Ficha Inc.

Business Details

Under the mission of "Make Things Intelligent," the company operates two business areas: embedded software for ADAS/DMS applications for in-vehicle cameras and drive recorders (Mobility Solutions), and corporate DX support solutions such as AI-OCR and drawing analysis AI (DX-AI Solutions). Revenue is generated through two streams—contract development revenue and license revenue—with a strategic focus on expanding recurring, stock-type revenue by prioritizing mass-production and continuing license projects. Major customers include leading automotive-related companies such as Bosch Corporation and Honda Motor Co., Ltd.

Recent Overview

Contract development revenue declined due to the suspension of a joint development project with a major automaker, causing operating profit to fall 81.3% year-on-year

In the cumulative nine months of FY2026 (ending June 2026), covering July 2025 through March 2026, contract development revenue declined significantly due to the suspension of a joint development project with a major automaker. Although license revenue increased on the back of strong mass-production volumes of new vehicles equipped with licensed products (cumulative units surpassing 3.6 million), this was insufficient to offset the decline in contract development revenue. As a result, net sales were ¥366 million (down 9.3% year-on-year) and operating profit was ¥4 million (down 81.3% year-on-year). Cost of sales decreased significantly to ¥95 million (from ¥143 million in the same period of the prior year), improving the gross profit margin, but selling, general and administrative expenses increased to ¥265 million (from ¥235 million in the same period of the prior year), putting pressure on profit. In addition, a loss on liquidation of a subsidiary of ¥3 million was recorded as a non-operating expense. There has been no change to the full-year earnings forecast (net sales of ¥540 million, operating profit of ¥17 million); however, the progress rate through the cumulative third quarter stood at only 67.9% for net sales and 28.3% for operating profit, indicating that a recovery in the fourth quarter will be necessary.

Key Products

Growth Drivers

• Increase in licensed mass-production units for Mobility Solutions accompanying expansion of the ADAS/autonomous driving camera market (cumulative units surpassing 3.6 million)
• Deepening of joint development projects based on the capital and business alliance with Bosch Corporation
• Expansion of DX-AI Solutions (AI-OCR, Drawing-AI) across multiple industries and acquisition of new customers through the use of generative AI and LLMs
• Sales expansion through industry-specific AI packaging, cross-selling to existing customers, and expanded partner collaboration
• Accumulation of stock-type license revenue through a focus on mass-production and continuing license projects

Risks

• Risk of revenue concentration among specific customers (top four customers account for approximately 79% of net sales)
• Risk of fluctuation in contract development revenue, such as the suspension of a joint development project with a major automaker (which materialized in the cumulative third quarter)
• Risk of decline in license revenue due to volume discounts (unit price reductions) associated with increases in cumulative mass-production units
• Impact on business performance and continuity from the ransomware infection incident that occurred on February 9, 2026
• Risk of intensifying competition due to an increase in competitors and accelerating technological innovation in the image recognition AI field
• Risk of profit pressure from the increasing trend in selling, general and administrative expenses (up 13.1% year-on-year)
• Situation requiring a significant recovery in business performance in the fourth quarter to achieve the full-year forecast (cumulative Q3 operating profit of ¥4 million against a full-year forecast of ¥17 million)