Deep Understanding of Customers’ Operations and Expansion of Upstream Consulting

「コンサルティング事業は想定を下回る水準も受注には回復の兆し」

「While focusing on expanding direct transactions with end users, we won prime projects including a core-system renewal project for a manufacturer and projects for the healthcare sector and major construction companies. As the proportion of high-gross-margin projects, including upstream processes, increased, revenue was slightly below the previous fiscal year, but profitability improved substantially and gross profit exceeded the previous fiscal year.」

「While transitioning to upstream consulting, we reviewed operations and changed the organizational structure while maintaining the revenue scale. We also shifted toward higher-margin projects, improving profitability.」

「The consulting business began the current fiscal year with a significantly reduced organizational structure to rebuild operations. Although existing projects continued as planned, the scale of projects at newly acquired customers could not be expanded. As a result, revenue from this business for the current consolidated fiscal year was ¥124.957 million, down 68.7% from the previous fiscal year, and the gross profit margin was 24.4%, down 5.3 percentage points. Inquiries for the DX consulting service released in February 2025 have increased against a backdrop of strong demand for DX.」

「The consulting business significantly reduced its organizational structure to rebuild the business during the current fiscal year. Revenue from this business for the current interim consolidated accounting period was ¥42.775 million, down 77.6% year on year.」

「For the consulting business launched this fiscal year, existing engineers who had primarily handled consulting projects were transferred, and sales activities were conducted to expand business in upstream areas. Although the transferred projects continued and new projects, including those related to generative AI and financial institutions, were acquired in the second half, the number of consultants did not progress as planned. As a result, revenue from this business for the current consolidated fiscal year was ¥399.730 million, or 79.8% of plan.」

「In the consulting business, engineers who had primarily handled consulting projects in the existing business were transferred to the new business. Existing projects have continued, and we also acquired new consulting projects related to generative AI and financial institutions. As a result, revenue from this business for the third quarter of the current consolidated cumulative period was ¥291.297 million. However, project acquisition has not progressed as planned, mainly because mid-career recruitment of consulting personnel has been delayed, and progress toward the full-year forecast is behind schedule.」

「In the consulting business, engineers who had primarily handled consulting projects in the existing business were transferred to the new business. As these existing projects continued smoothly, revenue from this business for the second quarter of the current consolidated cumulative period was ¥190.860 million. In the first half, active sales efforts to win new consulting projects resulted in the acquisition of projects related to generative AI and business operations support scheduled to begin in the second half.」

「In the consulting business, engineers who had primarily handled consulting projects in the existing business were transferred to the new business. As these existing projects continued smoothly, revenue from this business for the first quarter of the current consolidated cumulative period was ¥94.652 million. We are making proposals to existing customers and working to acquire new customers so that we can begin new projects in the second half.」

「In the Big Data Analytics business, when building analytics platforms, we provided consulting on selecting services and developing architectures tailored to each customer’s specific needs. We also developed personnel who, as both engineers and consultants, handle not only data analysis but also proposals for improving customers’ businesses.」

「The big data analytics business performed well as orders for business consulting projects from existing customers progressed.」

「In the big data analytics business, we also began addressing the upstream consulting area. We are developing personnel who can work as both engineers and consultants, handling not only systems development but also proposals for improving customers' businesses.」

「We believe demand will continue to grow for consulting professionals who can use collected and analyzed big data to propose transformations to customers’ businesses. We are currently making active efforts to develop such personnel, and progress is in line with the plan.」

「In the digital transformation business, we are promoting consulting on database technologies and performance improvement as new core services. By steadily building a track record, the business is on an expansionary trend.」

「In the Big Data Analytics business, we are expanding operations through DX consulting, which helps solve business challenges by leveraging digital technologies. In the Digital Innovation Promotion business, we are advancing consulting on database (hereinafter, "DB") technologies.」

「In the big data analytics business, we are expanding the business through DX consulting that uses digital technologies to resolve business issues. In the digital transformation business, we are promoting consulting on database (DB) technologies.」

「We will develop a deep understanding of customers' operations, provide high-quality engineering services that address their needs, and offer services from the upstream stage, including consulting and various proposals.」