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TOKYO, JAPAN – Recruit Holdings announced that its Board of Directors resolved today to implement a share repurchase (the “Purchase”) of a maximum total purchase amount of 130 billion yen as set forth below.
Reasons for the Purchase
The Company’s primary use of capital is to invest in its long-term business strategy in order to achieve sustainable profit growth and increase enterprise value.
After considering several factors including the ability to make strategic business investments, the current stock price, market conditions, and the forecast of our financial position, the Company has determined that acquiring its own shares is the best way to further improve capital efficiency and to maximize shareholder returns. This approach is in line with the Company’s existing capital allocation policy.
The shares acquired through the Purchase may be used in the future for the delivery of shares upon the exercise of stock acquisition rights, for stock compensation using the Company’s common stock for employees of the Group (the Company and its subsidiaries), or for strategic M&A with the Company’s common stock as consideration, as well as may be cancelled.
The Company plans to allocate its own funds for the full amount of the Purchase. The Company believes that it has sufficient liquidity for normal business operations even in the event of a major change in the business environment. The Company’s consolidated net cash as of June 30, 2025 amounted to 563.5 billion yen and, even after the Company repurchases its shares, the Company’s consolidated net cash is expected to be sufficient.
In addition, the Company maintains a 200 billion yen commitment line agreement which was made on September 29, 2023, with financial institutions to prepare for potential liquidity risks. As of the date of submission of this document, the entire amount available under this commitment line agreement remained unused. Therefore, the Company believes it is in a strong financial position to execute the Share Repurchase.
