ENVALITH
株式会社eWeLL logo

eWeLL Co.,Ltd.

5038・Growth Market・Information & Communication

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株式会社eWeLL logo
eWeLL Co.,Ltd.5038

Business

eWeLL Co., Ltd. was established in 2012 and provides iBow, a cloud-based electronic medical record system offered on a subscription basis, to support the overall operations of home-visit nursing stations. Its main customers are home-visit nursing operators among the 18,754 stations nationwide (as of April 2025); as of the end of December 2025, the number of contracted stations reached 3,501, representing an 18.7% market share. In addition to its cloud services (SaaS), the company also offers iBow Administrative Outsourcing Service (BPaaS), which fully outsources receipt (insurance claim) processing. By incorporating generative AI-powered features such as AI Home-Visit Nursing Plan, AI Home-Visit Nursing Report, and AI Visit Route Scheduling, the company drives DX in home healthcare settings.

Business Model

The core service iBow is a subscription model combining a monthly base fee of ¥18,000 with usage-based billing of ¥100 per visit. It has a win-win structure in which increases in customers' visit volumes directly translate into increased revenue for the company. BPaaS charges a fixed percentage of customers' total sales (with a minimum usage fee of ¥100,000). The low churn rate (0.17% for full-year 2025) enables stable accumulation of existing revenue, while new customer acquisition and unit price increases driven by AI functionality (average monthly unit price of ¥88.8 thousand in 4Q 2025) are accelerating revenue growth.

Company Strengths

For FY2025 (ending December 2025), the company achieved operating profit of ¥1,537 million on sales of ¥3,392 million, an operating margin of 45.3%. The subscription-based revenue structure combined with a low churn rate (0.17% for the full year) allows incremental sales growth to convert into profit at a high ratio. Operating profit expanded from ¥693 million in FY2022 to ¥1,537 million in FY2025, a 2.2x increase over four years.

As of the end of December 2025, the number of contracted stations stood at 3,501 (up 15.6% year on year), and market share continued to expand from 16.4% (December 2023) to 17.5% (December 2024) and 18.7% (December 2025). The monthly average churn rate remained extremely low at 0.17% for the full year, with high customer retention forming a stable revenue base.

The average monthly unit price rose steadily, from ¥76.3 thousand in Q4 2023 to ¥81.3 thousand in Q4 2024 and ¥88.8 thousand in Q4 2025. The expansion of features—AI Home-Visit Nursing Care Plan (launched April 2024), AI Home-Visit Nursing Report (launched October 2024), and AI Visit Scheduling and Routing (launched August 2025)—has driven the increase in unit price, enabling the company to capture additional revenue from existing customers.

ENVALITH's Perspective

Cumulative revenue for Q1 FY2026 grew 26.5% year-on-year, maintaining high growth, while operating profit growth was limited to 15.3% year-on-year, a significant slowdown from the same period last year (up 61.0% year-on-year). Cost of sales increased approximately 59% from ¥150 million in the same period last year to ¥238 million, suggesting that cost increases associated with BPaaS expansion and rising personnel expenses are pressuring profit margins. The full-year forecast operating profit margin of 45.1% (¥1,927 million / ¥4,277 million) is broadly consistent with the Q1 actual of 45.5%, but cost trends in the second half warrant continued monitoring.

The FY2026 (ending March 2026) full-year forecast remains unchanged at revenue of ¥4,277 million (up 26.1% year-on-year) and operating profit of ¥1,927 million (up 25.4% year-on-year). The Q1 progress rate was 22.3% for revenue and 22.5% for operating profit, slightly below the one-quarter (25%) benchmark for the full year, but broadly in line with the plan when seasonality is taken into account. While external factors such as price inflation and rising personnel costs are pushing up business operating costs, the tailwind of expanding DX demand in the medical and nursing care sectors continues, and downside risk on the demand side appears limited.

While the concentration on the Service Provision Business for Home-Visit Nursing Stations (Single Segment) is a source of growth, it also carries inherent risks related to regulatory changes and business volatility in the event of intensified competition. On the other hand, the company is actively enhancing shareholder returns, having acquired 135,100 shares of treasury stock (¥289 million) in Q1 FY2026 and raised its annual dividend forecast for FY2026 (ending March 2026) to ¥21.00 (a 31.3% increase from ¥16.00 in the previous fiscal year). As a subsequent event, in May 2026 the company resolved to issue new shares as restricted stock compensation (19,964 shares, ¥42 million), advancing incentive design for officers and employees.

Growth Strategy

Evolving into a platform provider for the home-visit nursing market through iBow share expansion, BPaaS enhancement, and deepening of AI functionality

Building up the number of contracted stations through new customer acquisition and maintenance of a low churn rate. As of the end of 1Q FY2026, the number reached 3,633 (up 132 from the end of the previous fiscal year), expanding steadily. The company aims to expand its market share alongside growth in the overall home-visit nursing station market.

Following AI-based home-visit nursing plans, reports, and visit scheduling routes, a new management analysis function began to be offered in 1Q FY2026. By expanding functionality from on-site operational efficiency to management decision support, the company aims to raise the average monthly unit price and strengthen customer engagement.

Cumulative BPaaS administrative outsourcing sales for 1Q FY2026 totaled ¥130 million. By combining this with cloud services, the company supports customers' overall operations, driving customer retention and revenue diversification. This captures the need for operational efficiency improvement amid rising labor costs.

The annual dividend forecast for FY2026 (ending March 2026) is set at ¥21.00 per share (a 31.3% increase from ¥16.00 in the previous fiscal year). In 1Q FY2026, the company acquired 135,100 treasury shares (¥289 million), among other measures, implementing active shareholder returns linked to profit growth.

Last updated: July 17, 2026