PORT INC.

Business Details

Under the purpose of "Turning social liabilities into next-generation possibilities," the company operates a performance-based model that supports clients seamlessly from customer acquisition through contract closing. Its core areas are two: (1) the human resources domain (recruiting services and Alliance Service for Recruiting Companies targeting new graduate hiring) and (2) the energy domain (contract support for electricity and gas providers). The fee structure, under which no fee is charged unless a contract is closed, eliminates clients' risk of wasted spending and is the source of the company's competitive advantage. The KPI is "number of customer leads x contract conversion rate x per-contract fee." Since the group operates a single segment—the Contract Support Business—consolidated results are equivalent to segment results.

Recent Overview

In FY2026 (ending March 2026), revenue increased 32.5% and operating profit increased 36.3%, achieving substantial growth in both revenue and profit

In the energy domain, against a backdrop of increasing demand from electricity and gas providers for new customer acquisition and rising per-contract fees, the company stepped up marketing investment, expanding both total contract volume and per-contract fees. Future profits accumulated in the prior period were recorded as stable recurring profit, contributing to business expansion. The Grid-Connected Battery Storage Business achieved profitability from its first year. In the human resources domain, HRteam Co., Ltd. became a consolidated subsidiary in November 2025 (recording a gain on step acquisition of ¥323 million in other income), and the company achieved higher revenue and profit driven primarily by recruiting services, supported by an increase in career advisors and expansion of regional offices. The forecast for FY2027 (ending March 2027) is revenue of ¥39,000 million (up 34.0% year on year) and operating profit of ¥5,400 million (up 32.6% year on year). Under the medium-term management plan, the company targets revenue of ¥80.0 billion and EBITDA of ¥13.0 billion for FY2030 (ending March 2030).

Key Products

Growth Drivers

• Continued recovery in demand from electricity and gas providers for new customer acquisition in the energy domain, and rising per-contract fees
• Accumulation of future profits through conversion to recurring (stock-type) contracts and stable expansion of the recurring revenue base
• Establishment of a new revenue source through full-scale entry into the Grid-Connected Battery Storage Business (from FY2027, ending March 2027) and acceleration of the "Vertical Support Concept"
• Promotion of PMI and creation of synergies (integration of sales and contract-closing know-how with customer acquisition capability) through the consolidation of HRteam Co., Ltd.
• Growth in recruiting services underpinned by the continued expansion of the new graduate recruiting support market (market size of ¥160.2 billion in FY2026, up 104.2% year on year)
• Maximization of contract volume and improved per-contract fee negotiating power through an increase in career advisors and expansion of regional offices
• Utilization of a robust member database through expansion of total membership including Minshu, Matcher, Diary, and yuth, and expansion into the market of people in their twenties
• Enhanced market presence through M&A synergy effects and strengthened position as one of Japan's largest contract support businesses

Risks

• Risk of renewed suppression of demand from electricity and gas providers for new customer acquisition due to energy market price volatility and geopolitical risk (Middle East situation)
• Risk that the earlier and year-round nature of job-hunting activity may shift the timing of contract closings for recruiting services, affecting performance
• Increase in goodwill and intangible assets (goodwill of ¥8,234 million, intangible assets of ¥5,146 million) and impairment risk associated with the active pursuit of M&A and capital/business alliances
• Increase in interest-bearing debt (bonds and borrowings) (total of current and non-current of ¥11,306 million) and risk of rising interest rates
• Increase in financial leverage associated with the decline in the ratio of equity attributable to owners of parent (from 37.4% to 29.3%)
• Increased difficulty in maintaining productivity amid rising recruitment and training costs associated with expansion of the contract support organization's headcount
• Price volatility risk in the wholesale electricity market, balancing market, and capacity market in the Grid-Connected Battery Storage Business, and risk related to recovery of additional investment
• Risk of delayed PMI or unrealized synergies with HRteam Co., Ltd., and risk of accounting estimate changes associated with its consolidation