Double Standard Inc.
3925・Prime Market・Information & Communication
Business
Double Standard Inc. is a big data-focused company that integrates data owned by companies, statistical data, and web-based data using its proprietary data collection, processing, and matching technology as its core capability, thereby supporting client companies in sales support, operational cost reduction, revenue improvement, and expense reduction. The company's business is structured around two segments: the "Big Data-Related Business" and the "Service Planning & Development Business," with high-precision data cleansing technology capable of processing hundreds of millions of pieces of web information per month serving as the source of its competitive advantage. Major clients include large corporations such as the SBI SECURITIES Group (48.3% of net sales) and the Daiwa Living Group (21.6% of net sales), and in September 2025 the company joined the SBI Group as an equity-method affiliate of SBI Financial Services. Listed on the Prime Market of the Tokyo Stock Exchange.
Business Model
After deeply studying the business processes of client companies, the company designs and implements dedicated services that combine big data processing technology with planning ideas, earning revenue through a stock commission model in which income accumulates continuously. It maintains a flexible development structure utilizing outsourcing partners (business partners) and operates debt-free, funding working capital and investment capital entirely with its own equity capital. Proposal-based sales, upselling, and cross-selling premised on long-term continuous transactions with clients are the primary means of expanding revenue.
Company Strengths
The company handles hundreds of millions of items of web information, images, and PDF data monthly, and possesses proprietary algorithms for cleansing, correcting, and combining diverse notation patterns and typographical errors. The accumulated technology, which prepares tens of thousands of programs per processing item in pursuit of 100% accuracy, forms an entry barrier that is difficult for competitors to replicate in a short period.
The company maintains a policy of funding working capital and investment capital entirely through equity capital, securing cash and cash equivalents of ¥5,286 million and net assets of ¥6,679 million as of the end of FY2026 (ending March 2026). Debt-free management keeps financial risk low, and the company maintains cash-generating capacity such that net assets increased by ¥296 million year-on-year even while paying dividends of ¥810 million.
Following a capital and business alliance with SBI Financial Services in December 2019, the company formally joined the SBI Group as an equity-method affiliate of the same company in September 2025. Net sales to the SBI SECURITIES group reached ¥3,387 million (48.3% of net sales) in the consolidated fiscal year under review, and opportunities for proposals to group companies and regional financial institutions, among others, are institutionally expanding.
ENVALITH's Perspective
Performance Trend
Revenue maintained an expansionary trend from ¥7,078 million in FY2022 → ¥6,911 million in FY2023 → ¥7,148 million in FY2024 → ¥8,001 million in FY2025, but fell into decline in FY2026 at ¥7,011 million, down 12.4% year-on-year. Operating profit also plunged sharply, dropping 33.9% from ¥2,606 million in FY2025 to ¥1,722 million in FY2026, with the operating margin falling from 32.6% to 24.6%. The main cause was the termination of the transaction with the Daiwa Living Group. While external demand for DX and information security investment has remained firm, the structural risk of dependence on a specific client directly impacted performance. For FY2027 (ending March 2027), revenue of ¥7,200 million and operating profit of ¥1,800 million are forecast, representing a modest recovery, but a return to the peak level seen in FY2025 is expected to take considerable time.
Growth Strategy
Rebuilding the revenue base through SBI Group collaboration, new customer acquisition, and expansion of new service sales
Leveraging its participation in the SBI Group since September 2025, the company is actively working to acquire new customers and create business opportunities through collaboration with SBI Group companies. Expanding business negotiation opportunities by utilizing the group network is the main pillar of rebuilding the revenue base.
To reduce the risk of revenue concentration among major clients, the company is promoting a review of its customer portfolio. Progress is being made in acquiring new customers, and together with upselling and cross-selling to existing customers, the company aims to diversify its revenue base.
The company is promoting the development of new services and sales activities with an eye toward growth in future periods. It continues to make development investments, including the acquisition of intangible fixed assets (¥25 million spent in FY2026 (ending March 2026)), aiming to strengthen its revenue base over the medium to long term.
Support operations related to system migration continue to a certain extent, but the company aims to gradually absorb the impact based on the premise that transactions will end once the migration is complete. The timing of the end of transactions depends on the status of the system migration at Daiwa Living, and the impact on business performance needs to be monitored closely.
Last updated: July 19, 2026