DM Solutions Co.,Ltd

Business Details

Provides a one-stop service covering planning, design, printing, enclosing/sealing, and delivery of direct mail, as well as a fulfillment service handling product storage, order processing, and shipping on behalf of e-commerce operators. Proposal-based sales leveraging the scale advantages of postal and parcel delivery, combined with enhanced online ordering for the sending agency service, drove steady order intake from both new and existing customers. In FY2026 (ending March 2026), new customer acquisition and expanded orders from existing customers drove substantial increases in both revenue and profit.

Recent Overview

Achieved substantial growth with revenue up 24.5% and segment profit up 44.9%.

In FY2026 (ending March 2026), the Direct Mail Business achieved revenue of ¥23,165 million (up 24.5% year on year) and segment profit of ¥1,526 million (up 44.9% year on year), a substantial increase in both revenue and profit. The main drivers were steady progress in new customer acquisition and firm order intake from existing customers. In June, the company opened the Hachioji No. 6 Fulfillment Center, continuing to strengthen its service delivery framework to capture e-commerce demand. In addition, during the period the company acquired Performance Technologies Co., Ltd. and Originator Co., Ltd. as newly consolidated subsidiaries, carrying out M&A aimed at business expansion.

Key Products

Growth Drivers

• Increasing demand for fulfillment services amid the expansion of the e-commerce market (parcel delivery volume has remained at approximately 5 billion pieces annually)
• Expansion of processing capacity through the opening of new fulfillment centers (e.g., Hachioji No. 6 Fulfillment Center)
• New customer acquisition and operational efficiency gains through enhanced online ordering for the sending agency service
• Expansion of orders from existing customers through active proposal-based sales
• Expansion of business areas and customer base through M&A (newly consolidated Performance Technologies Co., Ltd. and Originator Co., Ltd.)

Risks

• Risk of market contraction due to the shrinking trend in domestic direct mail advertising spending
• Risk of increased fixed costs from upfront investment such as the establishment of new fulfillment centers
• Risk of information leakage associated with handling large volumes of personal information (addressed through Privacy Mark certification)
• Cost pressure from rising raw material and energy prices
• Increased costs for hiring and training personnel (continuing active recruitment)