■Growth Strategy

1. Outline of the new medium-term management plan

Bridge International (7039) disclosed “matters relating to business plans and growth potential” on 2024/2/26, and announced on 5/27 of the same year that it had formulated a three-year medium-term management plan (hereinafter referred to as the new mid-term plan) from the 2024/12 fiscal year to the 2026/12 fiscal year. The company positions this period as an important investment period for significant future growth, and aims to maximize corporate value, and will focus on the three strategies of “increasing sales and maintaining stable profit levels,” “strategic M&A,” and “strengthening shareholder returns.” As a business operator that provides end to end services that support reforms aimed at B2B enterprise growth, it contributes to sales improvement and customer experience improvement of B2B companies by promoting and establishing digital utilization and realizing integration of revenue processes and operations. This will be the group's growth policy, and the plan will be achieved.

The following two business domains were set up in the new medium-term management plan, and strategies were specified for each.

(1) Constructing, implementing, and establishing a sales growth model that realizes customer growth strategies

When formulating growth strategies, the following 4 points were raised as issues for target B2B companies.

・Organizations are siloed (lack of cooperation between departments) in the process of finding prospects and expanding to existing customers, and the sales expansion process is divided

・Technology is unable to respond to market changes due to stagnant collaboration between the information systems division and the business sector

・We select and build applications that hinder data-driven decision-making, the use of AI, and workflow automation

・Establishing sales methods and pursuing skill enhancement using digital channels

The company defines four priority measures for B2B companies facing these issues, and by promoting the construction, execution, and retention of sales growth models, it realizes growth strategies for client companies and contributes to sustainable sales expansion. The four focus measures are “integration and execution of end-to-end processes/KPIs,” “integration of operations for digital utilization,” “technology selection/construction that can effectively utilize data,” and “enablement construction that utilizes digital and practices sales expansion.” Thus, customer revenue process operations are reformed and contributed to the growth of client companies.

(2) Promote digital democratization that can respond to changes in the market and customers

The company listed the following 3 points as issues for B2B companies with regard to digital democratization*.

・Improving technical skills in the business sector: Develop the ability for business department staff to implement technical solutions themselves

・Raising awareness of the technical department's contribution to business: the technical department understands business needs and cooperates with the business department to provide efficient solutions

・Realizing an agile enterprise that responds to market and customer changes: Improve organizational culture and processes to promote flexibility and quick decision-making in order to instill an agile approach throughout the enterprise

* Create an environment where all employees can master digital technology and use it for business.

The company promotes digital democratization in B2B companies and realizes DX to promote innovation, improve customer experience, and improve productivity. In order to achieve DX, it is essential for all employees in the business department and technical department to acquire skills corresponding to their roles, and a rich variety of training programs for each level and role are provided to client companies. This leads to the development of optimal DX promotion human resources that match the characteristics of each client company, promotes digital democratization, and realizes DX.

Regarding management indicators, we have set targets for sales of 10,000 million yen for the fiscal year ending 2025/12, operating income of 1,070 million yen, sales of 11,000 million yen for the fiscal year ending 2026/12, which is the final year, and operating profit of 1200 million yen. The average annual growth rate from the 2023/12 fiscal year to the 2026/12 fiscal year is 16.1% sales and 9.5% operating profit. In particular, the process technology business (currently the C&S business) and the training business are positioned as high growth areas, necessary investments will be promoted, and the sales scale of both businesses for the 2026/12 fiscal year will be 2,900 million yen and 3,200 million yen, respectively, and the ratio of both businesses to overall sales will grow to 55%.

(Author: FISCO Analyst Tomokazu Murase)