CYND Co., Ltd.
4256・Growth Market・Information & Communication
Business
Signed Inc. operates under the mission of "providing emotional connections through the internet," centering its business on the cloud-based reservation management system "BeautyMerit" and the unified reservation management system "Kanzashi" for beauty and hair salons. Its main customers are beauty and hair salon businesses such as hair salons, nail salons, esthetic salons, and relaxation salons, with BeautyMerit installed in approximately 9,400 stores and Kanzashi in approximately 14,000 stores, totaling 23,553 stores as of the end of March 2026. The company digitalizes the entire scope of salon operations—from customer acquisition, reservations, and treatment to accounting and after-sales follow-up—supporting the connection between salons and their customers. The company listed on the Tokyo Stock Exchange Mothers market (now the Growth Market) in December 2021. The group consists of two companies: the Company and its consolidated subsidiary Pacific Porter Inc.
Business Model
A stock-type model in which subscriptions (monthly billing) account for 92.4% of revenue (FY2026, ending March 2026). BeautyMerit generates revenue through a combination of monthly billing, initial setup fees, optional fees, and payment processing fees, while Kanzashi earns revenue solely from monthly billing. The structure expands ARR through the twin drivers of an increasing number of contracted salons and improved ARPU, with ARR for FY2026 (ending March 2026) reaching ¥2,460,695 thousand (up 10.9% year on year). The customer churn rate remains low at 0.65%, and the accumulation of long-term client salons achieves both revenue stability and growth simultaneously.
Company Strengths
The customer churn rate for FY2026 (ending March 2026) stands at an extremely low 0.65% (trailing 12-month average). This has improved steadily from 0.86% in FY2022 (ended March 2022), driven by careful operational support from the sales and customer teams and a cycle of continuous feature improvements that suppress cancellations. Adoption by 32.9% of salons awarded at "KAMI CHARISMA 2026" underscores penetration among top-tier industry players and confirms the strength of customer retention.
As of the end of March 2026, the company had a combined total of 23,553 stores, comprising 9,499 BeautyMerit stores and 14,054 Kanzashi stores. BeautyMerit has been adopted by 17 of the 44 leading beauty and hair salon chains with annual sales of ¥1 billion or more, giving the company a broad customer base ranging from major chains to independent salons. This customer base also functions as a cross-selling foundation for new services such as BeautyPay and BM Smart Mirror, forming an entry barrier that is difficult for competitors to replicate in a short period.
As of the end of March 2026, the company had established integrations with 9 customer-acquisition sites and 13 POS systems, creating an environment that enables seamless adoption without requiring changes to existing systems. In addition to a five-location structure in Tokyo, Osaka, Fukuoka, Sendai, and Sapporo, the company has built an agent partner network centered on beauty and hair salon dealers and customer-acquisition site operators, enabling customer acquisition across a wide range of scales, from single stores to major chains with more than 100 locations.
ENVALITH's Perspective
Performance Trend
Revenue expanded 2.3x over five periods, from ¥1,089 million in FY2022 to ¥2,542 million in FY2026, with growth rates stably tracking in the 13-15% range. In FY2026 (ending March 2026), revenue was ¥2,542 million (up 13.4% year on year), operating profit was ¥331 million (up 39.7%), and net profit was ¥172 million (up 53.7%), with profit growth substantially outpacing revenue growth. Following a decline in operating profit to ¥162 million in FY2024 (due to special factors such as head office relocation expenses), a sharp recovery occurred in FY2025 and FY2026. Operating cash flow was solid at ¥542 million, and on the financing activities side, ¥382 million in long-term borrowings was repaid, improving the financial structure (equity ratio rose from 68.2% to 71.5%). As for the external environment, improving employment and income conditions accompanying wage increases supported personal consumption, and growing demand for value-added services in the beauty and hair salon industry served as a tailwind.
Growth Strategy
Multi-layered growth through core SaaS expansion, BeautyPay adoption, and BM Smart Mirror monetization
Improving ARPU through the addition of features such as POS system integration, LINE mini-app subscriptions, and web online shopping functionality, while continuing to expand market share through collaborative sales activities with Pacific Porter. For FY2027 (ending March 2026), the company plans net sales of ¥3,001 million (up 18.1% year on year).
Supporting the shift to cashless payments at beauty and hair salons through some of the industry's lowest payment processing fees and no initial setup fees. Cases of cross-selling into other group services originating from the payment service have emerged, contributing to market share expansion. In FY2027 (ending March 2026), the company plans to continue investing in building the business foundation for BeautyPay.
Following its official launch in November 2025, the product has begun to be handled by major beauty product distributors, and tie-up advertising campaigns with popular brands have been conducted. The company aims to create a new revenue source through advertising delivery leveraging reservation and customer data. Content expansion and sales channel growth are ongoing.
Expanding TAM by extending into adjacent areas such as esthetics and relaxation services, in addition to the traditional beauty and hair salon domain. Strengthening the direct sales structure also aims to raise Kanzashi's ARPU (currently around 27% of BeautyMerit's level).
Last updated: July 19, 2026