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Representative Director and President Kenji Oyama

 

Towards a new stage in our evolution

We would like to show greatest gratitude to all shareholders and investors for your continued supports.

Ever since Broadleaf was first established in 2005, our business foundations and structure, our human resources and mental attitude, and the direction in which we are heading, have all changed over the course of time. Similarly, the business applications that we provide to our clients have continued to grow, from total systems into comprehensive IT services.

Technology meanwhile continues to evolve at a faster pace than ever before. In recent years, technologies such as the Internet of Things (IoT), artificial intelligence and autonomous driving have entered the public consciousness, and are set to transform how we live our lives.
In the future, we will have access to endless amounts of information and all manner of items will be connected to the internet, opening up an increasingly diverse array of values and lifestyles. Machines will be able to perform more and more tasks instead of people, as we look to move on to a new stage in our evolution.

Nonetheless, we do not view technological innovations and changes in society as a threat. We believe that, when things change, that means we have a chance to grow our business.
To seize opportunities like that, you need people who are sensitive, cooperative and creative – all qualities that are exclusive to humans rather than artificial intelligence. To put it another way, you need people with the drive to turn concepts and ideas into innovation, and who are determined to create something new for the future.

We are entering a new stage in our evolution here at Broadleaf.

As advances in cutting-edge technology continue to dilute interaction between people, now more than ever, we need to maintain a spirit of “gratitude and happiness.” We are determined to work together, with each of our employees playing their own individual role, to “consider, connect and expand,” so that we can provide new value to everyone.

In the first half of FY2020, business negotiations prolonged due to the spread of COVID-19. Although there was modest improvement in the tendency of prolonged business negotiations toward the second half of the fiscal year and demand began to recover, the total number of contracts for the full fiscal year declined, which led to decline in the revenue and the profit.

We have started providing the new cloud-based software ".c Series" to some of our clients. In addition, we are shifting to monthly subscription contracts for the current software ".NS Series.“ Accordingly, we forecast consolidated results for FY2021 to be 20.35 billion yen in revenue (down 3.8% year on year), 2.6 billion yen in operating profit (down 37.1% year on year), and 1.64 billion yen in profit attributable to owners of the parent (down 33.5% year on year). We also forecast dividend per share to be 8.00 yen and consolidated payout ratio to be 42.8%.

Although the shift to monthly subscription will become a factor of the short-term decline in sales, we will strategically promote the early shift to a highly profitable and high-growth business model.

To help us expand the field of Broadleaf’s value, we hope that you will choose Broadleaf and join us in moving forward towards the future as partners.

July 28, 2021
Kenji Oyama