ENVALITH
株式会社ジャストシステム logo

JUSTSYSTEMS CORPORATION

4686・Prime Market・Information & Communication

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株式会社ジャストシステム logo
JUSTSYSTEMS CORPORATION4686

Business

JUSTSYSTEMS CORPORATION is a domestic software company founded in 1979. For individuals, it offers the correspondence education service "Smile Zemi" (for preschool through high school students, covering all 16 grade levels), the Japanese input system "ATOK Passport," and the word processing software "Ichitaro," among others. For businesses, it provides the no-code cloud database "JUST.DB," the sales support tool "JUST.SFA," the BI solution "Actionista!," and the learning cloud service for the education market "Just Smile," among others. The company operates in a single segment (Software-Related Business), with net sales of ¥51,515 million for FY2026 (ending March 2026). With natural language processing, knowledge processing, and search technology as its core technologies, the company centers its value proposition on improving individuals' lives and enhancing corporate productivity and competitiveness.

Business Model

Subscription-based stock business accounts for 71.4% of net sales (¥36,776 million), forming a stable revenue base through reduced churn rates. For individuals, this centers on monthly-billed correspondence education and cloud services, while for corporate clients it centers on SaaS-type cloud solutions. Leveraging a financial foundation of zero interest-bearing debt and an equity ratio of 87.0%, the company maintains a high-profitability, high-cash-generation model that funds software development investment (¥2,954 million in intangible fixed asset acquisitions) from internal funds.

Company Strengths

In FY2026 (ending March 2026), subscription-type stock business net sales were ¥36,776 million (up 10.4% year on year), accounting for 71.4% of total company net sales. The recurring revenue model enhances revenue stability and predictability, achieving an earnings structure that is less susceptible to economic fluctuations.

As of the end of FY2026 (ending March 2026), interest-bearing debt was zero, cash and cash equivalents stood at ¥64,901 million, and the equity ratio was 87.0%. Operating cash flow generated ¥19,626 million, giving the company the financial flexibility to actively pursue development investment and M&A without relying on external fundraising.

The company offers products for both individual customers (Smile Zemi, ATOK Passport, Ichitaro, etc.) and corporate customers (JUST.DB, JUST.SFA, Actionista!, JUST Smile, etc.), diversifying reliance on any specific customer segment. In FY2026 (ending March 2026), the company achieved growth on both fronts, with net sales of ¥33,173 million from individual customers and ¥18,342 million from corporate customers.

ENVALITH's Perspective

In FY2026 (ending March 2026), the corporate business achieved high growth of ¥18,342 million (up 34.8% year on year), significantly outpacing the consumer business (up 7.2% year on year) and driving overall company performance. The strong growth in the corporate business also contributed to an improved sales mix, with the operating margin improving 3.2 percentage points from 40.5% in the previous fiscal year to 43.7%. While corporate demand for DX investment served as a tailwind in the external environment, the competitiveness of the company's own no-code tools and cloud services is judged to be the primary factor in capturing this demand.

In FY2026 (ending March 2026), the company recorded total extraordinary losses of ¥1,289 million, including a ¥935 million software valuation loss and ¥328 million in head office relocation expenses, yet ordinary income reached ¥23,101 million (up 27.2% year on year), demonstrating strong underlying earnings power. The extraordinary losses are largely one-off in nature, and their impact on earnings from the following fiscal year onward is expected to be limited. On the other hand, advertising expenses expanded to ¥11,086 million (up 16.5% year on year), outpacing the rate of sales growth, making the efficiency of customer acquisition investment and its future contribution to earnings a point of attention.

The company continues to withhold disclosure of its consolidated earnings forecast for FY2027 (ending March 2027), citing that a reasonable calculation is difficult. This is attributed to the tendency for the business environment in the IT industry to fluctuate significantly in the short term, leaving investors in a continued difficult position to gauge future performance. However, the company has disclosed an annual dividend forecast of ¥30 for FY2027 (ending March 2027), an increase from ¥27 in FY2026 (ending March 2026), which, combined with its management policy aiming for "continuous growth in revenue and profit," suggests a degree of confidence in its business performance.

Growth Strategy

Continued increases in revenue and profit driven by AI integration, capture of corporate DX demand, and expansion of the stock (subscription) business

Introducing the AI feature "Coachez" into the individual-focused correspondence education service "Smile Zemi" to enhance learning outcomes and improve customer satisfaction. The company is also expanding the range of grade levels offered in its U.S. service to broaden its customer base in overseas markets. This initiative is positioned as a measure to sustain and accelerate the 7.2% year-on-year growth achieved in the individual-focused business.

Integrating generative AI into the no-code DX tool "JUST.DB" to capture corporate demand for DX promotion. The corporate business achieved ¥18,342 million in FY2026 (ending March 2026), up 34.8% year on year, and the company aims to further accelerate growth by enhancing added value through AI integration.

Expanding subscription-based stock business revenue and maintaining/improving its share of total company revenue (71.4% in FY2026, ending March 2026). Stock business revenue reached ¥36,776 million in FY2026 (ending March 2026), up 10.4% year on year, and the company will continue to strengthen its stable revenue base.

Placing emphasis on the continuous growth of "operating profit per employee" as a key management indicator, balancing improved customer satisfaction through enhanced functionality of existing products with expansion of the customer base through development of new products and services. The operating profit margin of 43.7% in FY2026 (ending March 2026) (up from 40.5% in the previous fiscal year) reflects the results of this policy.

Last updated: July 19, 2026