CareerIndex Inc.

Business Details

This segment is handled by CAREER INDEX Co., Ltd. and White Career Co., Ltd. In the HR domain (job change, part-time work, and temporary staffing), the segment employs its proprietary 'portal of portals' model, enabling bulk applications to multiple job listing sites and generating revenue by transferring leads to job-related services. In the real estate domain, the segment offers rental information for individuals and flexible office information for corporate clients. Major customers are Recruit Co., Ltd. (¥651 million in revenue for the fiscal year under review) and en Japan Inc. (¥540 million).

Recent Overview

The job listing sharing business contributed to revenue throughout the full year, driving a 26.6% year-on-year increase in segment revenue

In FY2026 (ending March 2026), the Marketing Business segment recorded revenue of ¥3,917 million (up 26.6% year on year) and segment profit of ¥696 million (up 54.6% year on year), achieving substantial growth in both revenue and profit. The main driver was the 'job listing sharing business (Alliance Marketing),' launched to generate synergies within the Group, which contributed to revenue throughout the full year. In the real estate domain, efficiency improvements in the sales process for corporate services led to progress in acquiring higher-value deals. In addition to Recruit (¥651 million), en Japan Inc. (¥540 million) was newly disclosed as a major customer.

Key Products

Growth Drivers

• Expansion of Alliance Marketing: The model of offering the company's own job listing platform to candidates not successfully matched by staffing agencies and temp agencies drove performance throughout the full year and led growth across the Group
• Structural labor shortage in the HR domain: Continued expansion in recruitment demand due to the declining working-age population underpins lead demand
• Efficiency gains in production work through generative AI: In addition to developing apps that accurately capture customer needs, the company is promoting speedy and highly profitable service deployment leveraging generative AI
• Return-to-office trend: In corporate real estate services, the company aims to expand revenue by both acquiring large-scale deals and improving sales efficiency for medium-scale deals
• Group synergies: Strengthened collaboration at the business and staff level following the transition to a holding company structure has directly contributed to results such as Alliance Marketing, and has also become a successful example in terms of personnel exchange and organizational revitalization

Risks

• Risk of CPA (customer acquisition cost) remaining elevated due to intensifying competition in the internet advertising market
• Revenue dependence on major customers (Recruit Co., Ltd., en Japan Inc., etc.): in the fiscal year under review, the top two customers accounted for approximately 30% of revenue, with ¥651 million from Recruit and ¥540 million from en Japan
• Constraints from limited client budgets and revenue opportunities in the real estate domain
• Risk of sudden changes in the web marketing environment due to changes in customer acquisition algorithms, etc.
• In the previous fiscal year, an impairment loss on goodwill and customer-related assets was recorded in the corporate real estate service business, and the risk of asset impairment remains in the event of a deterioration in the business environment (goodwill balance of ¥291 million and customer-related assets balance of ¥1,393 million at the end of the fiscal year under review)