CHANGE Holdings, Inc. is revising its Mid-term Business Plan (DJ2) due to a fiscal year-end change, focusing on digitalizing Japan to improve productivity and develop digital human resources.
02
The company's FY2023 financial results show increased expenses due to upfront investments in M&A preparation, HR, and taxes related to capital increases, as well as costs for shifting to a holding company structure.
03
Operating profit for FY2023 was 5,730 million yen, with a significant H2 weighting (97.6%), and the target for FY2024 is 11,000 million yen, also heavily H2-weighted (95.4%).
04
The Govmates project, initially planned for commissioned SI delivery, is shifting to a recurring usage fee model with partial in-house system development and retained IP rights, aiming for greater profitability.
05
The investment portfolio saw a total 12-month gain of 162,046 thousand yen, with significant gains from Port (+281,210 thousand yen) and Head Waters (+105,616 thousand yen), but a substantial loss from Writeup (-203,674 thousand yen).
06
The company is discontinuing its pure investment business to focus on investments that generate business synergy, following market volatility in this segment.
07
Paid services for local government DX solutions like LoGo Chat and LoGo Form are progressing, with LoGo Chat having 531 local governments using paid service and LoGo Form having 369 as of May 8.
Insights
01
CHANGE Holdings, Inc. is revising its Mid-term Business Plan (DJ2) due to a fiscal year-end change, focusing on digitalizing Japan to improve productivity and develop digital human resources.
02
The company's FY2023 financial results show increased expenses due to upfront investments in M&A preparation, HR, and taxes related to capital increases, as well as costs for shifting to a holding company structure.
03
Operating profit for FY2023 was 5,730 million yen, with a significant H2 weighting (97.6%), and the target for FY2024 is 11,000 million yen, also heavily H2-weighted (95.4%).
04
The Govmates project, initially planned for commissioned SI delivery, is shifting to a recurring usage fee model with partial in-house system development and retained IP rights, aiming for greater profitability.
05
The investment portfolio saw a total 12-month gain of 162,046 thousand yen, with significant gains from Port (+281,210 thousand yen) and Head Waters (+105,616 thousand yen), but a substantial loss from Writeup (-203,674 thousand yen).
06
The company is discontinuing its pure investment business to focus on investments that generate business synergy, following market volatility in this segment.
07
Paid services for local government DX solutions like LoGo Chat and LoGo Form are progressing, with LoGo Chat having 531 local governments using paid service and LoGo Form having 369 as of May 8.