HPC SYSTEMS Inc.
6597・Growth Market・Electric Appliances
Business
HPC Systems Inc. upholds the management philosophy of "contributing to world peace through the power of people and computing," and operates two businesses: the HPC Business and the CTO Business. In the HPC Business, the company provides a one-stop service for universities, public research institutions, and corporate R&D centers, ranging from the sale of scientific and technical computing systems to software development, contract computing, and support. In the CTO Business, the company manufactures custom-specification industrial computers on an integrated basis at its domestic factory in Sosa City, Chiba Prefecture, supplying a wide range of industrial fields including manufacturing equipment, medical devices, and infrastructure monitoring and control. The company effectively commenced operations in 2006 and listed on the Tokyo Stock Exchange Mothers market (now the Growth Market) in 2019. Consolidated net sales for FY2025 (ended June 2025) were ¥7,064 million.
Business Model
The HPC Business creates added value through one-stop provision combining hardware sales, software licensing, contract computing, technical support, and cloud services. The CTO Business secures long-term recurring orders through an integrated system covering design, prototyping, mass production, and maintenance based on customer specifications. Combined, the two businesses achieved net sales of ¥7,064 million and operating profit of ¥636 million (operating margin of 9.0%). Under the proprietary strategy "S3 as a Service," the three services—System, Science, and Cloud—are combined to solve customer challenges.
Company Strengths
The company possesses HPC System Integration capabilities specialized in the field of computational chemistry (life science and materials science). Through long-standing relationships built with university research laboratories, public research institutions, and corporate R&D centers, it serves a hub function connecting the public and private sectors. In 2017, the supercomputer "kukai" built for Yahoo achieved 2nd place worldwide in the GREEN500 ranking.
The company conducts design, prototyping, mass production, inspection, and maintenance on an integrated basis at its domestic plant in Sosa City, Chiba Prefecture. Through its proprietarily developed Production Support System "ProMIS," it thoroughly manages traceability and accommodates factory audits by the quality control departments of customer manufacturers. The business structure allows for continuous order intake throughout the sales period of customers' products, and CTO Business order intake for FY2025 (ended June 2025) reached ¥2,729 million, up 28.4% year on year.
In FY2025 (ended June 2025), despite a 3.4% year-on-year decline in revenue, the HPC Business achieved segment profit of ¥460 million, up 33.1% year on year, through thorough profitability management for each project and control of selling, general and administrative expenses. The CTO Business also saw a significant improvement in segment profit, up 118.7% year on year to ¥177 million, and consolidated operating profit recorded ¥636 million, up 49.4% year on year.
ENVALITH's Perspective
Performance Trend
For the nine months ended FY2026 (ending March 2026)... [Note: source period appears to be the fiscal year ending June] cumulative revenue was ¥6,375 million (up 13.6% year on year), operating profit was ¥691 million (up 16.6%), ordinary profit was ¥740 million (up 24.9%), and quarterly net income attributable to owners of the parent was ¥504 million (up 28.0%), achieving double-digit growth across all metrics. Compared to the trend over the past five fiscal years (FY2021 revenue of ¥5,828 million → FY2025 revenue of ¥7,064 million), profitability has steadily recovered and improved following the adjustment period after the concentration of large-scale projects in FY2023. As an external factor, foreign exchange gains from the continued yen depreciation (cumulative ¥47 million) boosted ordinary profit, while negative factors such as rising import costs and surging memory prices also existed. Full-year guidance (revenue of ¥7,800 million, operating profit of ¥705 million) has been left unchanged, and attention is focused on the potential for an upside surprise in the fourth quarter.
Growth Strategy
Sustainable growth through AI/DX demand capture, strengthening of overseas software licensing, and the Human Capital Grand Design
Moving away from a domestic-market-centered business model, the company is promoting the strengthening of its overseas business foundation. Service revenue transferred over a certain period within the HPC Business (cumulative ¥92 million) continues to accumulate, contributing to revenue stabilization and diversification.
The HPC Business and CTO Business have each designated R&D DX and manufacturing/non-manufacturing DX as strategic fields, generating synergies between business divisions. The CTO Business has grown rapidly, up +28.5% year on year, reflecting progress in capturing manufacturing DX demand.
From the third quarter of the current fiscal period, the company introduced a stock benefit trust for officers (50,000 shares, ¥95 million) and for employees (210,000 shares, ¥399 million). This is intended to raise motivation to contribute to medium- to long-term performance improvement and enhancement of corporate value, and to link this with the enrichment of technical personnel based on the Human Capital Grand Design.
The company has introduced an executive officer system aimed at accelerating business execution and developing next-generation management leaders. This is positioned as part of a review of the management structure to achieve sustainable growth, and also contributes to reducing risks associated with dependence on the Representative Director.
Last updated: July 17, 2026