EarningsQ3 2025 Earnings Report
MX:RCRITN Q3 2025 EPS Results
Actual EPS$11.76
Consensus EPS$10.14
Beat/MissBeat by +$1.62
One Year Ago EPS$9.09
MX:RCRITN Q3 2025 Revenue Results
Actual Revenue$107.24B
Expected Revenue$106.12B
Beat/MissBeat by +$1.12B
YoY Revenue Growth+5.15%
Earnings Announcement Details
QuarterQ3 2025
Date02/09/2026
TimeBefore Open
Conference CallMonday, February 9, 2026
MX:RCRITN Upcoming Earnings
Recruit Holdings Co's next earnings date is estimated for November 11, 2026, based on past reporting schedules.
Q3 2025 Earnings Call Audio
MX:RCRITN Q3 2025 Earnings Call
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Q3 2025 Earnings Slide Deck
Q3 2025 Earnings Call Summary
Earnings Call Sentiment|Positive
Overall the call was positive: management delivered an upward revision to full-year guidance and raised EPS while reporting strong U.S. HR Technology monetization (double-digit ARPJ growth) and robust European trends. MMT provided a clear strategic evolution (GMV-linked fees, AI integration) with a tangible near-term revenue uplift (JPY ~12 billion expected from Beauty). However, the company flagged notable near-term headwinds—Japan revenue declines, planned marketing-driven margin compression in Q4, ongoing execution risks in placement and MMT transitions, and the impact of declining U.S. job postings—requiring continued monitoring. On balance, the stronger-than-expected top-line performance, record-high guidance and strategic initiatives outweigh the localized weaknesses and execution risks.Company Guidance
Upgraded Full-Year Guidance
Revised consolidated full-year revenue increased by JPY 66.1 billion to JPY 3,664.7 billion and EBITDA+S increased by JPY 30.2 billion to JPY 763.8 billion versus prior outlook; basic EPS guidance raised by JPY 22 to JPY 335 (up 23.4% year-over-year). Company expects full-year revenue, EBITDA, EBITDA+S, profit attributable to owners and basic EPS to all reach new record highs.
Strong U.S. HR Technology Performance
HR Technology U.S. revenue for Q3 was USD 1.3 billion, up 10.1% year-over-year and above prior outlook; U.S. ARPJ grew ~18% in Q3 and is expected to be ~19% in Q4. Q4 U.S. revenue outlook is USD 1.33 billion (up 12.4% YoY). Management's baseline for the next fiscal year targets U.S. ARPJ growth in the ~10% range on a full-year basis.
Europe & Other Markets Showing Strong Monetization
Europe & Others Q3 revenue on a USD basis was USD 507 million, up 19.6% year-over-year (including positive FX impact); Q4 expected USD 518 million, up 21.7% YoY. UK revenue grew ~16% and Canada ~12% on a local currency basis, driven by adoption of premium sponsored jobs.
MMT Strategic Shift and Expected Incremental Revenue
MMT introduced a GMV-linked model in Beauty (1% of GMV as an add-on to existing plans), expected to deliver approximately JPY 12 billion of incremental revenue in the next fiscal year. Beauty GMV reached ~JPY 1.1 trillion last fiscal year, and Hot Pepper Beauty serves >12 million monthly average active users.
MMT Growth & Margin Targets
Full-year MMT revenue outlook of JPY 566.8 billion (up 5.1% YoY) with EBITDA+S margin expected at 27.1%. Management targets EBITDA+S margins of 30% next fiscal year and 35% by FY2028, citing AI integration, GMV-linked expansion and operational efficiency as drivers.
Platform Scale and TAM Positioning
Indeed & Glassdoor scale: >645 million job seeker profiles on Indeed and >235 million on Glassdoor; ~3.3 million business clients use Indeed annually. Company estimates global HR matching TAM ~USD 310 billion (2024) with U.S. market ~USD 89 billion and U.S. job advertising & talent sourcing market ~USD 13 billion.
Shareholder Returns and Capital Position
Completed the JPY 250 billion share buyback program on Feb 4, 2026; total share purchases since the start of the fiscal year amounted to JPY 677.9 billion. Based on the latest guidance, total payout ratio corresponds to ~176.7%. Net cash as of Dec 31, 2025 was JPY 648.2 billion and is expected to be roughly JPY 700 billion at fiscal year-end.
Operational Efficiency Driving Margins
Segment-level improvements: Q3 segment EBITDA margin was 35.4% and EBITDA+S margin 39.1%; overall Q3 segment revenue on a USD basis was USD 2.3 billion (up 7.9% YoY) with Q4 revenue expected at USD 2.4 billion (up 8.5% YoY). Company cited revenue growth and reduced employee benefit expenses as drivers of EBITDA expansion.
MX:RCRITN Earnings History
The table shows recent earnings report dates and whether the forecast was beat or missed. See the change in forecast and EPS from the previous year.
Beat
Missed