MEITEC Group Holdings Inc.

MEITEC Group Holdings Inc. is a holding company for a group specializing in engineer dispatch services, founded in 1974. Through six consolidated subsidiaries, the group operates high-end engineer dispatch (MEITEC), mid-range dispatch (MEITEC FILDERS), registered-type dispatch for manufacturing (MEITEC CAST), senior engineer dispatch (MEITEC EX), and engineer-specialized job placement (MEITEC NEXT), among other services. Its main customers are major manufacturers in the automotive, electronics, and machinery industries, and the company employs a business model in which it hires engineers as permanent employees and dispatches them, primarily in design and development fields. Consolidated net sales for FY2026 (ending March 2026) were ¥137,686 million, with the Engineering Solutions segment accounting for over 90% of net sales. Listed on the Prime Market of the Tokyo Stock Exchange.

The company hires engineers as full-time employees and generates revenue by continuously dispatching them to the design and development departments of major manufacturers. Earnings are determined by three metrics: utilization rate (MT 98.5%, MF 97.2%), number of engineer employees, and hours worked. Under this permanent-employment model, fixed-cost risk becomes apparent during economic downturns, but in normal times the company generates stable operating cash flow (¥152,530 million in FY2026 (ending March 2026)) by maintaining a high utilization rate.

Consolidated net sales for FY2026 (ending March 2026) came to ¥137,686 million (up 3.5% year on year), operating profit was ¥19,903 million (up 5.7%), and profit attributable to owners of parent was ¥15,051 million (up 18.1%), marking a fifth consecutive year of record highs. Sales growth decelerated from 4.8% in the prior period to 3.5%, reflecting a slight decline in the number of engineers due to recruitment difficulties and a modest drop in utilization rates. On the other hand, a reduction in selling, general and administrative expenses (down ¥714 million year on year), a narrowing of impairment losses from ¥620 million in the prior period to ¥75 million in the current period, and the recognition of ¥637 million in extraordinary gains from the sale of a large training facility contributed to the substantial increase in net profit (up 18.1%). As an external factor, continued investment in technology development by major manufacturers supported firm order intake. For FY2027 (ending March 2027), the company forecasts net sales of ¥140,800 million (up 2.3%) and operating profit of ¥20,500 million (up 3.0%), though it has itself noted reduced forecast accuracy given uncertainty in the economic outlook.