ISB (9702) Corporate presentation summary

FY2030 plan and valuation priorities

• New medium- to long-term plan targets net sales of ¥50.0 billion or higher, operating profit of ¥4.5 billion or higher, and ROE of 14.0% or higher by FY2030.

• Shareholder return targets: dividend payout ratio of 50% or higher, minimum DOE of 4%, and flexible share repurchases by FY2030.

• P/B exceeds 1.0, while P/E remains below the Prime Market Information & Communications industry average of 24.4; ROE has stayed above estimated cost of equity of ~8%.

• Strategy links higher P/B to maintaining double-digit ROE and increasing P/E through business strategy, financial management, human capital, ESG, and stronger IR/SR engagement.

Profitability and cash allocation

• FY2025 operating profit was ¥2.3 billion and ROE was 10.2%; FY2030 targets are operating profit of ¥4.5 billion or higher and ROE of 14.0% or higher.

• FY2026–FY2030 cash inflows from operations and debt financing are projected at ~¥15–20 billion, plus further upside; opening cash on hand is ~¥9 billion.

• Planned allocations include ~¥5 billion for value-enhancing investments, ¥5–10 billion for business growth investments, and ~¥5.5 billion for shareholder returns, plus further upside.

• Growth investment priorities include human capital and M&A; cash on hand is managed at a level equivalent to ~3 months of monthly net sales.

Human capital strategy

• People investment priorities include a rewarding workplace culture, stronger group-wide recruitment, continuous learning, leadership development, and employee career support.

• FY2030 workforce targets include 2,850+ employees versus 2,246, women in management positions at 7.0% versus 5.7%, and engagement score of 3.6+ versus 3.2.

• FY2030 productivity targets are net sales per employee of ~¥17.6 million or higher and operating profit per employee of ~¥1.6 million or higher.

• Technology initiatives include increasing consulting and direct client orders, strengthening R&D, and developing new products.