Japanese HR firm Will Group (6089:TYO) announced it cut its revenue forecast for the year ended 31 March 2024.

The company had previously forecasted revenue of JPY 144.00 billion (USD 957.5 million) but lowered its forecast to JPY 138.00 million.

Will Group also adjusted its operating income forecast, increasing it from JPY 4.20 billion (USD 27.9 million) to JPY 4.55 billion (USD 30.2 million). Net income forecast was reduced from JPY 2.80 billion (USD 18.6 million) to JPY 2.45 billion (USD 16.3 million).

Will Group is engaged in the human resource business focusing on temporary staffing, business contracting and recruitment.

Within its domestic working business, the group said business is slow in the field of construction engineers. Sales in business outsourcing and call centre outsourcing has also been below expectations

In addition, the rapid demand for human resources in the overseas working business after the pandemic has come to an end, and the group said a ‘harsh market environment’ continues. As a result of this, revenue from temporary staffing and recruitment has been slow to grow.

On the other hand, a gain on sale of approximately JPY 1.4 billion (USD 9.3 million) is expected to be recorded, which means operating profit will exceed the initial forecast.

The net profit forecast has been lowered due to the impact of increased tax expenses due to the sale of consolidated subsidiary shares, etc.

Will Group shares closed today at JPY 1,118.00 (USD 7.43), no change on the day and 11.58% above the 52 week low of JPY 1,002.00 (USD 6.6) set on 31 May 2023. The company has a market cap of JPY 25.66 billion (USD 170.63 million).