JFE Systems (4832) Investor presentation summary

Corporate philosophy and business

• “Smartful IT” combines smart, efficient work with human connections, aiming to help people realize their potential through IT.

• FY2024 consolidated net sales were ¥64.0 billion and ordinary income was ¥7.7 billion; ROS was 12.0% and ROE was 17.5%.

FY2022-2024 performance

• Exceeded plan targets: net sales ¥64.0 billion vs. ¥57.0 billion and ordinary income ¥7.7 billion vs. ¥6.6 billion.

• Three-year investments reached ¥2.28 billion in product development, ¥6.49 billion in service provision and in-house capital, and ¥3.67 billion in human capital.

• Steelworks System Refresh Project progressed on schedule, targeting completion by FY2025-end; infrastructure growth was led by security and cloud services, alongside DX expansion.

• Prior-plan challenges included decentralized resource use, limited collaboration across business units, and the need to offset workload decline as the steelworks project nears completion.

FY2025-2027 strategy and targets

• Theme: “Growth, Cooperation, and Co-creation”; reshape the business portfolio, build company-wide synergies, and develop a culture supporting sustainable growth.

• FY2027 targets: net sales ¥67.4 billion, ordinary income ¥8.0 billion, ROS 11.9%, ROE above 15.0%, and 2,110 employees.

• Prioritize DX, ERP, and infrastructure services as growth businesses; increase their sales mix from 23% in 2024 to 34% in 2027 and shift ~130 employees to growth sectors over three years.

• Develop AI-enabled products and workflows, expand SCM and cloud solutions, strengthen ERP consulting, and grow infrastructure sales in cloud and security.

• By FY2030, target net sales above ¥85.0 billion and ordinary income above ¥12.0 billion; JFE Steel’s steelworks project completion is expected to reduce that business’s scale during the plan period.