IC CO., LTD.JP:4769Stock Price

Market cap
¥8B
P/E ratio
20.2x
IC provides comprehensive IT services including custom software development, system operations, and proprietary cloud solutions for enterprises across multiple industries.

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Business Overview

IC is a comprehensive information services company that handles software development, infrastructure design and construction, system operations support, and IT consulting. The company addresses a wide range of IT needs, including proprietary services developed in-house. Its core business consists of custom development and operations support for corporate clients, along with the provision of proprietary cloud-based and application services.

The company's primary customers are enterprises across various industries, with on-site development and operations work serving as a key revenue driver. In addition, sales and implementation support for proprietary services, along with recurring subscription fees, provide stable income streams. The group generates revenue as a comprehensive information services business.

The company's operations are divided into two main segments: IT Solutions and IT Services. The IT Solutions segment focuses on on-site software development and operations management, while the IT Services segment develops, sells, and provides implementation support for proprietary services. Specifically, these include cloud-based ticketing and venue entry support systems, capability development support systems for education and sports, and through affiliated subsidiaries, hearing assistance applications and noise-clarification devices.

Management Policy

The company is pursuing sustainable growth toward its ultimate goal of "VISION 2031," with a three-year plan called "co-creation Value 2025" starting in fiscal 2023, followed by a medium-term plan "Growing Beyond 2028" beginning in fiscal 2026. The company has set a management target of an 8.0% operating margin on sales, and aims to enhance corporate value through a dual approach of stabilizing core businesses and creating high-margin operations. In the short term, the medium-term plan period (2023–2025) will focus on improving profit structure, while the next phase (2026–2028) will concentrate resources on strengthening growth foundations.

Priority investment areas are the core contract development and operational support services, as well as expansion of proprietary services. The company differentiates itself through on-site system development and operations management, complemented by proprietary cloud-based services including ticket sales and entry support systems, capability development support systems for education and sports, hearing assistance applications, and noise-clarification devices. Specific initiatives include converting proprietary services to subscription models, packaging implementation support, and standardizing development assets to increase recurring revenue. The company targets raising the proprietary service ratio by approximately 20 percentage points during the medium-term plan period.

For new market development, the company emphasizes deepening industry and use-case expertise while pursuing external partnerships. Leveraging expertise cultivated through on-site corporate projects, the company will deploy standardized solutions to small and medium-sized enterprises and education and welfare sectors, while pursuing M&A and business partnerships to acquire customer bases and technologies. By bundling implementation support with ongoing operations, the company will build long-term customer relationships and expand implementation pipelines across new domestic regions and industries.

Regarding technological innovation, the company is advancing implementation of generative artificial intelligence and automation technologies to improve project productivity and enhance service capabilities. The company is strengthening research and development and human capital investment, establishing internal technology development organizations while promoting collaboration with external experts and companies. Specific measures include increasing research and development investment and recruiting and developing specialized engineers to accelerate automation of operations and early commercialization of high-value proprietary services, executing a transformation into a "value-creation-focused IT company group."