HIKARI BUSINESS FORM CO., LTD.
3948・Standard Market・Pulp & Paper
Business
Koh Business Forms Co., Ltd. is a company specializing in business form printing, founded in 1968. In addition to its printing business (Printing-Related) covering continuous forms, sheet forms, and unified forms, its core operations include DPP (Data Print Service), which provides data output and mailing services using high-speed kanji printers. It also positions WEB system development and operation, as well as BPO (Business Process Outsourcing), as growth areas, with local governments, financial institutions, and general corporations as its main customers. The company is listed on the Standard Market of the Tokyo Stock Exchange. It has no affiliated companies and operates on a standalone basis.
Business Model
Of net sales of ¥7,743 million, the DPP segment was the largest revenue source at ¥4,696 million (60.7%), followed by Printing-Related at ¥2,463 million (31.8%). Manufacturing is carried out at the Noda Plant and DPP Center No. 1 and No. 2, and a gross profit margin of 21.3% was secured through the promotion of appropriately priced sales and cost reduction via plant consolidation. Non-operating income (interest and dividends received, etc., of ¥90 million) also contributed to boosting ordinary profit of ¥280 million.
Company Strengths
The company has obtained Privacy Mark, ISO9001, ISO14001, and FSC-CoC certifications. It leverages its long-standing track record and trust in handling personal information as a strength, while strengthening collaboration with local governments. It has further reinforced its security framework through the establishment of a CSIRT and a basic information security policy.
The company captured special demand arising from the revision of the Family Register Act and legal and regulatory changes related to the My Number health insurance card, with orders received in the DPP (Data Print Service) segment expanding 108.1% year on year. Sales also grew to ¥4,696 million (105.4% year on year), accounting for 60.7% of total company sales, driving earnings as the core segment.
By consolidating printing functions at the Noda Plant, cost of sales decreased by ¥208 million year on year, improving the gross profit margin from 20.4% in the previous fiscal year to 21.3% in the current fiscal year. Combined with the promotion of appropriate pricing, operating profit increased by ¥23 million year on year to ¥202 million despite the decline in sales.
ENVALITH's Perspective
Performance Trend
Revenue peaked at ¥11,995 million in FY2022 and has declined for four consecutive periods to ¥7,744 million in FY2025. The full-year forecast for FY2026 (ending December 2026) is ¥7,700 million (down 0.6% year on year), indicating a continued flattish trend. Profitability, on the other hand, is on a clear improving trend. Operating profit is expected to expand from ¥202 million in FY2025 to a full-year FY2026 (ending December 2026) forecast of ¥300 million (up 48.4% year on year). In the Q1 results, a decline in the absolute amount of cost of sales combined with reductions in selling, general and administrative expenses to significantly improve the gross profit margin to 28.8% (versus 19.1% in the same quarter of the previous year). While external cost pressures such as rising raw material and logistics costs and higher labor costs continue, these have been offset by sales promotion at appropriate prices and the effects of plant consolidation.
Growth Strategy
Rebuilding the earnings base through expansion of DPP, WEB, and BPO and cost reduction via factory consolidation
Production efficiency and utilization rates are being improved and operating costs reduced through the consolidation of printing functions at the Noda Plant. In the first quarter of FY2026 (ending December 2026), results became evident in the form of an absolute decrease in cost of sales (down ¥12 million year on year) and a substantial improvement in gross profit margin (from 19.1% to 28.8%).
The company is maintaining and strengthening its system for agilely receiving and processing orders for public-sector demand, including benefit payments and regional gift certificates, as well as special demand related to changes in laws and regulations. In the first quarter of FY2026 (ending December 2026), the DPP segment recorded ¥1,099 million, up 17.9% year on year, becoming the main driver of overall sales growth.
The company is pursuing capture of BPO outsourcing demand driven by corporate needs for labor savings and efficiency, as well as expansion of digitally integrated services in the WEB segment. In the first quarter of FY2026 (ending December 2026), the WEB segment grew 28.9% year on year and the BPO segment grew 4.3% year on year. However, combined sales of the two segments remained at ¥179 million, only 9.4% of the total, and scaling up remains a challenge.
In light of rising raw material and logistics costs as well as increasing labor costs, the company is promoting sales at appropriate prices that reflect social and economic conditions, while gaining customer understanding. In the first quarter of FY2026 (ending December 2026), gross profit margin improved by approximately 10 percentage points year on year, confirming progress in price pass-through.
Last updated: July 17, 2026