Nippon Information Development Co.,Ltd.JP:2349Stock Price

Market cap
¥32.9B
P/E ratio
12.1x
NID develops software and manages IT systems for financial, government, and communications clients through its network of specialized subsidiaries across Japan.

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Business Overview

NID operates three main business segments: System Development, System Management, and Other Operations. These businesses are conducted by NID and its consolidated subsidiaries: NID・MI Corporation, NID Tohoku Corporation, NID air Corporation, and Tennic Corporation.

The System Development segment provides design and development services for embedded software, communication software, and financial business software to customers in the financial, information and communications, and public and social infrastructure sectors. NID, NID・MI, NID Tohoku, and Tennic are involved in this segment.

The System Management segment serves customers in transportation and communications, finance and insurance, and government and public organizations by providing network system construction, infrastructure development, security services, and system maintenance and operations. NID operates this segment independently.

Other Operations include a Data Solutions business providing data entry services, a Product business developing applications and packages for smart devices, and a Staffing business. NID, NID・MI, and NID air handle these operations.

Management Policy

NID aims to create a society where people and information technology are integrated through the strategic use of IT. The company's fundamental policy is to consistently anticipate customer needs and deliver added value to contribute to customer value realization. Through this approach, the company seeks to establish a solid presence in the IT services market.

NID leverages technological advances in IoT, AI, big data analytics, and cloud computing to drive digital transformation. This activates demand in the domestic IT services market and strengthens competitiveness. The company also prioritizes securing and developing talented personnel, and explores new business opportunities through new platform development and co-creation with other companies.

NID focuses on revenue, operating profit, and operating profit margin to achieve sustainable growth. In particular, the company aims to maintain an operating profit margin of 10% or higher while developing new revenue streams. This approach enhances corporate value.

NID prioritizes developing a new business portfolio and creates new businesses that address strategic IT utilization needs. To improve profitability of existing operations, the company provides high-value-added system development and IT solutions while enhancing operational and IT capabilities.

The company also emphasizes expanding sales strategy by strengthening customer relationships and pursuing new customer acquisition and deeper engagement with existing customers. Through strengthened relationships with alliance partners, the company expands sales channels and improves sales strategy effectiveness.

To improve productivity, NID promotes business process reform and implements work style reforms. Through business automation and streamlining, the company transforms its profit structure and shifts toward a highly productive organization. This supports efficient and sustainable growth.

Strengthening talent acquisition is also a key priority. The company invests in employee development and recruitment of new talent. It enhances technical capabilities through on-the-job training and professional development programs while strengthening recruitment activities to secure skilled personnel.

NID also strengthens relationships with business partners, reinforcing cooperation frameworks to respond dynamically to IT demand. The company promotes educational services and continuous contract arrangements to enhance partnerships.

The company emphasizes responding to technological innovation and strengthening development capabilities. It strengthens collaboration among research and development, development, and sales divisions to build an organizational structure that meets customer and market needs. This enables the company to respond swiftly to advances in information technology.