Expansion and growth of the education business through M&A

「Furthermore, in March 2026, Arcnet Co., Ltd., which operates 7 "School IE" locations in Tokyo, joined the Group, further strengthening the foundation of our education business in the Tokyo metropolitan area.」

「In the education business, the company operates a total of 66 schools, mainly in the Kanto region, through 3 subsidiaries: 株式会社マンツーマンアカデミー, 東京ガイダンス株式会社 and 株式会社灯学舎. The business generally progressed smoothly and secured higher sales.」

「In addition, 株式会社灯学舎, which newly joined the group in December 2023 as the third company in the education business, contributed from the beginning of the fiscal year, resulting in sales of ¥1,453 million, up 26.3% from the previous fiscal year. In terms of earnings, the existing 2 companies performed smoothly and cost management was optimized, resulting in a substantial increase in segment profit to ¥123 million, up 30.2% from the previous fiscal year, and further progress in solidifying the business.」

「In addition, 株式会社灯学舎, which newly joined the group in December 2023 as the third company in the education business, contributed from the beginning of the fiscal year, resulting in a significant increase in sales to ¥714 million, up 44.8% year on year. In terms of earnings, the existing 2 companies performed smoothly and cost management was optimized, resulting in a substantial increase in segment profit to ¥45 million, up 90.8% year on year, and further progress in solidifying the business.」

「At a meeting of the Board of Directors held on 15 November 2023, the company resolved to acquire the shares of 株式会社灯学舎 and completed the acquisition on 1 December 2023.」

「In the education business, in addition to the stable operation of 株式会社マンツーマンアカデミー's cram schools, 東京ガイダンス株式会社, which joined the group as a consolidated subsidiary in May 2022, contributed throughout the first half. Sales were ¥493 million, up 21.2% year on year. In terms of profit, the one-time management integration costs associated with bringing 東京ガイダンス株式会社 into the group, which had been recognized in the same period of the previous year, were no longer incurred in the current period, and both companies performed steadily. As a result, segment profit was ¥23 million, compared with a segment loss of ¥7 million in the same period of the previous year, marking a return to profitability.」

「In the education business, in addition to the stable operation of tutoring schools by 株式会社マンツーマンアカデミー, 東京ガイダンス株式会社, which became a consolidated subsidiary in May 2022, contributed throughout the current quarter, resulting in sales of ¥206 million, up 59.7% year on year. In terms of earnings, temporary management integration costs associated with bringing 東京ガイダンス株式会社 into the group, which had been recorded in the same period of the previous year, were no longer incurred this period. Together with the smooth performance of both companies, this improved the segment loss to ¥14 million, compared with a segment loss of ¥45 million in the same period of the previous year.」

「In the education business, in addition to the stable operation of tutoring schools by 株式会社マンツーマンアカデミー, 東京ガイダンス株式会社, which became a consolidated subsidiary in May 2022, also contributed, resulting in sales of ¥941 million, up 98.2% from the previous fiscal year. Although temporary management integration costs were recorded in connection with bringing 東京ガイダンス株式会社 into the group, segment profit was ¥43 million, up 873.9% from the previous fiscal year, and its contribution to earnings progressed smoothly.」

「In the education business, in addition to the stable operation of tutoring schools by 株式会社マンツーマンアカデミー, the addition of 東京ガイダンス株式会社 as a consolidated subsidiary in May 2022 also contributed, resulting in sales of ¥659 million, up 86.0% year on year. Although temporary management integration costs were recorded in connection with bringing 東京ガイダンス株式会社 into the group, segment profit was ¥20 million, up 694.8% year on year, making its contribution to earnings clearly evident. The company will strengthen efforts to leverage the combined capabilities of 株式会社マンツーマンアカデミー and 東京ガイダンス株式会社, while solidifying the education business's management foundation and pursuing its expansion and development.」

「In the education business, in addition to the stable operation of tutoring schools by 株式会社マンツーマンアカデミー, 東京ガイダンス株式会社, which operates 16 tutoring schools in Tokyo and Kanagawa, became a consolidated subsidiary on 2 May 2022. Together with 株式会社マンツーマンアカデミー, which operates 34 schools mainly in Chiba and Saitama, sales were ¥407 million, up 82.8% year on year. Due to temporary management integration costs associated with bringing 東京ガイダンス株式会社 into the group, the segment recorded a loss of ¥7 million, compared with a segment loss of ¥9 million in the same period of the previous year, but its contribution to earnings has begun to take concrete shape.」

「In the education business, 東京ガイダンス株式会社, which operates 16 tutoring schools in Tokyo and Kanagawa, became a consolidated subsidiary in May 2022. Together with 株式会社マンツーマンアカデミー, which operates 34 schools mainly in Chiba and Saitama, sales were ¥129 million, up 37.4% year on year.」

「In the fiscal year ending March 2023, the company will conduct M&A involving 2 companies, 東京ガイダンス株式会社 and ＯＬＤ ＦＬＩＰ. 東京ガイダンス株式会社 will form the group's new business area, the education business, together with 株式会社マンツーマンアカデミー, and the company will pursue the expansion and growth of this new business.」