DIP, the Tokyo Prime-listed operator of online job-listing sites, has cut its full-year guidance to a range that includes an operating loss. The board approved the revision on 13 October, alongside first-half results that showed profit almost gone.
The new ranges
For the year ending February 2027, DIP now expects revenue of ¥49.0bn to ¥53.0bn, down from the ¥53.5bn to ¥57.6bn it published on 14 April. Operating profit is guided at between a ¥2.5bn loss and a ¥2.5bn profit, replacing a range of ¥5.0bn to ¥10.0bn. Last year's operating profit was ¥9.11bn.
The net result is guided at between a ¥2.7bn loss and a ¥700mn profit, against the earlier ¥2.9bn to ¥6.4bn. A loss is the bottom of a range, not a forecast outcome, and the company's own caveat is that actual results may differ.
| Item | Previous guidance (14 April) | Revised guidance (13 October) | Prior-year actual |
|---|---|---|---|
| Revenue | ¥53.5bn to ¥57.6bn | ¥49.0bn to ¥53.0bn | ¥54.85bn |
| Operating profit | ¥5.0bn to ¥10.0bn | Minus ¥2.5bn to ¥2.5bn | ¥9.11bn |
| Ordinary profit | ¥4.9bn to ¥9.9bn | Minus ¥2.5bn to ¥2.5bn | ¥8.99bn |
| Net profit attributable to owners | ¥2.9bn to ¥6.4bn | Minus ¥2.7bn to ¥0.7bn | ¥5.96bn |
What management blames
DIP says competition for users has intensified and that it raised advertising investment from May. It reports early signs of improvement: more applications and a return to growth in the number of contracting companies.
Offsetting that, contract unit prices have fallen with market trends, and sales at its agency business have slowed. Revenue is recovering more slowly than the company assumed at the start of the year, and it will keep spending heavily on advertising to compete. Management says this year's investment is meant to widen market share and return sales and profit to growth next year. That recovery is the company's expectation, not a result.
The first half
The interim results for the six months to 31 August explain the cut. Revenue fell 11.4% to ¥25.55bn. Operating profit was ¥56mn, down 99.0%, and the net result was a ¥578mn loss against a ¥3.7bn profit a year earlier. DIP cites stronger advertising investment on existing services, the hiring of 2026 new graduates and office expansion.
The larger human resources services segment, which runs the job-listing and placement services, saw revenue fall 12.5% to ¥22.27bn and segment profit fall 60.7% to ¥3.33bn. DIP attributes the soft sales to competition and to the slowdown at its agency business. The smaller DX software segment had revenue of ¥3.28bn, down 3.8%, and segment profit of ¥1.63bn, down 17.2%. Sales of its tool for candidate interview scheduling and related products fell as the number of companies contracting for media services declined.
The interim earnings summary is not subject to review by a certified public accountant or audit firm.
Dividend unchanged
DIP left its dividend forecast untouched: a ¥48 interim payout and a ¥49 year-end payout forecast, for ¥97 in total.