Terilogy Co.,Ltd. (E02970) Stock Price

Terilogy is a specialized IT solutions distributor that provides network equipment and security solutions for corporate clients. The company's core business spans a wide range of services, from selling network equipment such as routers and switches, to providing cyber attack countermeasures, and offering proprietary monitoring tools. A key strength is its ability to provide comprehensive services covering everything from building corporate communication infrastructure to ongoing operations and maintenance, available 24 hours a day, 365 days a year.

The company's primary customers are general enterprises and telecommunications carriers, with revenue generated from both equipment sales and service provision. Maintenance services in particular represent a stable revenue stream, as the company provides continuous maintenance for installed products, building long-term customer relationships. Additionally, the company is expanding its proprietary products into the Asia-Pacific region through overseas partners, diversifying its revenue sources.

The company operates through four business divisions: Network Division, Security Division, Monitoring Division, and Solutions Service Division. The Network Division handles core infrastructure equipment, while the Security Division provides threat intelligence services and defense systems. The Monitoring Division operates its proprietary analysis tool "momentum" as its flagship product, and the Solutions Service Division offers services tailored to solving corporate challenges, including business automation tools and multilingual interpretation services.

Terilogy is advancing a digital transformation strategy aimed at sustainable growth and long-term corporate value enhancement under its three-year medium-term management plan, which began in the fiscal year ending March 2022. Under the management philosophy of "becoming a technology-organized corporate group that adapts and evolves to changes in the digital society and continues to provide customers with precise solutions and services they demand," the company operates under the slogan "No.1 in Quality." The company emphasizes revenue and profitability metrics as key performance indicators, with evaluation based on both growth and profitability of its business.

The company's priority investment areas focus on strengthening IT, OT, IoT, and DX security and technology business domains. In particular, to address the diversification and complexity of cyberattacks, the company is concentrating on developing differentiated products and solutions, including cyber threat intelligence services, vulnerability assessment services, and security measures for industrial control systems. Since its founding in 1989, Terilogy has leveraged its technological expertise and market analysis capabilities developed through importing IP network-related overseas products and providing solutions to major domestic telecommunications companies and enterprises, pursuing a unique service model that combines cutting-edge technology with on-site responsiveness.

In new market development, the company is pursuing aggressive business expansion through further strengthening and expanding its group portfolio businesses, as well as through M&A and alliance strategies. In particular, the company is strengthening its Asia business strategy through concentrated investment in the Vietnamese market and providing management support to local partner VNCS-Global. Additionally, through partnerships with the United States and Israel, the company is working to source advanced technologies and develop investment functions, building a foundation for global business expansion.

As part of its technology innovation efforts, the company positions the transition to a recurring revenue business model as a key strategy. In entering the cloud security business, the company is pursuing new development initiatives in multicloud environments and solutions such as SIEM and SASE, advancing structural business reform from traditional equipment sales to continuous service delivery. Furthermore, through expansion of its business systems outsourcing operations, the company aims to establish a comprehensive service framework covering BPO, BPM, and ITO business domains in information systems operations and management.