DAIKO XTECH, Ltd. (8023) Stock Price

Market cap
¥15B
P/E ratio
8.5x
DAIKO XTECH sells Fujitsu IT equipment and provides system development, network construction, and maintenance services through its specialized subsidiaries.

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Business Overview

DAIKO XTECH sells information and communication equipment and provides planning, design, development, and maintenance services for information systems, as well as network construction work. The company primarily handles Fujitsu products and offers a wide range of services.

The company's nine subsidiaries undertake portions of work contracted to DAIKO XTECH. For example, DSR Corporation handles insurance and mutual aid business-related outsourcing and software development. Daiko Techno Service Corporation is responsible for hardware maintenance and building facility management. Additionally, AppGuard Marketing Corporation handles market development, sales, and post-implementation support for the security software "AppGuard®." Other subsidiaries operate in their respective specialized fields and support DAIKO XTECH's business operations.

DAIKO XTECH's business is divided into two main segments: the Information and Communication Equipment Division and the Solutions Services Division. The Information and Communication Equipment Division sells information terminals, server equipment, and network equipment. The Solutions Services Division provides system and software development, network equipment construction, and maintenance services.

Management Policy

DAIKO XTECH has established a vision toward 2030: "Continue challenging to create new value and become a vibrant company—Be Challenging, Be Colorful." Under this vision, the company embraces diverse perspectives and aims to create growth opportunities through challenge. The company prioritizes the development of professional talent and seeks to provide medium to long-term value to stakeholders.

The medium-term management plan "CANVAS TWO" (fiscal years 2025–2027) aims to optimize the business portfolio through higher value-added services and efficiency improvements in core businesses. The company is also actively investing in and developing priority solution areas that will serve as growth platforms for the future. Through these efforts, DAIKO XTECH will realize management that benefits all stakeholders and build a corporate culture unafraid of challenge and change.

Leveraging long-standing relationships of trust with customers, DAIKO XTECH provides one-stop services spanning ICT consulting, system design, construction, operation, and verification. By leveraging its partnership with Fujitsu and pursuing a multi-vendor strategy, the company delivers optimal products and services tailored to customer needs.

The company is advancing investments in new business areas while leveraging existing strengths. In particular, it aims to enhance corporate value through digital transformation initiatives and the adoption of cutting-edge technologies such as generative AI. This positions the company to lead market transformation amid growing IT demand.

As a financial strategy, DAIKO XTECH pursues growth investments centered on M&A based on capital allocation principles. While maintaining financial soundness, the company strengthens shareholder returns to enhance corporate value. As a growth investment policy, the company invests in talent, education, development, and M&A to improve profitability.

In human capital and organizational strategy, the company implements measures to enhance productivity, invest in human capital, and improve engagement to foster a virtuous cycle of mutual growth between employees and the organization. This builds a foundation to support long-term growth.

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