Japan-based staffing firm Careerlink (6070: JP) downgraded its full-year financial forecast and said it was unable to achieve the order volume for government BPO work that it had anticipated in its previous earnings forecast.

The group said it is also working on new business development for private enterprise BPO services and manufacturing human resources services. Although it has endeavoured to expand its sales base, it has not achieved the amount of orders it anticipated in its previous earnings forecast.

Revenue guidance was cut to JPY 20.46 billion (USD 133.9 million) from the previously announced JPY 22.52 billion (USD 147.5 million) for the full year ended March 2025.

In terms of profits, both the administrative human resources services business and the manufacturing human resources services business continued to see a favourable balance of orders.

Operating profit was upgraded slightly to JPY 1.18 billion (USD 7.7 million) from JPY 1.15 billion (USD 7.5 million), while net income was also upgraded slightly to JPY 800 million from JPY 790 million.

The group said it would strive to strengthen management and pursue efficiency while also reducing sales and general administrative expenses, including registration recruitment costs. The group also saw increased staff labour costs but added that expenses related to economic stimulus-related projects are expected to decrease significantly from October 2024 onwards.

Careerlink Co Ltd (6070:TYO) closed at JPY 2,524.00 (USD 16.60), up 0.68% on the day and 9.70% below its 52-week high of JPY 2,795.00 (USD 18.38), set on 1 March 2024. The company has a market cap of JPY 31.59 billion (USD 89.3 million).