EXTREME CO.,LTD.

Business Details

Regularly employed staff (creators and engineers) with programming, graphic, and other development skills work on-site at client companies, providing technical services under worker dispatch and contract-based service agreements. A key feature is that the company dispatches regularly employed staff rather than temp-registry staff, ensuring a certain level of quality through in-house training and education. The business continues to capture robust demand centered on IT companies and web service providers, with both the number of active projects and revenue continuing on an expansionary trend.

Recent Overview

The number of active projects expanded to 10,339, with both revenue and profit achieving double-digit growth.

In FY2026 (ending March 2026), demand for technical solutions from IT companies and web service providers remained robust, and the number of active projects expanded to 10,339, an increase of 958 from the prior period. Revenue reached ¥7,237 million (up 12.6% year on year), and segment profit reached ¥974 million (up 21.9% year on year), achieving simultaneous growth in revenue and profit. The profit margin also improved from 12.4% to 13.5%, realizing both scale expansion and improved profitability at the same time.

Key Products

Growth Drivers

• Continued robust demand for technical solutions centered on IT companies and web service providers
• Expansion into non-entertainment industries (web services, corporate DX, UI/UX, etc.)
• Steady increase in the number of active projects (up 958 year on year to 10,339)
• Continued rise in utilization rates against a backdrop of IT talent shortages in the market environment
• Differentiation of personnel quality through the regular employment model and in-house training system
• Ongoing efforts to develop new clients and secure and train personnel

Risks

• Intensifying competition for hiring due to a shortage of IT engineers, and increasing reliance on external partner companies (a factor reducing profitability per project)
• Risk of difficulty in winning orders due to the continued challenging market environment in the entertainment industry
• Challenges in technical knowledge sharing and communication among employees stemming from the on-site staffing format at client companies
• Structural decline in segment profit margin due to an increase in projects staffed through partner companies
• Risk of reduced IT investment by client companies in the event of a deteriorating economic outlook
• Risk of slowing growth in the number of active projects due to a rising employee turnover rate