HPC SYSTEMS Inc. (6597) Stock Price

HPC Systems is a company specializing in system construction for high-speed computing and the design and manufacturing of custom-built industrial computers. The company provides a comprehensive solution for high-performance computing environments for research and development—from hardware and software to post-implementation support—and also offers cloud-based analysis services and artificial intelligence-driven analytics.

The company's primary customers include universities, public research institutions, corporate research and development divisions, and industrial equipment manufacturers in sectors such as manufacturing and medical devices. The company's revenue comes from HPC system sales, software development, and project-based income from contract computing and research support, combined with ongoing orders from the design, manufacturing, and maintenance of industrial computers.

The business is divided into two pillars: the HPC business and the CTO business. The HPC business provides one-stop solutions ranging from computational program optimization and custom software development to contract analysis and seminar hosting. The CTO business differentiates itself through in-house production of embedded computers tailored to customer specifications at domestic factories, offering long-term stable supply and detailed maintenance services.

The company aims to expand its business and enhance corporate value based on two core pillars: its HPC business and CTO business. Over the medium to long term, it has set revenue growth rate and operating profit growth rate as key performance indicators, and plans to drive growth through customer-focused "S³ as a Service" (S-Cube Solutions as a Service). This strategy combines multiple solutions developed by the company to create synergies, and seeks to achieve both order expansion and recurring revenue by consistently meeting the needs of researchers and developers.

Priority investment areas include high-performance computing (HPC) system development and computational science support, as well as technology acquisition focused on artificial intelligence (AI) and edge computing. The company's differentiation strategy goes beyond equipment sales alone, offering hardware, software, and post-implementation technical support in a one-stop package. Specifically, it gains competitive advantage through system optimization tailored to each customer, program acceleration and training seminars leveraging computational expertise, and the establishment of purpose-built cloud-based analysis environments.

For new market development and business expansion, the company is advancing applications in IoT domains driven by AI, deep learning, and 5G, with particular emphasis on edge computing for manufacturing and deployment in industrial sectors such as medical devices. The company plans to share cutting-edge information between the technical divisions of both businesses and incorporate HPC-side advanced technologies into CTO product development to capitalize on new opportunities. Additionally, it is working to increase brand awareness through its own website, participation in academic conferences and trade shows, and strategic use of mass media based on cost-effectiveness analysis.

Regarding technological innovation, the company continues to develop proprietary computational science technology, maintain unique software, and provide program optimization services. For cloud services, rather than offering standard bare-metal servers, the company provides user-friendly environments combining computation resources optimized for specific applications with a unique software suite available nowhere else in the world. To secure and develop excellent talent, the company is advancing management by objectives, training programs, and qualification support, while strengthening collaboration between technical divisions and improving internal governance to sustain continuous improvement in research and development capabilities.