ENVALITH
株式会社アイリックコーポレーション logo

IRRC Corporation

7325・Growth Market・Insurance

Official website
株式会社アイリックコーポレーション logo
IRRC Corporation7325

Business

iRIC Corporation operates three segments: the Insurance Sales Business, centered on 74 directly operated stores and 196 franchise stores of the walk-in insurance shop "Hoken Clinic®"; the Solutions Business, providing a SaaS platform (AS Series) and FC support for insurance agencies and financial institutions; and the Systems Business, centered on AI-OCR technology operated by its subsidiary Infodio. Founded in 1995, the company listed on the Tokyo Stock Exchange Mothers market (now the Growth Market) in 2018. It has agency service agreements with a combined 53 life and non-life insurance companies, and its main customer base consists of individuals, corporations, and financial institutions. Under the corporate theme "Connecting People and Insurance for the Future - Fintech Innovation -," the company is advancing its business as a platformer for insurance analysis and sales support.

Business Model

In the Insurance Sales Business, flow-type revenue derived from insurance commissions received from insurance companies is the mainstay. In the Solutions Business, stock-type revenue is secured through monthly recurring revenue (MRR) from the AS Series for agencies and financial institutions, as well as FC royalties. In the Systems Business, stable revenue is accumulated through the subscription/recurring model of Smart OCR®. The three businesses function in a mutually complementary manner, forming a cyclical model in which know-how cultivated through insurance sales is externally sold as SaaS.

Company Strengths

The in-house developed 'Hoken IQ System®' is the industry's only system capable of end-to-end processing from policy analysis and life plan creation to product comparison and application procedures. Its competitive advantage is underpinned by API integration with 16 insurance companies, 25 years of accumulated insurance data, and usability reflecting feedback from on-site sales agents. It is also already equipped with functionality supporting the revised Insurance Business Act.

In FY2025 (ended June 2025), the Solutions Business segment achieved a profit margin of 33.3% (net sales of ¥2,231 million, segment profit of ¥743 million). The number of AS Series IDs for agencies and financial institutions reached 6,784, with the total including insurance companies reaching 11,615 IDs. Segment profit grew 32.8% year on year, establishing a stock-type revenue base.

Infodio's Systems Business posted net sales of ¥1,368 million (up 45.1% year on year) and segment profit of ¥166 million (versus a segment loss of ¥13 million in the prior period) in FY2025 (ended June 2025), turning profitable. This was driven by an increase in new adoptions of Smart OCR® by government agencies, major corporations, and financial institutions, as well as the accumulation of subscription revenue.

ENVALITH's Perspective

For the cumulative third quarter of FY2026 (ending June 2026), the company achieved increased revenue and profit, with revenue of ¥8,100 million (up 19.4% year-on-year) and operating profit of ¥531 million (up 6.2% year-on-year). On the other hand, quarterly net income attributable to owners of parent decreased 3.1% year-on-year to ¥288 million. The main causes were the absence of extraordinary gains recorded in the same period of the previous year (gain on sale of fixed assets of ¥3,808 thousand and settlement money received of ¥11,318 thousand), combined with extraordinary losses of ¥25,207 thousand recorded in the current period, including a loss on valuation of investment securities of ¥9,899 thousand and a loss on cancellation of lease agreement of ¥13,702 thousand. On an ordinary profit basis, profit increased 6.0%, indicating that the earnings power of the core business has been maintained.

The full-year forecast remains unchanged, with revenue of ¥11,288 million (up 19.8% year-on-year), operating profit of ¥844 million (up 13.9% year-on-year), and net income of ¥507 million (up 16.4% year-on-year). The progress rate for the cumulative third quarter stood at 71.8% for revenue, 62.9% for operating profit, and 56.8% for net income. Q4 alone will require operating profit of ¥313 million, a pace that must significantly exceed the same period of the previous year (Q4 alone estimated at approximately ¥242 million). Continued strength in the number of store visits and contracts signed in the Hoken Clinic business, along with a recovery in MRR in the Solutions Business, will be key to achieving the full-year target.

As an external factor, the revised Insurance Business Act (scheduled to take effect on June 1, 2026) is expected to stimulate demand for system development among insurance agencies, providing a tailwind for new ID acquisition in the AS System series. On the other hand, segment profit in the Solutions Business decreased 25.1% year-on-year to ¥253 million, as upfront investment costs for product development are weighing on profit. In addition, in the Hoken Clinic business, costs increased 22.3% year-on-year due to higher personnel expenses and rent associated with the increase in the number of stores, as well as enhanced marketing expenses. Whether revenue growth can absorb this cost increase will be the focus for medium-term profitability improvement.

Growth Strategy

Under a three-year plan, the company is pursuing the establishment of vertical SaaS, expansion of the Hoken Clinic brand, and deeper AI utilization.

Directly operated stores were actively increased through business transfers and new openings (106 stores, up 19 from the end of the previous fiscal year). Continued web advertising and SNS initiatives featuring the Fujioka Family led to a 29.8% year-on-year increase in store visits and a 17.6% increase in contract conclusions. The company aims to maintain and expand its franchise network through enhanced web-based customer referrals to franchisees and new recruitment activities.

The number of IDs for agencies and financial institutions expanded to 7,124, and product value was enhanced through the release of the generative AI-powered "AS FiNDER" and other initiatives. New ID acquisition is being accelerated, aided by the tailwind of the amended Insurance Business Act taking effect in June 2026. A challenge remains as MRR from insurance companies declined 5.7% year on year, affected by the termination of a contract with one major client.

The effects of enhanced new hiring at subsidiary Life Assist became evident, and the FA Business achieved a turnaround to profitability with segment profit of ¥54 million for the cumulative nine months of FY2026 (ending June 2026) Q3 (compared with a loss of ¥28 million in the same period of the previous year). The company's own FA division also performed solidly, exceeding plan, achieving strong growth with net sales of ¥1,664 million (up 27.8% year on year).

Infodio steadily expanded license revenue and maintenance/operation revenue from Smart OCR, DenHo, and brox. Cumulative nine months net sales for Q3 of FY2026 (ending June 2026) reached ¥1,510 million (up 18.7% year on year), with segment profit of ¥140 million (up 7.4% year on year), maintaining a stable growth trajectory. The company continues to create synergies through deeper collaboration with in-house group development.

In light of the amended Insurance Business Act taking effect on June 1, 2026, the company is advancing appropriate complaint handling, greater transparency in solicitation operations, and strengthened compliance systems as key management priorities. By establishing a customer-oriented business operation framework, the company aims to simultaneously enhance its reliability as an insurance agency and capture demand for the AS series.

Last updated: July 17, 2026