Software Service, Inc.【JP:3733】Stock Price

○○ Corporation develops, sells, and implements information systems for medical institutions. The company provides comprehensive services centered on ordering systems and electronic medical records, ranging from software implementation to operational support.

The company's primary customers are hospitals and clinics. Its main revenue sources are sales income from initial implementation and maintenance contracts following deployment. Maintenance services are delivered continuously through online networks, ensuring recurring revenue.

The business operates as a single segment focused on medical information systems, with product lines divided into software, maintenance services, and equipment sales related to implementation. Specifically, the company focuses on developing and implementing ordering systems and electronic medical records, providing online maintenance, and selling necessary equipment.

The company aims to achieve stable mid-term growth and strong profitability. Specifically, it has set a mid-term target of an operating profit margin of 20% or higher. As of October 2025, the company has reached 1,000 installed facilities and recorded maintenance revenue of ¥10,083 million (up 9.9% year-over-year). Going forward, the company plans to expand the number of installed facilities and improve maintenance contract retention rates to increase recurring revenue and stabilize cash flow.

The company positions specialized expertise in the healthcare and long-term care sectors as its primary competitive advantage and is strengthening its commitment to handling development, sales, installation, and maintenance in-house. Specific initiatives include enhancing maintenance service features and expanding online support capabilities to increase the proportion of recurring revenue, and standardizing installation processes to reduce the current 4-6 month implementation period, thereby increasing installation volume. These efforts aim to strengthen customer loyalty and differentiate the company from competitors.

As part of new market development, the company prioritizes deploying products that align with national healthcare information infrastructure and electronic health record (EHR) standardization. Specifically, the company plans to support the HL7 FHIR standard for data exchange between EHRs and advance integration with national healthcare information platforms to capture new demand in system replacements, regional healthcare coordination, and home healthcare support. The company is strengthening sales follow-up with existing users and localized support to pursue upsell and system migration opportunities.

The company views technological innovation as a driver of growth and is investing in generative AI, big data, cloud infrastructure, and cybersecurity. Specific initiatives include developing operational efficiency features and clinical support tools using generative AI, providing operational improvement services through data analytics, and establishing secure cloud operations. Simultaneously, the company aims to strengthen information security management, establish incident response capabilities, and enhance talent recruitment and internal training to balance technological implementation with quality assurance.