IR News｜Results

 Benesse Corporation announced today its financial results for the first half of the fiscal year ending March 31, 2005 (April 1, 2004 - September 30, 2004). Benesse's consolidated net sales for the interim period increased 12.0% from a year earlier, to 140,911 million yen, and operating income rose 18.4%, to 21,919 million yen. These figures represent the first increase in interim net sales in three years, and the second consecutive increase in interim operating income.

Despite lower sales at Berlitz International due to the negative impact of foreign currency translations and other factors, consolidated net sales rose for three main reasons: a year-on-year increase in cumulative enrollment in Shinkenzemi courses, the mainstay product in the Education Group; the inclusion of sales of Shinken-AD Co., Ltd., which was consolidated in October 2003; and a steady increase in nursing home residents as the Senior Company expanded its network.

Although Berlitz International posted lower operating income, due primarily to the higher cost ratio of teacher salaries in Japan, higher sales in the Education Group and the Senior Company, as well as other factors, helped to drive consolidated operating income higher.

For the interim period, Benesse reported consolidated ordinary income of 22,818 million yen, up 19.1% from a year earlier, and net income of 12,873 million yen, a year-on-year increase of 21.4%.