Recruit Co., parent company of Indeed and Glassdoor has released results for the Quarter ending Sept 30th. Revenue for Q2 FY2024 increased 10.0% and on a US dollar basis, revenue increased 6.3%.
Globally, the supply and demand mismatch between job seekers and employers continued to ease, with labor markets normalizing, particularly in the US. Total job postings on Indeed, composed of free and paid postings, declined year over year in many countries where HR Technology operates.
On a US dollar basis, revenue in the US increased 2.4% as the rate of year over year increase in the average revenue per paid job ad exceeded the rate of decrease in the volume of paid job ads. Revenue in Japan increased 57.5% as a portion of revenue from the full-time and part-time job advertising services of HR Solutions in Matching & Solutions has been transferred to Indeed Japan through Indeed PLUS. Revenue in Rest of World increased 3.5%.
Adjusted EBITDA margin for Q2 FY2024 increased 2.0 percentage points to 37.8%. On a US dollar basis, there was a positive impact of reduced employee benefit expenses due to the headcount reduction implemented in May 2024. For the six month-period, revenue increased 10.3% and adjusted EBITDA margin was 36.5%.
Revenue in HR Solutions decreased 6.2%. Revenue in the placement service continued to grow steadily in a stable business environment. However, revenue in the job advertising service declined primarily due to the shift of revenue to HR Technology as the integration with Indeed PLUS progressed.
