MKSystem Corporation (3910) Stock Price

Market cap
¥1.6B
P/E ratio
16.7x
MK System provides business software solutions for social insurance consultants and corporate HR departments through two main services: Sharomu and CuBe.

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Business Overview

MK System operates two business segments in partnership with Business Net Corporation: the Sharomu business and the CuBe business. Both segments focus on providing business support software for social insurance and labor consultant offices and general corporations.

The Sharomu business provides software via ASP (Application Service Provider) model that supports procedures related to social insurance, employment insurance, and payroll calculations. This business is divided into three categories: "Cloud Services," "System Product Sales," and "Other Services." Cloud Services include offerings such as Sharomu Basic Plan and Sharomu House Plan.

The CuBe business provides systems to human resources and general affairs departments of major corporations to streamline business processes. Custom development offerings include "Jinzai CuBe" and "Shugyo CuBe," while "GooooN" is offered as a cloud service. These products are designed to improve the efficiency of corporate human resources operations and facilitate smoother communication.

Management Policy

MK System is guided by the management philosophy of "contributing to society by providing user-friendly systems." Under this philosophy, the company aims to provide comprehensive services in the human resources and labor management sector, promoting operational efficiency and productivity improvement. In particular, it is expanding services for labor and social security consultants and corporate human resources departments in the areas of year-end tax adjustments, expense reimbursement, and talent development.

As IT investment becomes increasingly important in adapting to work style reforms in the post-COVID era, MK System is advancing cloud service adoption. Migration to the cloud offers significant benefits to companies from the perspectives of security, cost, and operational efficiency, with continued market expansion expected. MK System is capitalizing on this trend to expand business scale and improve profitability.

With a medium to long-term vision of building a stable growth model, MK System prioritizes consolidated revenue and operating profit margin as key management indicators. The company also emphasizes return on equity (ROE) to balance corporate value and shareholder value, thereby achieving sustainable growth.

As concrete initiatives, MK System is expanding software investment to ensure stable product supply. It is also promoting a loyal customer strategy to expand market share in the corporate sector. Furthermore, the company is improving capital efficiency through strengthened cost competitiveness and profit growth capacity, while expanding investment in human capital development to realize productivity improvements.

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