ITbook Holdings Co.,LTD.
1447・Growth Market・Construction
Business
SAAF Holdings Inc. is a group comprising 17 consolidated subsidiaries, operating four business segments: Construction and Civil Engineering (approximately 58% of sales), System Development (approximately 19%), Human Resources (approximately 15%), and Consulting (approximately 8%). The company covers a wide range of business areas, from ground surveys and soil improvement works to DX consulting for government agencies, nearshore development, and staffing services for the manufacturing and education sectors. Its main customers include construction-related businesses handling detached houses, condominiums, and buildings, central government ministries and local governments, and organizations in manufacturing, distribution, and education. Under its purpose of "realizing a sustainable society," the company aims to enhance the added value of social infrastructure through ICT and DX utilization. It was established in 2018 through a joint share transfer and changed to its current corporate name in September 2024.
Business Model
In the construction and civil engineering business, the company receives sole-source orders for ground surveys and improvement work (100% of orders were sole-sourced in FY2026 (ending March 2026)), securing stable revenue. The two IT-related businesses (consulting and system development) capture DX demand from government agencies and private companies, generating revenue through order-based development and consulting fees. The staffing business earns revenue from dispatch and referral fees in the manufacturing and education sectors. Through the collaboration of these four businesses, the company provides integrated solutions ranging from DX strategy formulation to system development, staffing, and on-site construction, with a structure aimed at achieving higher added value.
Company Strengths
In the construction and civil engineering business for FY2026 (ending March 2026), the order acquisition method breakdown was 100% negotiated contracts (99.7% in the previous period), with customer-designated orders underpinning the business foundation. In addition to ground surveying and improvement, the company holds a variety of construction methods including the NEW-EAGLE pile method, TBH reverse circulation drill method, and BH method, expanding its customer base from detached houses to mid- and high-rise condominiums, dams, and large-scale land development.
The consulting business achieved net sales of ¥2,276 million in FY2026 (ending March 2026) (114.1% year-on-year). Orders expanded in priority areas such as standardization support for central government ministries, independent administrative agencies, and local governments, as well as disaster prevention and education DX. Project profitability improved through progress in AI utilization and in-house development, securing a segment profit margin of 11.2%. Through a business alliance with Forval Corporation, the company also built a foundation for expansion into the Chugoku-Shikoku region.
Selling, general and administrative expenses for FY2026 (ending March 2026) were reduced to ¥6,476 million (94.8% year-on-year), improving the SG&A-to-sales ratio from 23.7% in the previous period to 21.9%. Business portfolio reviews—including operational efficiency gains through internal DX promotion, the liquidation and downsizing of unprofitable businesses (Other business), and the transfer of I-Need Co., Ltd.—proved effective, expanding operating profit by 327.5% year-on-year to ¥1,094 million.
ENVALITH's Perspective
Performance Trend
Revenue had been on a declining trend after peaking at ¥30,528 million in FY2023 (ended March 2023), but in FY2026 (ending March 2026) it bottomed out at ¥29,581 million (up 2.5% year on year). On the profit side, a combination of factors—a ¥353 million reduction in SG&A expenses, the construction and civil engineering business turning profitable, and reduced losses in other businesses—contributed to a substantial improvement: operating profit of ¥1,094 million (versus ¥334 million in the prior period), ordinary profit of ¥1,001 million (versus ¥142 million), and profit attributable to owners of parent of ¥460 million (versus a loss of ¥129 million in the prior period). Operating cash flow also surged from ¥305 million to ¥2,069 million, and the interest coverage ratio improved from 1.9x to 12.4x. However, comprehensive income remained negative for the second consecutive period at ¥-161 million, due to a deterioration in valuation differences on available-for-sale securities. As an external factor, a decline in housing starts (down 14.3% year on year) caused by the revised Building Standards Act constrained growth in the construction and civil engineering business, while expanding IT investment in the information services industry (up 7.0% year on year) supported the IT-related businesses.
Growth Strategy
Selection and concentration into 4 core businesses, and achievement of ¥35.3 billion in sales and ¥2.0 billion in operating profit for FY2029 (ending March 2029) under MTG2028
Reorganization from 8 segments to 4 segments (Consulting, System Development, Human Resources, and Construction/Civil Engineering) was implemented in FY2026 (ending March 2026). The Other businesses (finance, M&A, drones, etc.) are undergoing liquidation procedures and are scheduled to be discontinued. Ai Need Co., Ltd. was transferred effective March 2, 2026, advancing the optimal allocation of management resources.
The company is working to reduce its dependence on the detached-housing market and is expanding orders for mid-to-high-rise condominiums, hotels, and public infrastructure using methods such as the NEW-EAGLE pile method and TBH reverse circulation drill method. Planned capital investment in large heavy machinery is being carried out systematically, and cost reduction effects from the reorganization of bases in the Kyushu and Tohoku areas are also progressing. In FY2026 (ending March 2026), the segment achieved a turnaround from a segment loss to a profit of ¥238 million.
The company continues to expand orders in priority areas such as disaster-prevention DX and education DX, while improving productivity and project profitability through the promotion of AI utilization and in-house development. A business alliance with FOR-VALUE CO., LTD. has strengthened the framework for promoting DX among local governments in the Chushikoku area. The company has also begun offering staffing services for local public bodies, securing a new revenue source. In FY2026 (ending March 2026), sales in this segment grew 114.1% year on year, recording the highest growth rate among all segments.
The company has formulated the medium-term management plan MTG2028, to commence in April 2026. Targets are set at ¥35.3 billion in sales and ¥2.0 billion in operating profit for the final year, FY2029 (ending March 2029), and, under the long-term vision, ¥50.0 billion in sales and ¥3.5 billion in operating profit for FY2032 (ending March 2032). The company aims to establish its foundation as an on-site digital provider, expanding business opportunities through support for digitalization in the construction and infrastructure sectors and through the development and supply of digital talent. Details are scheduled to be disclosed in late June 2026.
Last updated: July 19, 2026