IR News｜Results

In the first quarter of fiscal 2007, the three-month period from April 1 to June 30, 2007, the Japanese economy sustained its moderate expansion, continuing to be upported by strong corporate earnings and firm capital investment. In this environment, despite a year-on-year decline in enrollment in the mainstay correspondence course business, the Benesse Group reported higher sales and earnings compared to the same period a year earlier, primarily on the back of stronger results at Group companies in the Language Company, Senior Company and AVIVA Business.

Benesse recorded first-quarter consolidated net sales of 90,496 million yen, an increase of 4,649 million yen, or 5.4%, year on year. This increase reflected a number of factors. Although sales fell due to a decline in enrollment in mainstay correspondence courses in the Education Group, the number of lessons taken worldwide at Berlitz International, Inc. grew, mainly in Japan and Germany, and the ELS business, which provides intensive language learning for students planning to study abroad, performed strongly. In addition, the number of residents in nursing homes operated by Benesse Style Care Co., Ltd. increased year on year.
Despite a decline in earnings in the Education Group due to the drop in sales in the correspondence course business, stronger earnings on the back of higher sales at Berlitz International and Benesse Style Care, as well as other factors, resulted in operating income of 11,482 million yen, up 833 million yen, or 7.8%; ordinary income of 11,899 million yen, an increase of 1,054 million yen, or 9.7%; and net income of 6,912 million yen, up 1,116 million yen, or 19.3%.

Financial Report