Expanding Systems Development Services Using Both SoR and SoE Expertise

「During the interim consolidated accounting period, sales increased by ¥33.634 million from the same period of the previous year to ¥996.686 million due to an expansion in the scale of projects for existing business partners and other factors. Although outsourcing costs were restrained as a result of the increase in headcount, cost of sales increased by ¥10.663 million overall because the increase in personnel expenses exceeded this reduction and for other reasons.」

「Sales in the system development services business decreased by ¥71.456 million from the previous year to ¥1,962.388 million, down 3.5% year on year, due mainly to a reduction in the scale of projects for existing business partners. Although personnel expenses increased with the increase in headcount, cost of sales decreased by ¥99.243 million overall due mainly to reductions in outsourcing costs. As a result, sales in the system development services business were ¥1,962.388 million, down 3.5% year on year, and segment profit was ¥73.918 million, up 12.2%.」

「During the interim consolidated accounting period, sales decreased by ¥39.987 million from the same period of the previous year to ¥963.052 million due to a reduction in the scale of projects for existing business partners and other factors. Although personnel expenses increased with the increase in headcount, cost of sales decreased by ¥47.466 million overall due mainly to reductions in outsourcing costs.」

「During the fiscal year, sales remained broadly at the same level as in the previous year. As a result, sales in the system development services business were ¥2,033.845 million, down 0.8% year on year, and segment profit was ¥65.873 million, down 36.1%.」

「During the interim consolidated accounting period, sales remained broadly at the same level as in the same period of the previous year. As a result, sales in the system development services business were ¥1,003.040 million, up 1.1% year on year, and segment profit was ¥30.917 million, up 8.3%.」

「During the fiscal year, the recovery trend in sales that began in the fourth quarter of the previous fiscal year continued. Sales increased by ¥234.279 million from the previous year to ¥2,049.942 million, up 12.9% year on year, when sales had declined due to a reduction in the operating structure of a major customer and a decline in headcount resulting from employee departures and other factors.」

「During the cumulative nine-month period, the recovery trend in sales that began in the fourth quarter of the previous fiscal year continued. Sales increased by ¥188.541 million from the same period of the previous year to ¥1,516.684 million, up 14.2% year on year, when sales had declined due to a reduction in the operating structure of a major customer and a decline in headcount resulting from employee departures and other factors. As a result, sales in the system development services business were ¥1,516.684 million, up 14.2% year on year, and segment profit was ¥69.542 million, up 42.7%.」

「During the cumulative first half, the recovery trend in sales that began in the fourth quarter of the previous fiscal year continued. Sales increased by ¥100.193 million from the same period of the previous year to ¥992.606 million, up 11.2% year on year, when sales had declined due to a reduction in the operating structure of a major customer and a decline in headcount resulting from employee departures and other factors. As a result, sales in the system development services business were ¥992.606 million, up 11.2% year on year, and segment profit was ¥28.538 million, up 58.0%.」

「During the cumulative first quarter, the recovery trend in sales that began in the fourth quarter of the previous fiscal year continued. Sales increased by ¥46.767 million from the same period of the previous year, when sales had declined due to a reduction in the operating structure of a major customer and a decline in headcount resulting from employee departures and other factors. As a result, sales in the system development services business were ¥501.634 million, up 10.3% year on year, and segment profit was ¥11.290 million, up 42.9%.」

「During the fiscal year, sales decreased by ¥208.411 million from the previous year due to the impact of a reduction in the operating structure of a major customer and a decline in headcount resulting from employee departures and other factors. To address the decline in sales, the company focused on making additional proposals to existing customers and developing new customers, while implementing measures to retain employees and promoting mid-career recruitment. As a result, fourth-quarter sales increased by ¥51.790 million from the third quarter, recovering to a level close to that of the same quarter of the previous year.」

「During the cumulative nine-month period, sales decreased by ¥186.865 million from the same period of the previous year due to the impact of a reduction in the operating structure of a major customer and a decline in headcount resulting from employee departures and other factors. To address the decline in sales, the company focused on making additional proposals to existing customers and developing new customers, while implementing measures to retain employees and promoting mid-career recruitment. As a result, sales in the system development services business were ¥1,328.142 million, down 12.3% year on year, and segment profit was ¥48.725 million, down 51.9%.」

「During the cumulative first half, sales decreased by ¥104.796 million from the same period of the previous year due to the impact of a reduction in the operating structure of a major customer and a decline in headcount resulting from employee departures and other factors. Cost of sales also decreased by ¥79.754 million, mainly due to lower outsourcing costs paid to partner companies and lower personnel expenses resulting from the decline in sales. Selling, general and administrative expenses remained broadly at the same level as the previous year. To address the decline in sales, the company focused on making additional proposals to existing customers and developing new customers, while implementing measures to retain employees and promoting mid-career recruitment. As a result, sales in the system development services business were ¥892.412 million, down 10.5% year on year, and segment profit was ¥18.063 million, down 63.7%.」

「During the cumulative first quarter, sales decreased by ¥35.090 million from the same period of the previous year due to the impact of a reduction in the operating structure of a major customer and a decline in headcount resulting from employee departures and other factors. As a result, sales in the system development services business were ¥454.866 million, down 7.2% year on year, and segment profit was ¥7.898 million, down 64.4%.」

「In the system development services business, although the operating environment changed, including the continued need to work from home due to the impact of COVID-19, the company responded flexibly to customer needs and sales proceeded above the initial plan. Profit declined from the previous fiscal year, mainly because bonus-related expenses increased by ¥51.704 million year on year, as the previous fiscal year had benefited from lower bonus expense recognition following a review of the allocation between summer and winter bonuses. However, profit exceeded the initial plan. As a result, sales in the system development services business were ¥2,024.073 million, up 7.4% year on year, and segment profit was ¥126.819 million, down 21.7%.」

「In the system development services business, although the operating environment changed, including the continuation of work-from-home arrangements due to the impact of COVID-19, we responded flexibly to customer needs and revenue remained above the initial plan. Meanwhile, profit declined year on year, mainly because personnel expenses increased due to the fact that the previous period had lower expenses following a review of the allocation of summer and winter bonuses, as well as salary increases. As a result, revenue from the system development services business was ¥1,515.007 million, up 8.0% year on year, and segment profit was ¥101.263 million, down 25.4% year on year.」

「In the system development services business, although the operating environment changed, including the continuation of work-from-home arrangements due to the impact of COVID-19, we responded flexibly to customer needs and revenue remained above the initial plan. Meanwhile, profit declined year on year, mainly because the provision for bonuses increased during the first half due to a change in the allocation between summer and winter bonuses. As a result, revenue from the system development services business was ¥997.209 million, up 6.9% year on year, and segment profit was ¥49.725 million, down 48.7% year on year.」

「In the system development services business, although the operating environment changed, including the continuation of work-from-home arrangements due to the impact of COVID-19, we responded flexibly to customer needs and revenue remained above the initial plan. Meanwhile, profit declined year on year, mainly because the provision for bonuses increased during the first-quarter cumulative consolidated period due to a change in the allocation between summer and winter bonuses. As a result, revenue from the system development services business was ¥489.957 million, up 8.6% year on year, and segment profit was ¥22.188 million, down 50.6% year on year.」

「In the system development services business, although the operating environment changed as the spread of COVID-19 required a shift from working at customers' premises to working from home, we responded flexibly to customer needs. In addition to maintaining and expanding the scale of existing system integration services, we conducted proposal and order acquisition activities for system development in the life and non-life insurance industries, our major customers, leveraging our strength in combining expertise in both systems of record (SoR) and systems of engagement (SoE), and implemented initiatives to improve profitability and productivity. Revenue fell below the initial plan due to differences in the expected scale and completion timing of ongoing projects. Meanwhile, profit exceeded the initial plan because outsourcing costs paid to partner companies declined and meeting, travel and transportation expenses decreased due to the impact of COVID-19. As a result, revenue from the system development services business, including intersegment revenue, was ¥1,884.420 million and segment profit was ¥161.957 million.」

「Revenue has remained below the initial plan due to differences in the expected scale and completion timing of ongoing projects. Meanwhile, profit has remained above the initial plan, reflecting a decrease in outsourcing costs paid to partner companies, as well as lower meeting, travel and transportation expenses due to the impact of COVID-19. As a result, revenue from the system development services business was ¥1,402.239 million and segment profit was ¥135.817 million.」

「In the system development services business, in addition to maintaining and expanding the scale of existing system integration services, we conducted proposal and order acquisition activities for system development in the life and non-life insurance industries, our major customers, leveraging our strength in combining expertise in both systems of record (SoR) and systems of engagement (SoE), and implemented initiatives to improve profitability and productivity. As a result, revenue from the system development services business was ¥933.079 million and segment profit was ¥96.864 million.」

「The system development services business consists of operations conducted by the subsidiary Pro-SPIRE. Based on the cloud integration and system integration expertise it has developed over many years, the company trains engineers and primarily provides system engineering services that use advanced technologies to meet new customer needs.」

「In addition to maintaining and expanding the scale of its existing systems integration services, the Company conducted proposal and order-taking activities for systems construction in the property and casualty and life insurance industries, its key customer base, leveraging as a strength its expertise in both systems of record (SoR) and systems of engagement (SoE), and worked to improve profitability and productivity.」