Image Information Inc.
3803・Growth Market・Information & Communication
Business
Image Joho Kaihatsu Co., Ltd. is an independent IT services company founded in 1975 and listed on the TSE Growth Market. It is characterized by its ability to flexibly realize systems tailored to client business strategies without dependence on specific manufacturers or packaged software. In the IT Solutions segment, the company provides IT strategy support, system design and construction, operation/maintenance, and product sales, while the BPO / Services segment offers outsourced operations such as payment processing and membership management. Major clients include companies such as Oki Electric Industry Co., Ltd. (15.2% of net sales) and Aeoss Corporation (10.3%), as well as local shopping districts and chambers of commerce, to which the company has continuously provided services over the long term. As of the end of FY2026 (ending March 2026), the group consists of the parent company and one subsidiary, Image Joho System Co., Ltd.
Business Model
Starting from IT strategy planning for client companies, the company provides an end-to-end offering spanning system design/construction, operation/maintenance, and further to BPO (Business Process Outsourcing) / payment processing, thereby building ongoing dependency relationships with customers. IT Solutions account for 83.9% of net sales and BPO / Services for 16.1%, with a structure in which stock-type revenue such as operation/maintenance and outsourced operations underpins the earnings base. The company also handles Product Sales of IT-related equipment and software.
Company Strengths
Founded in 1975 with over 50 years of operating history, the company maintains multi-year continuous transactions with major clients such as Oki Electric Industry Co., Ltd. (¥111,663 thousand in sales in FY2026 (ending March 2026), 15.2% of composition) and IOS Corporation (¥75,392 thousand, 10.3% of composition). Existing businesses, including maintenance, continue stably, and the company has a client base capable of securing a comparable level of orders each period.
As an independent SI vendor not dependent on specific manufacturers or packaged software, the company is characterized by its ability to flexibly realize systems in line with clients' business strategies. It has accumulated a long track record of serving a wide range of industries and business types, including finance, manufacturing, services, shopping districts, and chambers of commerce, thereby building a business portfolio that avoids excessive dependence on any particular industry.
In January 2026, the company implemented a third-party allotment of new shares to Cybridge LLC (issue price ¥461 per share, 1,301,500 shares), completing a capital increase of approximately ¥600,000 thousand. As a result, the equity ratio at the end of FY2026 (ending March 2026) improved to 63.0% (from 46.2% at the end of the previous fiscal year), and cash and deposits increased to ¥820,358 thousand. This has secured financial flexibility to pursue M&A initiatives.
ENVALITH's Perspective
Performance Trend
Revenue for FY2026 (ending March 2026) came to ¥731 million (up 13.2% year on year), securing revenue growth, but this was mainly attributable to the boosting effect of incorporating a full year of sales from 3 consolidated subsidiaries; since those 3 companies were already sold off by the end of the fiscal year under review, the underlying growth capacity is limited. Operating loss widened to ¥175 million (versus ¥70 million in the previous period), with the operating margin on sales deteriorating to -24.0%. Net loss expanded sharply to ¥259 million (versus ¥36 million in the previous period). As external factors, the prolonged yen depreciation and surging energy prices are affecting raw material and operating costs, while increased IT demand driven by expanding AI investment is serving as a tailwind in terms of the market environment. Cash flow from financing activities of ¥651 million (including ¥600 million in proceeds from a capital increase) secured period-end cash of ¥820 million.
Growth Strategy
Under the alliance with Cybridge, the company aims to expand scale through M&A and meet the listing maintenance criteria by the end of March 2027
In January 2026, the company implemented a capital and business alliance along with a third-party allotment of new shares (approximately ¥600 million). Through strengthened collaboration with the Cybridge group, it aims to accelerate M&A promotion, business structure reform, and governance enhancement. The funds raised are planned to be used for business investment and M&A.
The company plans to carry out M&A during FY2027 (ending March 2027), and since consolidated performance could fluctuate significantly depending on the scale of the acquired business, it has not disclosed earnings forecasts. In FY2026 (ending March 2026), the company made one company a subsidiary and divested three companies, restructuring the group composition.
At the Board of Directors meeting on May 14, 2026, the company resolved to absorb its wholly owned subsidiary Image Information System Co., Ltd. through a short-form/simplified merger. With an effective date of July 1, 2026, the merger aims to reduce administrative costs and improve profitability through integrated business operations.
The company is promoting cost reductions through review of its administrative organization and recording of a provision for business structure improvement (¥5 million). It plans to eliminate unprofitable businesses by deconsolidating three subsidiaries and concentrate management resources on core businesses. However, as of FY2026 (ending March 2026), the operating loss has widened, and the improvement effects have not yet been achieved.
Last updated: July 19, 2026