En japan : 〔Delayed〕Fiscal Year Ended March 31, 2022, Earnings Announcement (Consolidated)

en Japan Inc.

Fiscal Year Ended March 31, 2022, Earnings Announcement [under Japanese GAAP] (Consolidated)

						May 13, 2022
Company Name	en Japan Inc.	Listing Exchanges	First Section of the Tokyo Stock Exchange
Stock Code	4849	URL	https://corp.en-japan.com/
Representative (Title)	President		(Name)	Takatsugu Suzuki
Contact (Title)	Administration Division Director	(Name)	Toshio Hijikata	Telephone [phone]
Regular General Shareholders' Meeting		June 28, 2022
Scheduled date to begin dividend payments		June 29, 2022
Scheduled date for submission of Securities Report	June 29, 2022
Preparation of Summary Supplementary Explanatory Materials	Yes
Earnings Briefing				Yes (for analysts and institutional investors)

(Figures rounded down to nearest million yen)

1. FY Ended March 2022 Consolidated Earnings (From April 1, 2021 to March 31, 2022)

(1) Consolidated Operating Results	(Percentages indicate percent change from the prior fiscal year)
	Net Sales		Operating Income	Ordinary Income	Profit Attributable to
		Owners of Parent
	Million yen		%	Million yen	%	Million yen	%	Million yen	%
FYE 03/2022	54,544		27.7	9,633	24.0	10,138	27.7	6,628	89.3
FYE 03/2021	42,725		-24.8	7,771	-29.4	7,939	-28.2	3,502	-50.9

(Note) Comprehensive income FYE 03/2022: 7,242 million yen (115.7%) FYE 03/2021: 3,357 million yen (-52.3%)

	EPS	Fully Diluted EPS	ROE	Ordinary Income	Operating Income to
	to Total Assets	Net Sales
	Yen	Yen	%	%	%
FYE 03/2022	147.71	147.38	17.2	19.7	17.7
FYE 03/2021	78.19	77.96	9.5	16.1	18.2

(2) Consolidated Financial Position

	Total Assets		Net Assets	Equity Ratio	Net Assets per Share
	Million yen		Million yen	%	Yen
FYE 03/2022	56,215		41,160	72.2	903.89
FYE 03/2021	46,644		36,856	77.8	810.66
(Reference) Equity	FYE 03/2022		40,603 million yen	FYE 03/2021	36,311 million yen
(3) Consolidated Cash Flows
	Net Cash Provided by	Net Cash Provided by	Net Cash Provided by	Cash and Cash
	(Used in) Operating		(Used in) Investing	(Used in) Financing	Equivalents
	Activities		Activities	Activities	at End of Period
	Million yen		Million yen	Million yen	Million yen
FYE 03/2022	11,453		-3,086	-1,813	33,389
FYE 03/2021	5,652		-2,150	-4,983	26,835

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2. Dividends

		Annual Dividend		Total	Dividend	Dividend to
						Dividend	Payout Ratio	Net Asset Ratio
	1st	2nd	3rd
	Year End	Total	Amount
	Quarter-end	Quarter-end	Quarter-end	(Full year)	(Consolidated)	(Consolidated)
	Yen	Yen	Yen	Yen	Yen	Million yen	%	%
FYE 03/2021	－	0.00	－	37.10	37.10	1,750	47.5	4.5
FYE 03/2022	－	0.00	－	70.10	70.10	3,314	47.5	8.2
FYE 03/2023	－	0.00	－	70.10	70.10		－
(projected)

3. FY Ending March 2023 Projected Consolidated Operating Results (From April 1, 2022 to March 31, 2023) (Percentages indicate percent change from the prior fiscal year)

	Net Sales		Operating Income	Ordinary Income	Profit Attributable to	EPS
								Owners of Parent
	Million yen		%	Million yen	%	Million yen	%	Million yen	%	Yen
Full year	62,000		13.7	3,085	-68.0	3,086	-69.6	2,118	-68.0	47.20

• Notes

1. Change in major subsidiaries during the fiscal year under review (Change in specific subsidiaries that will accompany a change in scope of consolidation): No

	Addition (Name):	None	Exclusion (Name)	None
(2) Changes in accounting policy, changes in accounting estimates, or restatement due to correction	Yes
a.	Changes in accounting policy accompanying amendment of accounting principles:
b.	Changes in accounting policy other than "a.":		No
c.	Changes in accounting estimates:			No
d.	Restatement due to correction:			No

1. Number of shares issued (common share)
   a. Number of shares issued at fiscal year-end (including treasury shares)

FYE 03/2022 49,716,000 shares

FYE 03/2021

49,716,000 shares

1. Number of shares of treasury share at fiscal year-end

FYE 03/2022 4,795,377 shares

FYE 03/2021

4,923,672 shares

1. Average number of shares issued during the period

FYE 03/2022 44,874,206 shares

FYE 03/2021

44,791,225 shares

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(Reference) Summary of Non-Consolidated Operating Results
1. FYE 03/2022 Non-Consolidated Earnings (From April 1, 2021 to March 31, 2022)
(1) Non-Consolidated Operating Results	(Percentages indicate percent change from the prior fiscal year)
		Net Sales		Operating Income	Ordinary Income	Profit
		Million yen		%	Million yen		%	Million yen	%	Million yen	%
	FYE 03/2022	35,281		31.1	7,393		8.8	10,292	52.2	7,341	138.2
	FYE 03/2021	26,919		-28.9	6,792		-30.1	6,763	-30.6	3,082	-52.6
		EPS		Fully Diluted EPS
				Yen			Yen
	FYE 03/2022	163.61	163.24
	FYE 03/2021			68.83			68.62
(2) Non-Consolidated Financial Position
		Total Assets	Net Assets		Equity Ratio	Net Assets per Share
	FYE 03/2022	Million yen	Million yen		%		Yen
	51,347	41,496	80.6	921.00
	FYE 03/2021	45,565	36,698	80.2	816.26
	(Reference) Equity	FYE 03/2022	41,372 million yen		FYE 03/2021	36,562 million yen

[This Earnings Announcement [under Japanese GAAP] is outside the scope of audits by certified public accountants or an audit corporation.]

[Explanation regarding appropriate use of operating results projections and other special notes]

Forward-looking statements including projected operating results contained in this report and supplementary materials are based on information currently available to the Company and on certain assumptions deemed as rational, and are not intended to guarantee achievements by the Company. Actual results may differ significantly from such projections due to various factors.

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Attachments Table of Contents
1. Overview of Operating Results............................................................................................................................................................	5
(1)	Overview of Operating Results for the Current Fiscal Year ......................................................................................................	5
(2)	Overview of Financial Position for the Current Fiscal Year......................................................................................................	6
(3)	Overview of Cash Flows for the Current Fiscal Year................................................................................................................	7
(4)	Business Outlook ......................................................................................................................................................................	7
(5)	Material Events Relating to the Going Concern Assumption....................................................................................................	8
2. Basic Approach to the Selection of Accounting Standards ..................................................................................................................	8
3. Consolidated Financial Statements and Key Notes .............................................................................................................................	9
(1)	Consolidated Balance Sheets ....................................................................................................................................................	9
(2)	Consolidated Statements of Income and Consolidated Statements of Comprehensive Income..............................................	11
(3)	Consolidated Statements of Changes in Net Assets ................................................................................................................	13
(4)	Consolidated Statements of Cash Flows.................................................................................................................................	15
(5)	Notes to the Consolidated Financial Statements .....................................................................................................................	17
	(Notes Relating to the Going Concern Assumption) ............................................................................................................	17
	(Changes in Accounting Policies).........................................................................................................................................	20
	(Change in Presentation Method).........................................................................................................................................	21
	(Consolidated Balance Sheets) .............................................................................................................................................	22
	(Consolidated Statements of Income)...................................................................................................................................	22
	(Consolidated Statements of Comprehensive Income).........................................................................................................	24
	(Consolidated Statements of Cash Flows)............................................................................................................................	24
	(Segment Information, etc.)..................................................................................................................................................	24
	(Per-Share Information)........................................................................................................................................................	26

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1. Overview of Operating Results

1. Overview of Operating Results for the Current Fiscal Year

1) Operating Results for the Fiscal Year ended March 31, 2022

Net sales in the fiscal year ended March 31, 2022 increased to ¥54,544 million (up 27.7% year on year) mainly due to the steady recovery in the domestic job board and overseas businesses. Total costs increased to ¥44,911 million (up 28.5% year on year) due primarily to an increase in costs accompanied by higher sales in the IT-related temporary staffing business in India, strengthening of advertising on the domestic job board in line with the recovery of demand in job openings, and upfront investment of advertising expenses in core businesses such as engage and AMBI.

As a result of the above, operating income was ¥9,633 million (up 24.0% year on year). Ordinary income was ¥10,138 million (up 27.7% year on year) mainly due to gain on investments in partnership, and profit attributable to owners of parent was ¥6,628 million (up 89.3% year on year).

				(Unit: Million yen)
	Prior Fiscal Year	Current Fiscal Year	Change	Percent change (%)
	(From April 1, 2020	(From April 1, 2021
	to March 31, 2021)	to March 31, 2022)
Net Sales	42,725	54,544	11,819	27.7%
Operating Income	7,771	9,633	1,861	24.0%
Ordinary Income	7,939	10,138	2,199	27.7%
Profit Attributable to	3,502	6,628	3,126	89.3%
Owners of Parent

2) Summary of Major Businesses (Managerial accounting basis)

				(Unit: Million yen)
	Prior Fiscal Year	Current Fiscal Year		Percent change (%)
Net Sales	(From April 1, 2020	(From April 1, 2021	Change
	to March 31, 2021)	to March 31, 2022)
Domestic Job Board	21,774	29,460	7,686	35.3%
Domestic Permanent	9,385	9,649	264	2.8%
Recruitment
Overseas	8,011	10,975	2,963	37.0%
HR-Tech	1,215	3,920	2,705	222.6%
Other Business/	2,694	976	-1,718	-63.8%
Subsidiaries

The difference between the combined net sales of each business and the consolidated net sales is attributable to the adjustment made among the businesses and consolidated adjustments.

(Domestic Job Board)

Hiring demand, which had declined due to the COVID-19 pandemic, recovered moderately in the Domestic Job Board. In the full-time employment domain, unit price of postings rose in mainly client companies with large hiring budgets, and the number of job openings increased as client companies resumed hiring. In addition, hiring demand for high-class staff such as specialists and those in managerial positions increased to a level that exceeded the pre-COVID-19 level. While the supply-demand balance in the overall recruitment market is gradually becoming tight, net sales increased significantly as the Company has been strengthening acquisition of job seekers through active investment in advertising expenses.

As a result of the above, net sales of Domestic Job Board amounted to ¥29,460 million up 35.3% year on year.

(Domestic Permanent Recruitment)

Hiring demand for high-class staff continued to be solid and net sales increased steadily. As for young people, or those with potential, hiring demand for those without experience recovered in all industries and job types against

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