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View All NewsRecruit sees moderate expansion trend in North America, Europe staffing operations
Recruit Holdings Co., the world’s fifth-largest staffing firm, reported staffing operations in North America and Europe are enjoying a moderate expansion trend. North America staffing net sales rose 14.2% to ¥264.76 billion (US$2.21 billion) in its fiscal year ended March 31.
(¥millions) | FY 2015 | FY 2014 | % growth | FY 2015 (USD$millions) |
Net sales | ¥1,299,930 | ¥1,191,567 | 9.1% | $10,867 |
Gross profit | ¥655,192 | ¥602,315 | 8.8% | $5,477 |
Net income | ¥69,702 | ¥65,421 | 6.5% | $583 |
The company has made several acquisitions, most recently of US-based staffing provider Atterro. Its other North America staffing operations include Staffmark Holdings Inc. and Advantage Resourcing
Recruit’s net sales for its staffing business in Japan rose 6.2% to ¥965.35 million (US$8.07 billion).
Tokyo-based Recruit also has significant nonstaffing business operations in publishing and it owns job board indeed. The company reported total net sales rose 9.1% to ¥1.30 trillion (US$10.87 billion) for its fiscal year. The company’s stated aim is to become the world’s top provider of HR media operations and staffing operations by 2020.
Recruit’s HR Technology Fund, which launched in January, in March invested in All4Staff Inc., a technology company with an automated onboarding solution for the human resources industry. And in April, Recruit invested in San Francisco-based 99designs Inc., a crowdsourcing marketplace provider for designers, and Tokyo-based Gengo Inc., a crowdsourcing translation service provider that plans to use the funds raised to develop new products and expand its customer base in the US.
Net sales by segment
(¥millions) | FY 2015 | FY 2014 | % growth | FY 2015 (USD$millions) |
Marketing media | ¥333,411 | ¥322,315 | 3.4% | $2,787 |
HR Media (includes Indeed) | ¥302,734 | ¥266,916 | 13.4% | $2,531 |
Staffing | ¥675,204 | ¥612,478 | 10.2% | $5,645 |
Other | ¥2,005 | ¥2,861 | -29.9% | $17 |
Net sales by geography
FY 2015 | FY 2014 | % growth | FY 2015 (USD$millions) | |
Japan | ¥965,351 | ¥908,885 | 6.2% | $8,070 |
North America | ¥264,764 | ¥231,913 | 14.2% | $2,213 |
Other | ¥69,814 | ¥50,767 | 37.5% | $584 |
Guidance
Recruit expects net sales to rise 19.2% in FY 2016 through growth and acquisitions.
Sales price and market cap
Shares in Recruit closed down 2.9% on May 14 to ¥3,875; it had a market cap of ¥2.15 trillion, according to Google.