Digital solutions provider Douzone Digital Holdings <202A> provides cloud consulting services (36.3% of total revenue for the year ending March 2024) to help companies achieve digital transformation and enhance their digital competitiveness with customers, as well as AI consulting services (7.7%), AI robotics engineering services (15.1%), and mobility automation services (40.9%).

Douzone Digital Holdings is a technology consulting firm that supports customer value creation through software and engineering expertise. It consists of Douzone Corporation, which specializes in automotive ECU development and factory automation, Koawamecs, which has the highest affinity and synergy with Douzone and focuses on ERP implementations such as SAP and Microsoft Dynamics 365, and NT Solutions, which is engaged in consulting services such as SAP and Microsoft Dynamics 365.

In the first quarter of the year ending March 2025, the company achieved sales of 2,717 million yen (an 8.7% increase from the same period last year) and operating profit of 533 million yen (a 2.9% increase). The steady progress of existing and expanding projects with existing customers contributed to the increase in revenue and profit compared to the same period last year. The company is also making progress in acquiring new customers. The full-year forecast for the year ending March 2025 is expected to reach sales of 10,552 million yen (a 10.1% increase from the previous year) and operating profit of 2,071 million yen (a 15.1% increase).

The company has disclosed its medium-term management plan, which focuses on two aspects: quantitative growth and qualitative growth. For quantitative growth, the company will prioritize recruitment strategies that emphasize the quality of talent by implementing its own recruitment methodology, including the improvement of engineers' skills through the 'Douzone Way' and strengthening branding. For qualitative growth, the company aims to expand its business in the digital business area by leveraging cutting-edge technologies. The company places importance on achieving stable growth in the medium to long term, with a CAGR of 10-12% in topline and a 15-17% increase in operating profit by the year ending March 2027. In its core cloud consulting business, the company plans to expand its modernization services and ERP implementation support services, taking advantage of the thriving market for core system replacement. In the mobility automation business, the increasing demand for software-defined vehicles (SDVs) is driving the demand for automotive electronic control products. In the AI robotics business, the rising cost of labor and the scarcity of labor are increasing the demand for automation and labor-saving measures, especially in the manufacturing industry. Although the company was recently listed on the growth market, it is worth noting as a stock that is expected to grow in the medium to long term.