CAC Holdings Corporation
4725・Prime Market・Information & Communication
Business
CAC Holdings Corporation is a pure holding company for an independent IT services group founded in 1966. It comprises 22 consolidated subsidiaries and 4 equity-method affiliates, operating across two segments: Domestic IT (approximately 74% of group sales) and Overseas IT (approximately 26%). Domestically, centered on CAC Corporation and ARK System Corporation, it provides System Construction Services, System Operation & Management Services, and HR BPO Services. Overseas, it provides System Construction, Operation, and Maintenance Services through subsidiaries in the United States, the United Kingdom, China, India (Inspirisys Solutions Limited), and Indonesia (PT Mitrais), among others. Its main customer base spans the financial, manufacturing, and information & telecommunications industries, and it is listed on the Prime Market of the Tokyo Stock Exchange.
Business Model
The main revenue source is contracted services for client companies covering System Construction Services, System Operation & Management Services, and BPO. Long-term, continuous client relationships and industry-specific operational know-how serve as the source of competitive advantage. In recent years, the company has been expanding its digital products and services (achieving sales of over ¥8,000 million in Phase 1) to shift its revenue structure away from dependence on contracted services. Fund procurement is primarily sourced from operating cash flow, supplemented as needed by borrowings from financial institutions and other means.
Company Strengths
Since its founding in 1966, the company has built long-term customer relationships centered on the financial, manufacturing, and information & communications industries. In FY2025 (ending December 2025), sales to the financial sector reached ¥17,896 million and sales to the manufacturing sector reached ¥8,814 million, with deep specialization in specific industries forming a stable order base.
The company has overseas subsidiaries in the United States, United Kingdom, China, India, and Indonesia, with Overseas IT sales of ¥13,306 million (up 4.5% year on year). Growth at the Indian subsidiary Inspirisys Solutions Limited is driving increased revenue and profit in the overseas segment.
In Phase 1 (2022–2025) of CAC Vision 2030, sales of digital products & services greatly exceeded the target of ¥5.0 billion, achieving over ¥8.0 billion. This has established a foundation for business growth heading into Phase 2.
ENVALITH's Perspective
Performance Trend
Over the past five fiscal years, revenue has fluctuated in a range of ¥47,935 million to ¥52,063 million, with FY2025 (ended December 2025) revenue declining year on year to ¥50,588 million. Operating profit, which peaked at ¥3,697 million in FY2021 (ended December 2021), has continued on a downward trend, falling to ¥2,580 million in FY2025 (ended December 2025). In Q1 FY2026, revenue rose slightly to ¥13,583 million (up 2.8% year on year), but profitability continued to deteriorate, with operating profit of ¥863 million (down 8.9% year on year) and adjusted EBITDA of ¥1,156 million (down 7.0% year on year). Net income attributable to owners of the parent of ¥370 million (up 696.0% year on year) was largely driven by a special factor—gains on the sale of cross-shareholdings (¥190 million). The full-year forecast remains unchanged at revenue of ¥51,500 million (up 1.8% year on year) and adjusted EBITDA of ¥3,850 million (up 1.0% year on year), with Q1 progress rates of 26.4% for revenue and 30.0% for adjusted EBITDA, broadly in line with the plan.
Growth Strategy
Transform the business portfolio in Phase2 through AI Transformation, accelerated M&A, and new business creation
Strengthening proprietary assets in the AI and data utilization domain and expanding industry-specific solutions. Positioning the sophistication of customer companies' AI utilization needs and the progress of insourcing as medium- to long-term growth opportunities, the company aims to transform its revenue structure away from conventional IT services.
In the first quarter of FY2026 (ending March 2026), JEMS Co., Ltd. was newly consolidated (goodwill of ¥1,903 million arose), continuing the execution of the M&A strategy. The earnings contribution from the two subsidiaries acquired via M&A in the previous fiscal year also continues, contributing to the diversification of business areas and strengthening of the revenue base within the Domestic IT segment.
Revenue continued double-digit growth, up 11.4% year-on-year, driven mainly by the Indian subsidiary. Orders received expanded significantly, up 26.7% year-on-year to ¥5,626 million, and the order backlog also increased to ¥9,854 million (up 8.4% year-on-year). However, improving the decline in profit margin (adjusted EBITDA margin fell from 15.4% to 12.3%) associated with increased hardware sales remains a challenge.
The company executed sales of cross-shareholdings, recording a gain on sale of investment securities of ¥190 million in the first quarter of FY2026 (ending March 2026). The balance of investment securities decreased from ¥15,812 million to ¥14,502 million. The company continues its policy of achieving both improved capital efficiency and shareholder returns (maintaining an annual dividend of ¥100).
Last updated: July 17, 2026