated talent investment aimed at promoting DX Consulting and upfront investment in the development and provision of AI-BPO (business process automation support). Meanwhile, the customer base continued to expand, with registered users increasing by 736 thousand year on year to 7.787 million and registered clients increasing by 67 thousand to 1.104 million. An additional ¥155 million in goodwill was recorded due to the occurrence of contingent consideration related to the acquisition of Yuukuri Co., Ltd. Two companies, CLOCK・IT and AI tech, were excluded from the scope of consolidation.

Key Products

Growth Drivers

• Continued expansion of registered users and clients (7.787 million users and 1.104 million clients as of end of March 2026)
• Increase in the number of ordering companies through the development of hired talent into productive resources, and increase in order unit prices through unit price improvement initiatives
• Expansion of the DX Consulting business centered on CrowdWorks Consulting and promotion of the "democratization of DX consulting" for mid-sized and small-to-medium enterprises
• Development and provision of AI-BPO services against the backdrop of growing demand for business process automation amid the advancement of AI adoption and utilization
• Increased demand for engineers and consultants driven by growing corporate demand for DX/AX promotion amid a structural labor shortage
• Strengthening of the account sales structure through group collaboration and improvement in the profitability of group companies through PMI

Risks

• Risk of slowing growth in the existing matching business due to structural changes in demand for remote workers, driven by the rapid development of technologies such as AI and the return of companies to office-based work
• Short-term pressure on profit due to increased personnel and recruitment/training costs associated with accelerated hiring of DX consultants and engineers (an operating loss is expected in FY2026 (ending March 2026) due to strategic investment)
• Risk of impairment of goodwill acquired through M&A (an impairment loss was recorded in the Matching Business in FY2025 (ended September 2025); the goodwill balance stood at ¥3,151 million as of end of March 2026)
• Temporary decline in revenue associated with business portfolio restructuring, including the withdrawal from or sale of unprofitable businesses (revenue forecast for FY2026 (ending September 2026) of ¥20,000 million, down 11.7% year on year)
• Difficulty in securing and retaining highly skilled talent (DX consultants and AI engineers)
• Impact on revenue and profit due to changes in the scope of consolidation (exclusion of CLOCK・IT and AI tech)