IR & Research Intelligence, Sessa Investment Research

Sessa Investment Research

IR & Research Intelligence

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<ul><li>WILL GROUP announced cumulative 3Q FY24/3 consolidated financial results on February 7, and held a results briefing on February 19 hosted by President Yuichi Sumi.</li><li>This reports examines the details and progress of 3Q results relative to initial plan.</li><li>Then on February 22, WILL GROUP announced that it has decided to sell all shares in specified subsidiary for Startups, Inc. (7089 TSE Growth, specialized in HR services for venture growth businesses and startup companies), in which it holds the majority stake of 54.1% (1,925,400 shares) as of September 30, 2023.</li></ul>

WILL GROUP announced cumulative 3Q FY24/3 consolidated financial results on February 7, and held a results briefing on February 19 hosted by President Yuichi Sumi.This reports examines the details and progress of 3Q results relative to initial plan.Then on February 22, WILL GROUP announced that it has decided to sell all shares in specified subsidiary for Startups, Inc. (7089 TSE Growth, specialized in HR services for venture growth businesses and startup companies), in which it holds the majority stake of 54.1% (1,925,400 shares) as of September 30, 2023.

<ul><li>WILL GROUP unveiled its new MTP “WILL-being 2026” this May.</li><li>The aim of the previous MTP "WORK SHIFT Strategy" was to boost profit margins by increasing the weight of high-margin permanent placement and temporary staffing in highly specialized fields, and the Company focused on developing strategic investment domains such as nursing care domain support, support for construction management engineers, and HR support for start-up companies.</li><li>In the previous MTP, although the profit margin improved, Domestic Working Business stagnated. </li></ul>

WILL GROUP unveiled its new MTP “WILL-being 2026” this May.The aim of the previous MTP "WORK SHIFT Strategy" was to boost profit margins by increasing the weight of high-margin permanent placement and temporary staffing in highly specialized fields, and the Company focused on developing strategic investment domains such as nursing care domain support, support for construction management engineers, and HR support for start-up companies.In the previous MTP, although the profit margin improved, Domestic Working Business stagnated. 

<ul><li>The day after the Company announced 4Q FY23/3 results and FY24/3 initial guidance for consolidated revenue flat and OP -21.0%, the share price dropped -6.3% on heavy volume, maintaining a weak trend thereafter relative to a strong underlying market.</li><li>SIR believes this is because the new MTP differed from investors‘ growth image.</li><li>While the Company would be remiss not to highlight the high base from the post-COVID surge in special demand for permanent placement as a short-term risk for this term, investors may have been sensitive to the slowdown in growth over the coming two years.</li></ul>

The day after the Company announced 4Q FY23/3 results and FY24/3 initial guidance for consolidated revenue flat and OP -21.0%, the share price dropped -6.3% on heavy volume, maintaining a weak trend thereafter relative to a strong underlying market.SIR believes this is because the new MTP differed from investors‘ growth image.While the Company would be remiss not to highlight the high base from the post-COVID surge in special demand for permanent placement as a short-term risk for this term, investors may have been sensitive to the slowdown in growth over the coming two years.

Japan

Will Group Inc. provides employee placement and staffing services. The Company offers outsourcing services for sales, call center, and manufacturing positions.

Will Group Inc (6089 JP)

3Q Follow-Up - WILL GROUP (6089 JP)

WILL GROUP announced cumulative 3Q FY24/3 consolidated financial results on February 7, and held a results briefing on February 19 hosted by...

Sessa Investment Research

2Q Follow-Up - Will Group (6089 JP)

WILL GROUP unveiled its new MTP “WILL-being 2026” this May. The aim of the previous MTP "WORK SHIFT Strategy" was to boost profit margins by...

Sessa Investment Research

Will Group (6089 Jp) - 4Q Follow-Up

The day after the Company announced 4Q FY23/3 results and FY24/3 initial guidance for consolidated revenue flat and OP -21.0%, the share price...

Sessa Investment Research