TAKARA & COMPANY LTD.

Business Details

Comprised of four product categories: Financial Instruments and Exchange Act-Related Products (securities reports, prospectuses, etc.), Companies Act-Related Products (notices of convocation of shareholders meetings, etc.), IR-Related Products (integrated reports, business reports, etc.), and Others (timely disclosure support, etc.). Centered on Takara Printing Co., Ltd., group companies including Task Co., Ltd. (IPO consulting), Three C Consulting Co., Ltd. (software development), and J-Trust Co., Ltd. (financial instruments disclosure) collaborate to provide one-stop support for information disclosure by listed companies. Revenue accounts for approximately 73% of consolidated revenue, making this the core segment.

Recent Overview

Revenue and assets expanded significantly due to the consolidation effect of J-Trust and the acquisition of an office building

In FY2026 (ending May 2026), segment revenue was ¥22,851 million (up 5.0% year on year) and segment profit was ¥3,786 million (up 12.6% year on year), achieving both revenue and profit growth. The consolidation of J-Trust Co., Ltd. boosted revenue from Financial Instruments and Exchange Act-Related Products (up 9.8% year on year). Additionally, tangible fixed assets increased substantially due to the acquisition of an office building, among other factors, expanding segment assets to ¥27,216 million (up 23.7% year on year). Business process outsourcing through RPA reached over 50,000 hours annually, with productivity improvements contributing to improved profit margins.

Key Products

Growth Drivers

• Increase in the number of client companies using the integrated business report system "WizLabo" and functional expansion (full-scale AI implementation and enhanced data collection capabilities)
• Expansion of IR support and translation demand driven by the mandatory simultaneous Japanese-English disclosure of financial results and timely disclosure information for Prime Market-listed companies
• Increased demand for integrated report and sustainability information disclosure against the backdrop of expanding ESG investment
• Expansion of financial instruments disclosure support services through the consolidation of J-Trust Co., Ltd.
• Functional enhancement and sales expansion of digitalized products in response to the progress of digitalization in shareholders meeting processes (the "Net de" series, WizLabo SR.QA, video distribution, etc.)
• Productivity improvement through business automation via RPA (outsourcing over 50,000 hours of work annually)
• Business expansion through an ROIC-focused M&A growth strategy under the Medium-Term Management Plan 2029

Risks

• Downward pressure on profit margins due to increases in manufacturing costs, personnel expenses, and other costs
• Seasonal fluctuation risk associated with the concentration of client fiscal year-ends (March), resulting in revenue concentration in the first and fourth quarters
• Shift in the timing of revenue recognition between quarters due to the trend toward earlier disclosure of notices of convocation of shareholders meetings
• Risk of increased costs to respond to the enhancement of EDINET, expanded IFRS adoption, and changes to disclosure systems
• Instability in the domestic stock market due to geopolitical risks such as U.S. tariff policy and the Middle East situation (indirect impact on disclosure demand)
• Risk of substitution of disclosure document preparation work due to advances in AI technology, and increased burden of system investment
• Cash flow pressure risk associated with large-scale capital expenditures such as office building acquisitions (capital expenditures of ¥3,966 million in FY2026, ending May 2026)