VALUENEX Japan Inc.
4422・Growth Market・Information & Communication
Business
VALUENEX Corporation, based on an algorithm independently developed by President and CEO Tatsuo Nakamura, provides services that offer a bird's-eye-view visualization and analysis of large volumes of text data such as patents, academic papers, and news articles. The business consists of two pillars: the ASP-type licensed service "VALUENEX Radar" and contract-based Consulting Services. Its main customers are the intellectual property, R&D, and corporate planning departments of major companies in fields such as chemicals, electronics, automobiles, machinery, and energy. In addition to its domestic operations, the company is also pursuing global expansion through its U.S. subsidiary VALUENEX, Inc. (California). The company listed on the Tokyo Stock Exchange Mothers market (now the Growth Market) in 2018.
Business Model
Revenue is composed of two pillars: ASP Service (approximately 47% of net sales, ¥325,767 thousand) and Consulting Services (approximately 51%, ¥355,689 thousand). ASP Service is subscription-based recurring revenue, and the order backlog of ¥216,816 thousand forms a stable revenue base. Consulting Services provides commissioned research and coaching; while individual projects tend to be large in scale, the timing of revenue recognition is prone to seasonal fluctuation. The gross profit margin stands at a high level of approximately 76.6%, but selling, general and administrative expenses are heavy at ¥602,542 thousand, resulting in an operating loss.
Company Strengths
The natural language processing, similarity evaluation, two-dimensional visualization, and indexing technologies independently developed by President and Representative Director Tatsuo Nakamura have continuously evolved since the company's founding in 2006. With approximately 18 years of development track record since the launch of the patent visualization tool in 2007, this constitutes a technological differentiation factor that is difficult for other companies to easily imitate.
Gross profit for FY2025 (ended July 2025) was ¥529,154 thousand, with a gross profit margin of approximately 76.6%. The ASP Service order backlog of ¥216,816 thousand secures stable revenue for the following period onward, while the Consulting Services order backlog of ¥128,867 thousand (up 145.3% year on year) has also accumulated.
The Radar QFD app, which combines proprietary algorithms with generative AI, was launched as a cloud service in April 2025. Research and development expenses of ¥34,197 thousand were invested, and the company continues to enhance the usability of ASP Service (VALUENEX Radar) and develop new features.
ENVALITH's Perspective
Performance Trend
Revenue continued to grow from ¥474 million in FY2021 to ¥653 million in FY2022, ¥704 million in FY2023, and ¥786 million in FY2024, but FY2025 saw its first year-on-year decline, falling to ¥691 million (down 12.1% year on year). Operating profit remained positive at ¥41 million in FY2022 and ¥39 million in FY2023, but shrank to ¥5 million in FY2024, before FY2025 recorded an operating loss of ¥73 million. The main causes were the carryover of overseas consulting projects into the following period due to internal organizational changes at three major North American clients and the impact of Trump-era tariffs, as well as increased expenses from hiring and investment in generative AI research and development.
Growth Strategy
Aiming for sustainable growth centered on its proprietary algorithm, through new business development, overseas expansion, and generative AI utilization
Radar QFD, an app combining the company's proprietary algorithm with generative AI, began to be offered as a cloud service in April 2025. The company is also expanding its AI utilization services, such as starting recruitment of beta version testers for VALUENEX Radar Fusion from January 2024. ¥34,197 thousand was invested in research and development expenses.
The company is promoting global sales through VALUENEX, Inc. (California, U.S.). In FY2025 (ended July 2025), some projects were carried over to the following fiscal year due to changes in the internal structure of a major North American client, but recovery is progressing in the interim period of FY2026 (ending July 2026).
Currently, the intellectual property rights field is the main business area, but the company has set horizontal expansion into all fields where there is demand for large-scale document analysis—such as marketing, investment, healthcare, and legal fields—as a priority issue.
With the goal of establishing a position as a leading company in predictive analytics, the policy is to elevate the company name into a service name and brand. The Representative Director and President personally gives presentations at seminars and events both domestically and internationally, aiming to develop new customers and raise awareness.
In FY2025 (ended July 2025), the company hired 3 employees, strengthening its sales and research and development structure. It is promoting employee retention and skill improvement through the development of personnel evaluation systems and the activation of internal communication, while also working to strengthen internal controls.
Last updated: April 27, 2026