ENVALITH
株式会社ナレルグループ logo

Nareru Group Inc.

9163・Growth Market・Services

Official website
株式会社ナレルグループ logo
Nareru Group Inc.9163

Business

Nalel Group Co., Ltd. is a pure holding company overseeing four consolidated subsidiaries (World Corporation Co., Ltd., ATJC Co., Ltd., Contraft Co., Ltd., and the National Construction Human Resources Association). In its core Construction Solutions Business, the company deploys construction management engineers, CAD operators, and other technical staff nationwide through staffing services, while its IT Solutions business provides IT Engineer Staffing and SES (System Engineering Service). The company also engages in fee-based job placement for skilled construction workers (craftsmen) and provides Construction DX support, comprehensively addressing the construction industry's two major challenges: "labor shortage" and "delayed productivity improvement." In FY2025 (ending October 2025), consolidated revenue reached ¥24,159 million, with the number of registered engineers reaching 3,687 at World Corporation and 430 at ATJC.

Business Model

The company suppresses hiring costs through a recruitment strategy centered on inexperienced hires, leveraging major job-listing media and staffing agencies, while raising skills through its proprietary training method tailored to years of experience (basic training in year 1 through specialized technical training from year 7 onward), thereby achieving continuous increases in contract unit prices. Revenue is composed of "number of staff deployed × average monthly contract unit price × number of months worked." In FY2025 (ending October 2025), World Corporation's average contract unit price reached ¥519 thousand (up ¥9 thousand year on year), with the number of staff deployed reaching 3,136 (average during the period). Direct sales negotiations with on-site foremen regarding orders and pricing underpin profitability.

Company Strengths

Through a recruitment strategy targeting inexperienced hires drawn from a broad pool of job seekers spanning multiple industries, the company achieves large-scale hiring while keeping hiring costs low compared to hiring experienced personnel. The number of hires at World Corporation in FY2025 (ending October 2025) reached 1,985 (+10.0% YoY), exceeding plan. The company continues to improve its recruitment process through the introduction of a 24-hour automated recruitment tool and the use of its proprietary recruiting media, Sekokan NEXT (Proprietary Recruiting Media).

The age composition of engineers is centered on younger workers, with approximately 91% aged 39 or under (as of the end of October 2025). The company has established a phased training method from the first year through the seventh year and beyond, and also supports employees in obtaining qualifications such as first-class architect and construction management engineer licenses. World Corporation's average monthly contract unit price has risen for five consecutive fiscal periods, from ¥468 thousand in FY2021 (ending October 2021) to ¥519 thousand in FY2025 (ending October 2025).

The company legally operates a fee-charging employment placement business for construction work—an activity generally prohibited under the Employment Security Act—through the National Construction Human Resources Association (a general incorporated association authorized by the Minister of Health, Labour and Welfare, one of only three such organizations nationwide). Targeting the massive market of 3.03 million skilled construction workers, the company has established a first-mover position by leveraging the job-seeker acquisition know-how cultivated through its staffing business and its "Job Ken Work" platform.

ENVALITH's Perspective

In the first half of FY2026 (ending March 2026)... wait, this document does not specify the fiscal year end month, but based on context it appears to be a fiscal year ending in October. Revenue was ¥12,669 million (up 7.4% year-on-year), securing revenue growth, while operating profit fell sharply to ¥1,354 million (down 11.8% year-on-year). The main cause of the increase in costs was upfront investment in human capital and growth areas during the first year of the medium-term management plan. Achieving the full-year forecast (operating profit of ¥3,010 million, up 6.5%) will require simultaneous realization of cost efficiency improvements and utilization rate improvements in the second half; it should be noted that the progress rate (first half against full-year) remains at only about 45%.

The monthly average utilization rate (excluding trainees) in the Construction Solutions Business was 91.6% (down 2.9 percentage points year-on-year), and in the IT Solutions Business it was 91.2% (down 2.3 percentage points year-on-year), with both segments declining. Although the number of enrolled and active staff has increased, the decline in utilization rates is constraining the contribution to earnings. Management continues to recognize the turnover rate as an important issue, and until the effects of employee retention measures become apparent, the recovery in profit levels may remain limited.

As an external factor, steady public investment and a recovery in private-sector capital expenditure are supporting demand for Construction Engineer Staffing (World Corporation), and the revenue growth trend has been maintained. On the other hand, against total assets of ¥24,366 million, goodwill is recorded at a high level of ¥14,074 million (57.8% of total assets), and the impairment risk in the event of a business downturn remains a financial risk that investors should continue to monitor closely. At present, there is no note regarding going concern assumptions, and financial soundness is being maintained.

Growth Strategy

Aiming for ¥50 billion in revenue by 2030 through four strategies: strengthening human capital, promoting construction DX, expanding the skilled worker referral business, and improving productivity.

Strengthening the sales structure, optimizing staffing, and running agile recruitment operations in Construction Engineer Staffing. As of the end of the first half of FY2026 (ending March 2026), the number of registered staff in the Construction Solutions Business expanded to 3,840 (up 346 year-on-year). Signs of improvement in utilization rates are emerging, but curbing the turnover rate remains an important ongoing challenge.

Expanding on-site implementation support and DX adoption support in collaboration with business alliance partners. Also working to expand support projects in the BPO domain by leveraging the customer base and human resource base, driving monetization in value-added areas.

Promoting the development of a skilled worker referral model that leverages the customer base and human resource base. Building recruitment and retention support structures through collaboration with local financial institutions and others, expanding regional networks and broadening support areas tailored to each company's individual challenges.

In addition to business reform and DX promotion initiatives, working on improving operational efficiency and business process reform through AI utilization, strengthening the medium- to long-term revenue base. Currently in an upfront investment phase, with the realization of tangible effects remaining a future challenge.

Last updated: July 17, 2026