Fixstars Corporation
3687・Prime Market・Information & Communication
Business
Fixstars Corporation was established in 2002 and, under the slogan "Speed up your AI," is a company centered on low-layer software technology that maximizes the performance of diverse hardware including GPUs, FPGAs, and quantum computers. In its core Solutions Business, the company focuses on five fields: Semiconductor (firmware for NAND flash), Mobility (autonomous driving algorithms), Industrial (manufacturing line acceleration), Life Science (medical image processing), and Finance (HFT and risk calculation). Major customers include Kioxia (17.1% of sales) and Nexty Electronics (11.6% of sales), among other major manufacturing and semiconductor companies. In its SaaS Business, the company operates the quantum computing cloud "Fixstars Amplify," the breast cancer AI diagnostic support tool "METIS Eye," and the GPU efficiency platform "Fixstars AI Booster." Listed on the Tokyo Stock Exchange Prime Market.
Business Model
The Solutions Business, accounting for approximately 95% of revenue, consists of integrated outsourced software acceleration services spanning from the R&D phase through product integration. It is a human-capital-intensive model in which engineers make up over 90% of the company's 334 total employees, and the segment operating margin for FY2025 (ended September 2025) was a high 35.3%. The SaaS Business (revenue of ¥446 million) is currently in an investment phase, posting an operating loss of ¥424 million, but the company aims to convert the technical know-how from the Solutions Business into SaaS offerings to establish a recurring revenue model.
Company Strengths
In FY2025 (ended September 2025), the Solutions Business segment recorded operating profit of ¥3,236 million, with an operating margin of 35.3%. Long-term continuing projects with autonomous driving and semiconductor manufacturers form a stable revenue base, achieving a 31.7% year-on-year increase in profit. High technical entry barriers underpin the high profit margin.
Revenue grew for five consecutive fiscal years, from ¥5,502 million in FY2021 (ended September 2021) to ¥9,618 million in FY2025 (ended September 2025). In FY2025 (ended September 2025), cash flow from operating activities was ¥1,979 million (up 19.5% year on year), and cash and cash equivalents at period-end stood at ¥5,178 million, reflecting a solid financial foundation.
As of the end of September 2025, over 90% of the 334 employees were engineers. Starting from development for Cell (the processor used in the PS3), the company has systematically accumulated low-layer software technology capable of supporting diverse architectures ranging from GPUs and FPGAs to quantum computers. Talent development is systematized through in-house training and a professional career track system.
ENVALITH's Perspective
Performance Trend
Revenue grew for five consecutive fiscal years, from ¥5,502 million in FY2021 to ¥9,618 million in FY2025, and growth continued in the first half of FY2026 (ending September 2026) at ¥5,442 million (up 13.8% year on year). Operating profit rose to ¥1,635 million (up 8.8% year on year), securing an increase, but SG&A expenses surged 29.0% year on year to ¥1,434 million, causing the operating profit margin to decline to 30.1% (versus 31.4% in the same period a year earlier). Due to an extraordinary loss of ¥229 million related to head office relocation costs and an increase in corporate taxes, net income for the first half came to ¥964 million, down 19.1% year on year. The full-year forecast has been revised upward to revenue of ¥10,800 million and operating profit of ¥3,100 million.
Growth Strategy
Building on stable growth in the Solutions Business, the company is pursuing enhanced enterprise value through the establishment of a SaaS-based recurring revenue model and expansion into new business domains
Building on long-term, ongoing projects for autonomous driving, semiconductors, and manufacturing, the company is capturing needs for accelerator utilization (GPU, FPGA, etc.) driven by advances in AI technology. It is also promoting expansion of acceleration projects for research institutions through its US subsidiary. Revenue for the first half of FY2026 (ending March 2026) reached ¥5,049 million (up 10.9% year on year), showing steady expansion.
The company is expanding its customer base for its quantum computing cloud service addressing combinatorial optimization problems. Revenue for the SaaS Business as a whole grew rapidly, up 72.2% year on year, but the business remains in an aggressive investment phase, with profitability being a challenge going forward.
The company is advancing the rollout of its AI-based breast cancer diagnostic imaging support program to medical institutions. Following regulatory approval, it is in the phase of expanding trial operations, with expanding adoption by medical institutions being key to monetization. Development and rollout continue as one of the growth drivers of the SaaS Business.
This is a platform for AI development and operations that captures demand for improved GPU utilization efficiency amid the spread of LLMs and generative AI. Against the backdrop of growing demand from companies for AI development and utilization support, the company continues to invest and develop aggressively. Revenue from goods transferred over a period of time within the SaaS Business expanded rapidly to ¥381 million (up 116% year on year).
Through investment in and business support for deep tech startups, the company pursues future capital gains and technology synergies across the group. During the current interim period, Drone Autopilot Lab Co., Ltd. was liquidated and removed from the scope of consolidation. Segment loss narrowed to a minor level of ¥2 million.
Last updated: July 17, 2026