GRID Inc.
5582・Growth Market・Information & Communication
AI Development Business (Single Segment)
Single-business company providing AI-based planning optimization services for social infrastructure
| Period | Current | Previous | Change |
|---|---|---|---|
| Sales (cumulative nine months) | ¥1,951 million | ¥1,515 million (cumulative nine months of prior fiscal year) | ↑ |
| Operating profit (cumulative nine months) | ¥310 million | ¥299 million (cumulative nine months of prior fiscal year) | ↑ |
| Operating margin (cumulative nine months) | 15.9% | 19.8% (cumulative nine months of prior fiscal year) | ↓ |
| Ordinary profit (cumulative nine months) | ¥317 million | ¥301 million (cumulative nine months of prior fiscal year) | ↑ |
| Quarterly net profit (cumulative nine months) | ¥207 million | ¥194 million (cumulative nine months of prior fiscal year) | ↑ |
| Sales (full-year forecast) | ¥3,100 million | ¥2,063 million (FY2025 (ended June 2025) actual) | ↑ |
| Operating profit (full-year forecast) | ¥450 million | ¥428 million (FY2025 (ended June 2025) actual) | ↑ |
| Quarterly net profit per share (cumulative nine months) | ¥43.70 | ¥41.04 (cumulative nine months of prior fiscal year) | ↑ |
| Equity ratio | 90.1% | 89.2% (end of FY2025 (ended June 2025)) | ↑ |
| Number of engineers (end of third quarter) | 89 | 79 (end of same quarter of prior fiscal year) | ↑ |
| Electric power field sales (cumulative nine months) | ¥1,041 million | ¥909 million (cumulative nine months of prior fiscal year, derived from a 14.5% year-on-year increase) | ↑ |
| Urban/transit field sales (cumulative nine months) | ¥351 million | ¥133 million (cumulative nine months of prior fiscal year, derived from a 164.1% year-on-year increase) | ↑ |
| Manufacturing/transportation field sales (cumulative nine months) | ¥340 million | ¥460 million (cumulative nine months of prior fiscal year, derived from a 26.1% year-on-year decrease) | ↓ |
| Energy management field sales (cumulative nine months) | ¥160 million | ¥0 million (no such business in the same period of prior fiscal year) | ↑ |
Business Details
The company provides planning optimization services using AI technology and mathematical optimization technology, primarily focused on four fields: electric power, manufacturing/transportation, urban/transit, and energy management. It handles everything from AI engine development to system implementation and operational support, adopting a composite revenue model combining flow-type (development) and stock-type (operation/support) revenues. Most customers are major companies such as electric power companies, logistics firms, and urban transit operators.
Recent Overview
Sales up 28.7%, but operating margin declined to 15.9% due to increased personnel costs
Sales for the cumulative nine months of FY2026 (ending June 2026) (July 2025 to March 2026) were ¥1,951 million (up 28.7% year-on-year). Due to additional orders from electric power companies and progress in full-scale implementation development, the electric power field accounted for over 50% of total sales. The urban/transit field expanded sharply, with railway company projects up 164.1%. The energy management field newly recorded ¥160 million, supported by eight power grid connection application support projects. On the other hand, aggressive hiring of engineers (89, up 25.4% year-on-year) and sales/administrative staff (44, up 33.3% year-on-year) increased personnel costs within cost of sales (¥656 million) and SG&A personnel costs (¥378 million), causing the operating margin to decline from 19.8% in the same period of the prior year to 15.9%. The full-year earnings forecast (sales of ¥3,100 million, operating profit of ¥450 million) remains unchanged, with progress proceeding as planned.
Key Products
Growth Drivers
- Acceleration of additional orders and full-scale implementation development from electric power companies (cumulative nine months: electric power field ¥1,041 million, up 14.5% year-on-year, accounting for over 50% of total sales)
- Rapid expansion of railway company projects in the urban/transit field (cumulative nine months ¥351 million, up 164.1% year-on-year)
- New launch of the energy management field (cumulative nine months ¥160 million, eight power grid connection application support projects)
- Continued orders through upselling and cross-selling to existing customers (existing customer sales ratio of 83.4% in FY2025 (ended June 2025))
- Increased power demand due to new and expanded data centers and semiconductor plants driven by the spread of generative AI (projected increase of 56.8 billion kWh by FY2035)
- Strengthening of development and sales structure through active hiring of engineers and sales personnel (89 engineers and 44 sales/administrative staff at the end of the third quarter)
- Steady accumulation of stock-type sales (electric power field stock-type sales ¥172 million, up 36.0% year-on-year; manufacturing/transportation field ¥234 million, up 20.1%; urban/transit field ¥93 million, up 83.8%)
Risks
- Risk of sales concentration in specific customers (in FY2025 (ended June 2025), sales to Hokkaido Electric Power Company accounted for 26.7% of total sales)
- Risk of project delays in flow-type sales (flow-type sales in the manufacturing/transportation field declined sharply by 60.1% year-on-year)
- Risk of talent acquisition difficulties due to intensifying competition for excellent AI engineers and data scientists
- Risk of declining profit margin due to increased personnel expenses (operating margin for cumulative nine months was 15.9%, down from 19.8% in the same period of the prior year)
- Risk of uncertainty in total man-hour estimates used in progress-based revenue recognition (risk of changes in progress due to specification changes or delivery date changes)
- Risk of changes in estimates related to the recoverability of deferred tax assets (increased tax burden following the resolution of carried-forward losses)
- Risk of technological obsolescence and risk of competitive entry due to the rapid evolution of AI technology
- Uncertainty regarding the acquisition of new flow-type projects following the transition of vessel allocation planning to maintenance in the manufacturing/transportation field
Last updated: September 25, 2025