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View All NewsJapan – Pasona Group’s HR Solutions business boosts revenue, profits on the rise
Japanese staffing firm Pasona Group (2168: JP), reported revenue today for the nine months ended 28 February 2021 of JPY 244.6 billion (USD 2.23 billion), an increase of 2.2% compared with last year.
| (JPY millions) | 9 months 2020 | 9 months 2019 | Change | 9 months 2020 (USD millions) |
| Revenue | 244,670 | 239,348 | 2.2% | 2,238.2 |
| Gross Profit | 61,029 | 55,631 | 2.6% | 558.3 |
| Gross Margin | 24.9% | 23.2% | - | - |
| Operating Profit | 14,512 | 5,856 | 147.8% | 132.7 |
| Net Income | 5,582 | 568 | 882.9% | 51.0l |
Through its subsidiaries, Pasona provides human resource solutions in Japan and internationally. It offers temporary staffing/contracting, outsourcing, and outplacement services. It also offers additional services, such as childcare; foreign language education abroad; public solutions, such as employment of persons with disabilities; and other social welfare businesses.
Revenue in the HR Solutions segment grew by 2.4% during the period. The HR Solutions segment is broken down as follows:
| (JPY millions) | 9 months 2020 | 9 months 2019 | Change | 9 months 2019 (USD millions) |
| Expert Services (Temporary staffing), BPO Services (Contracting), Others | 203,980 | 197,867 | 3.1% | 1,865.7 |
| Career Solutions (Placement/Recruiting, Outplacement) | 9,777 | 10,284 | -4.9% | 89.4 |
| Outsourcing | 27,077 | 27,062 | 0.1% | 247.6 |
| HR Solutions Total | 240,835 | 235,214 | 2.4% | 2,202.8 |
Pasona added that while there is still uncertainty about the future, demand for BPO services and outplacement continues to be strong. Therefore, the forecast of results for the fiscal year ending 31 May 2021 announced on in January has been revised to JPY 333.00 billion (USD 3.04 billion).
Shares in Pasona Group closed at JPY 1,908.00 (USD 17.44), up 1.92% on the day and 16.43% below its 52-week high of JPY 2,283.00 (USD 20.87), set on 14 January 2021. The company has a market cap of JPY 78.04 billion (USD 713.44 million).