Expansion of the BPO Services Field

「During the interim consolidated accounting period, the number of site survey engagements received from building contractors and design support services remained solid, and revenue exceeded the year-earlier level. On the other hand, profit was below the year-earlier level, mainly because the cost of surveying equipment and other items increased in connection with the strengthening of the production structure. As a result, segment revenue was ¥718.533 million, up 7.9% year on year, and segment profit was ¥77.262 million, down 14.5%.」

「During the interim consolidated period, outsourced site-survey assignments from construction companies and design support services remained strong. As a result, sales in the Construction Solutions Business were ¥665,706 thousand, up 52.8% year on year, and segment profit was ¥90,376 thousand, up 69.6%.」

「It is necessary to consolidate high-volume operations and achieve standardization and automation of business processes. To this end, the company is working to expand operations centers that can be used for multiple customer operations and to establish multi-use operations centers capable of handling not only services for financial institutions but also multiple operations for real estate companies, construction companies, and professional specialists.」

「The Group had previously classified its reportable segments into 3 categories: “Escrow Services,” “BPO,” and “Real Estate Auctions.” Following a review of the reportable segments from the perspectives of the Group’s business development, the actual allocation of management resources, and its management structure, the reportable segments have been changed, beginning with the first quarter of the current consolidated fiscal year, to 4 categories: “Financial Solutions Business,” “Real Estate Solutions Business,” “Construction Solutions Business,” and “Professional Services Solutions Business.”」

「During the consolidated fiscal year, the number of outsourced administrative assignments remained solid against a backdrop of housing-loan activity by financial institutions. However, profit declined due to slower growth in outsourced site-survey assignments from construction companies, the discontinuation of part of the staffing business, and proactive investment in human resources to expand the business. As a result, segment sales were ¥1,949,797 thousand, down 1.2% from the previous consolidated fiscal year, and segment profit was ¥404,482 thousand, down 4.9%.」

「During the cumulative consolidated period of the third quarter, support services related to collateral valuation conducted by financial institutions and design support services for construction companies remained solid, while specialist support services remained weak due to the contraction of the staffing business. As a result, segment sales were ¥1,435,102 thousand, down 3.3% year on year, and segment profit was ¥323,838 thousand, up 2.4%.」

「During the cumulative consolidated period of the second quarter, support services related to collateral valuation conducted by financial institutions and design support services for construction companies remained solid, while specialist support services remained weak due to the contraction of the staffing business. As a result, segment sales were ¥941,725 thousand, down 5.8% year on year, and segment profit was ¥210,298 thousand, down 4.2%.」

「During the cumulative consolidated period of the first quarter, specialist support services remained weak, while services for financial institutions, real estate companies, and construction companies, including outsourced services for financial institutions, remained solid. As a result, segment sales were ¥468,937 thousand, down 4.0% year on year, and segment profit was ¥106,323 thousand, up 1.0%.」

「During the cumulative consolidated period of the third quarter, outsourced services for financial institutions remained solid, with the company receiving inquiries from multiple financial institutions about new outsourcing opportunities and expanded scopes of work. However, application support services for construction companies fell below the previous year following the expiration of the Green Housing Points program implemented the previous year. As a result, segment sales were ¥1,483,380 thousand, down 1.2% year on year, and segment profit was ¥316,294 thousand, down 11.2%.」

「During the cumulative consolidated period of the second quarter, outsourced services for financial institutions remained solid. As a result, segment sales were ¥999,273 thousand, up 4.2% year on year, and segment profit was ¥219,555 thousand, down 1.4%.」

「During the cumulative consolidated period of the first quarter, outsourced services for financial institutions remained solid. As a result, segment sales were ¥488,360 thousand, up 3.7% year on year, and segment profit was ¥105,284 thousand, up 0.9%.」

「During the cumulative consolidated period of the third quarter, outsourced services for financial institutions increased, while services for construction companies provided by consolidated subsidiary Chuo Group Co., Ltd. remained solid. As a result, segment sales were ¥1,502,035 thousand, up 5.5% year on year, and segment profit was ¥356,080 thousand, up 17.7%.」

「During the cumulative consolidated period of the second quarter, outsourced services for financial institutions increased, while services for construction companies provided by consolidated subsidiary Chuo Group Co., Ltd. remained solid. As a result, segment sales were ¥959,301 thousand, up 1.9% year on year, and segment profit was ¥222,696 thousand, up 16.6%.」

「During the cumulative consolidated period of the first quarter, services including outsourced operations for financial institutions remained solid, but sales declined year on year due to the impact of large-volume processing work recorded in the previous fiscal year. As a result, segment sales were ¥471,049 thousand, down 3.7% year on year, and segment profit was ¥104,388 thousand, up 2.3%.」

「During the consolidated fiscal year, orders from new business partners increased for real estate and construction services. As a result, segment sales were ¥1,929,522 thousand, up 5.6% year on year, and segment profit was ¥403,424 thousand, up 14.2%.」

「During the cumulative consolidated period of the third quarter, specialist support services at consolidated subsidiary Chuo Group Co., Ltd. declined, while orders from new business partners increased for the company’s real estate and construction services. As a result, segment sales were ¥1,423,526 thousand, up 4.1% year on year, and segment profit was ¥302,630 thousand, up 12.1%.」

「During the cumulative consolidated period of the second quarter, specialist support services at consolidated subsidiary Chuo Group Co., Ltd. generally trended downward, while orders from new business partners increased for the company’s real estate and construction services. As a result, segment sales were ¥941,820 thousand, up 0.3% year on year, and segment profit was ¥191,065 thousand, down 0.5%.」

「During the cumulative consolidated period of the first quarter, the number of cases handled for financial institutions declined as the company reviewed low-profitability projects. As a result, segment sales were ¥489,025 thousand, down 1.8% year on year, and segment profit was ¥101,998 thousand, down 0.5%.」

「During the consolidated fiscal year, services for construction companies remained solid, while revenue from outsourced operations and closing services for financial institutions declined as the company withdrew from low-profitability projects. As a result, segment sales were ¥1,826,464 thousand, down 1.4% year on year, and segment profit was ¥353,220 thousand, up 0.6%.」

「During the cumulative consolidated period of the third quarter, services for construction companies provided by a consolidated subsidiary remained solid, while outsourced work from financial institutions and others declined, resulting in a slight decrease in sales. However, operating profit increased as the Group improved overall operating efficiency following a merger between subsidiaries. As a result, segment sales were ¥1,367,253 thousand, down 0.5% year on year, and segment profit was ¥269,855 thousand, up 4.1%.」

「During the cumulative consolidated period of the second quarter, services for construction companies provided by a consolidated subsidiary remained solid, resulting in increases in BPO sales and operating profit. As a result, segment sales were ¥938,812 thousand, up 2.7% year on year, and segment profit was ¥192,030 thousand, up 16.0%.」

「The BPO business provides services tailored to the needs of financial institutions and others for administrative streamlining and cost reduction, helping to lower the operating costs of housing-loan-related administrative work in particular. Chuo Group Co., Ltd., a subsidiary, provides support for the operations of architectural firms, real estate appraisal services, operational support for affiliated specialists such as judicial scriveners and land and house investigators, and various consulting services for construction companies. During the cumulative consolidated period of the first quarter, the business grew year on year, partly due to contributions from the subsidiary. As a result, segment sales were ¥497,746 thousand, up 11.7% year on year, and segment profit was ¥102,529 thousand, up 15.3%.」

「As a result, segment sales were ¥1,851,474 thousand, up 25.9% year on year, and segment profit was ¥351,057 thousand, down 1.7%.」

「During the cumulative consolidated period of the third quarter, both segment sales and segment profit increased year on year, partly reflecting contributions from subsidiaries. The company also completed development and began selling a one-package service combining the specialist services linked to the Group’s settlement functions with services provided by Negplan Co., Ltd. for construction companies. As a result, segment sales were ¥1,374,186 thousand, up 28.2% year on year, and segment profit was ¥259,245 thousand, up 5.3%.」

「During the cumulative consolidated period of the second quarter, the number of outsourced housing-loan-related assignments from client financial institutions declined as refinancing demand subsided. However, the company continued to improve operating efficiency by consolidating operations at the Yokohama operations center, as in the previous fiscal year, and focused on strengthening its internal structure, including preparing capacity to handle an increase in outsourced work accompanying the development of new business partners.」

「The company focused on improving administrative efficiency by consolidating operations at the Yokohama operations center opened in the previous fiscal year, and strengthened its capacity to accept outsourced work from new business partners expected to arise in the future.」

「During the cumulative consolidated period of the third quarter, the company continued to pursue the following as priority measures: “1. Expansion of the BPO services field,” “2. Development of new services,” and “3. Expansion of new business partners.” It developed its business around expanding distribution channels for its inheritance-procedure outsourcing service, improving the transparency of real estate information, and promoting its real estate auction business to enhance the safety of procedures concerning defects and rights in real estate transactions. It also opened an operations center and maintained high profit margins by improving workflow efficiency.」

「During the cumulative consolidated period of the second quarter, the company continued to pursue the following as priority measures: “1. Expansion of the BPO services field,” “2. Development of new services,” and “3. Expansion of new business partners,”」

「During the cumulative consolidated period of the first quarter, the company continued to pursue the following as priority measures: “1. Expansion of the BPO services field,” “2. Development of new services,” and “3. Expansion of new business partners,”」

「During the consolidated fiscal year, under “1. Expansion of BPO services related to transactions,” the company sought to expand the scope of outsourced operations and increase the number of cases processed for its major financial institution clients,」

「During the cumulative consolidated period, the company pursued the following as priority measures: “1. Expansion of the BPO services field,” “2. Development of new services,” and “3. Expansion of new business partners.”」