KYCOM HOLDINGS CO.,LTD.JP:9685Stock Price

Market cap
¥3.3B
P/E ratio
6.6x
KYCOM Holdings provides information processing services, operates real estate and car rental businesses, and delivers wireless solutions through its subsidiaries across Japan.

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Business Overview

KYCOM Holdings operates four main business segments: information processing, real estate, car rental, and wireless solutions. These businesses are managed by the company and its 10 subsidiaries and 2 affiliated companies.

The information processing segment provides software development, computer-related services, and data entry work. Specific offerings include information systems consulting, design, development, and maintenance, helpdesk services, accounting and human resources outsourcing, and the development and sale of fingerprint authentication systems.

The real estate segment operates apartment buildings that serve dual purposes as employee housing and develops solar power generation projects. Joint Computer Co., Ltd. (Tokyo) and Kyoei Systems Co., Ltd. are key subsidiaries involved in this segment.

The car rental business is primarily operated in the Hokuriku region. Hokuriku Area Car Rental Co., Ltd. serves as the main subsidiary operating this segment, providing locally-focused services that meet customer needs.

The wireless solutions segment provides wireless equipment installation, repair, inspection, maintenance, and wireless communication solutions. Watanabiki Wireless Co., Ltd. operates as the key subsidiary in this field, delivering wireless technology-based solutions that address customer communication needs.

Management Policy

KYCOM Holdings pursues a growth strategy centered on revenue expansion and cost reduction, corporate risk management, and entry into new business areas. Through these initiatives, the company aims to return profits to shareholders, customers, and local communities while achieving sustainable growth. The company is particularly focused on strengthening its corporate capabilities in IT-related fields and promoting development work that stays close to user needs.

Against the backdrop of tight supply and demand for IT talent, KYCOM Holdings is prioritizing the advancement of engineers' technical skills and the recruitment of top talent. Specifically, the company enhances engineers' added value through certification programs and opportunities to acquire new technologies. The company also strengthens its organizational structure through year-round mid-career hiring and active recruitment of new graduates.

Additionally, KYCOM Holdings is increasing investment in its workforce to address emerging markets such as nearshoring, digital transformation (DX), and generative AI. This approach supports the development of next-generation businesses and drives the planning and execution of new business initiatives.

Under its medium-term management plan, the company targets an operating profit margin of 6% on sales and a return on equity (ROE) of 15%. To achieve these goals, KYCOM Holdings is strengthening sales and technical capabilities, acquiring new customers, and shifting toward a profit-focused business model. Through these efforts, the company aims to establish sustainable growth and a high-profit business structure.