CrowdWorks Inc. (3900:TYO), a Tokyo-based firm that provides crowdsourcing services, a platform for 'side hustles' and IT staffing, reported net sales rose 24.6% during the first nine months of its fiscal year. The first nine months ended 30 June while the full fiscal year ends 30 September.

Gross margin improved though net profit edged downward.

CrowdWorks noted the Japanese government has taken steps to promote the use of 'side-job workers' and 'dual-job workers', and a new law to recognize and protect freelancers was passed in April .

“This trend has been a tailwind for the group, with the number of registered users reaching 5,757,000 (up 670,000 year-on-year), and the number of registered clients reaching 917,000 (up 96,000 year-on-year) as of June 31, 2023,” the company wrote in a regulatory filing.

The company did not update its guidance for its full fiscal year; it remains at net sales of JPY 13.00 billion (USD 90.8 million), which represents a 22.9% increase from the previous year.

Earnings were announced Wednesday.

Share price

Shares in CrowdWorks closed up 3.15% to JPY 1,311 (USD 9.15) in Japan on Wednesday; they were 11.76% above their 52-week low, according to FT.com.