adish Co., Ltd.

Business Details

The Customer Relations Business operated by the Adish Inc. group is a BPO service that provides a combination of customer success support (consulting and operations) and adoption support such as Internet Monitoring and School Guardian, mainly for internet-related industries including social media, SaaS, and the sharing economy. Major customers include Stripe Japan, Inc. (14.0% of net sales), and the business also offers multilingual support in more than 10 languages. The Group consists of this single segment only.

Recent Overview

In Q1 FY2026 (ending December 2026), net sales increased 7.6% and the company achieved a turnaround from operating loss to operating profit

In the first quarter of FY2026 (ending December 2026) (January to March 2026), net sales were ¥945 million (up 7.6% year on year), and operating profit was ¥10 million (compared with an operating loss of ¥18 million in the same quarter of the previous year), representing a substantial improvement in earnings. Gross profit expanded to ¥250 million (from ¥223 million in the same quarter of the previous year), while selling, general and administrative expenses remained roughly flat at ¥240 million (versus ¥242 million in the same quarter of the previous year). Although subsidy income, which had been ¥16 million in the same quarter of the previous year, shrank to ¥1 million in the current quarter, the improvement in core business profitability secured ordinary profit of ¥10 million and quarterly net income of ¥4 million. There has been no change to the full-year forecast (net sales of ¥4,100 million; operating profit of ¥70 million), with Q1 progress toward the net sales forecast at approximately 23%. As a subsequent event, a reduction in capital stock (from ¥99 million to ¥36 million) and a deficit offset using other capital surplus (¥22 million) took effect as of May 2, 2026. In addition, as of May 14, 2026, the company disposed of 26,880 shares of treasury stock (at ¥558 per share, totaling approximately ¥15 million) as restricted stock compensation for seven directors and executive officers.

Key Products

Growth Drivers

• Increasing demand for customer success support amid the continued expansion of the SaaS market (expected to grow from a scale of approximately ¥1.4 trillion in 2023 to approximately ¥2 trillion by 2026)
• Expanding demand for high-value-added services as SaaS becomes an "autonomous business execution platform" driven by the full-scale social implementation of generative AI
• Improved profitability through automation of over 80% of support operations and productivity gains achieved via AI-based customer support
• New growth engine emerging from demand for AI-driven decision support and personalization, in addition to back-office DX demand following the establishment of the Electronic Books Preservation Act and the invoice system
• Addressing diverse talent support needs in the SaaS market through a business alliance with CrowdWorks for freelance talent matching
• Turnaround to operating profit driven by containment of selling, general and administrative expenses (down approximately 1% year on year) and improved gross margin
• Improved financial soundness and greater flexibility in capital policy through the reduction of capital stock and deficit offset

Risks

• Impact on profitability from delayed recovery of human capital investments such as recruitment and training
• Revenue volatility risk arising from partial cancellations of large-scale social game contracts
• Intensifying competition to secure operator staff amid a declining working-age population
• High dependence on sales from a specific customer (Stripe Japan, Inc.) (14.0%)
• Risk of declining competitiveness due to delayed response to technological innovations such as AI and RPA
• Declining trend in sales of adoption support services (from ¥1,176 million to ¥1,116 million)
• Risk of reduced orders due to deteriorating business conditions among major customers (SaaS companies) amid geopolitical risk, yen depreciation, and rising prices
• Contraction in non-operating income due to the absence of subsidy income (¥16 million) that had been recorded in the same quarter of the previous year