NSD CO.,LTD.
9759・Prime Market・Information & Communication
System Development Business (Financial IT)
NSD's core segment handling software development for banks, insurance companies, and securities firms
| Period | Current | Previous | Change |
|---|---|---|---|
| Net sales (FY2026 (ending March 2026) full year) | ¥35,073 million | ¥32,487 million | ↑ |
| Operating profit (FY2026 (ending March 2026) full year) | ¥6,774 million | ¥6,326 million | ↑ |
| Operating margin (FY2026 (ending March 2026) full year) | 19.3% | 19.5% | ↓ |
| Order backlog (end of FY2026 (ending March 2026)) | ¥14,023 million | ¥10,669 million | ↑ |
Business Details
Provides software development and system consulting services to financial institutions such as banks, insurance companies, and securities firms. Key affiliated companies include NSD itself, NSD-DX Technology Co., Ltd. (renamed NSD AI Technology Co., Ltd. from April 2026), Art Holdings Co., Ltd. (dissolved via absorption-type merger in April 2026), NSD International, Inc., and Chengdu Renben Xindong Technology Co., Ltd. Revenue has been driven by core banking system replacement projects centered on major banks and the expansion of existing projects, making this the largest segment, accounting for approximately 30% of the NSD Group's total net sales.
Recent Overview
Achieved 8.0% year-on-year sales growth driven by core banking system replacements at major banks and expansion of existing projects
In FY2026 (ending March 2026), despite the wind-down of a large insurance company project, orders from major banks grew significantly due to core banking system replacement projects and the expansion of existing projects, resulting in net sales of ¥35,073 million (up 8.0% year on year) and operating profit of ¥6,774 million (up 7.1% year on year). Remaining performance obligations (order backlog) at period-end stood at ¥14,023 million, up 31.4% from the prior year-end, expanding the revenue base for the next period and beyond.
Key Products
Growth Drivers
- Continued expansion of core banking system replacement projects and existing projects at major banks
- Favorable order environment amid expanding DX investment by financial institutions
- Growth in demand for cloud-based DX-related system development
- Enhanced added value in the DX/AI field through collaboration with group companies such as NSD AI Technology Co., Ltd. (formerly NSD-DX Technology Co., Ltd.)
- Improved visibility of next-period revenue due to remaining performance obligations of ¥14,023 million at period-end (up 31.4% year on year)
Risks
- Risk of dependence on specific customers/projects, such as the wind-down of a large insurance company project
- Risk of margin deterioration due to occurrence of unprofitable projects (cost estimation errors in contract-based agreements)
- Risk of fluctuations in financial institutions' IT investment restraint or core system replacement cycles
- Risk of rising personnel acquisition costs due to engineer shortages
- Impact of US trade policy and financial/capital market volatility on customers' IT investment plans
Last updated: June 22, 2026