L is B

Basic Information

Stock Code
145A
Industry
Information and Communications
Category Detail
Systems & Software
Prefecture
Tokyo
Establishment Year
September 2010
Listing Year
March 2024
Official Website
https://l-is-b.com/ja/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
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Overview

L is B, founded in 2010 and headquartered in Chiyoda-ku, Tokyo, is an IT company providing IT solutions centered on cloud services and business chat for the information and communications industry.

Current Situation

In the fiscal year ended December 2022, L is B recorded net sales of approximately 1.6 billion yen, but operating profit was a loss of about 390 million yen, presenting financial challenges. Its flagship business chat product 'direct' has been adopted by many companies, steadily building its position in the industry as a cloud-based communication tool compatible with smartphones and PCs. Listed on the Tokyo Stock Exchange Growth Market in March 2024, it aims for further capital procurement and business expansion. The company is promoting multifaceted cloud services such as the AI-FAQ bot leveraging chatbot technology and solutions for correcting excessive working hours, contributing to digital transformation. Going forward, it seeks to improve profitability through advancing sustainable work style reforms and expanding smart work tools. It has broadened its business network via capital and business alliances with major companies across various industries, actively investing for mid- to long-term growth. Pursuing technological innovation and customer base expansion, it aims to secure a unique position in the intensely competitive information and communications industry.

Trivia

Interesting Facts

  • Business chat direct adopted by Obayashi Corporation and Takenaka Corporation
  • Advanced chatbot rental service direct bot RENTAL
  • Previously developed emotion analysis engine 'Social Emotion Engine'
  • Japan-originated chat service compatible with diverse platforms
  • Listed on Tokyo Stock Exchange Growth Market in 2024
  • Added calling functionality to direct on 10th anniversary
  • Developed AI-FAQ bot that evolves with user thinking
  • Capital alliance partners include IT majors like IIJ and QTnet
  • Specialized provider of work style reform solutions
  • In-house strength in design development (UI/UX, illustrations)
  • Pioneer in providing chatbot development environment via SDK
  • Released Twitter app 'Feel on!' in 2011
  • Kyushu branch office established in Fukuoka for regional expansion
  • Implemented social contributions like mask donations
  • Major customers include media companies like TV Asahi

Hidden Connections

  • Expanding DX services through capital and business alliances with major construction companies
  • Strengthened corporate messenger business via capital alliance with IIJ
  • Expanded IT solutions in Kyushu region through alliance with QTnet
  • Adoption at TV Asahi indicates ties with media and broadcasting industry
  • Supports other companies' chatbot development by providing proprietary SDK
  • Established foundation of proprietary AI technology through early efforts in emotion analysis
  • Contributes to labor environment improvements via work style reform solutions
  • Advancing social contributions through IT education support for local communities

Future Outlook

Growth Drivers

  • Rising DX demand and digitalization of inter-company communications
  • Increased demand for IT tools aligned with government work style reform policies
  • Expanding adoption of cloud-based business efficiency products
  • Advancement of AI chatbots and penetration of FAQ automation
  • Expansion of adopting companies from increased IT investments across industries
  • Growing needs for telework compatibility
  • Development of environmentally considerate IT products amid sustainability push
  • Customer acquisition via network expansion from capital alliance partners
  • Sustainable provision of work style reform services
  • Improved usability from multi-device compatible products
  • Flexible customization responsive to customer challenges
  • New market development (including overseas)

Strategic Goals

  • Achieve net sales exceeding 5 billion yen
  • Secure top domestic share in business chat market
  • Deploy advanced FAQ solutions leveraging AI technology
  • Strengthen social contributions through sustainable IT services
  • Expand service introductions across diverse industries
  • Further enrich work style reform product lineup
  • Expand bases in major regions nationwide and strengthen customer base
  • Continuous renewal and advancement of cloud and security certifications
  • Expand multi-language products and prepare for overseas expansion
  • Organizational strengthening for employee diversity and job satisfaction

Business Segments

IT Solution Services

Overview
Provides diverse IT services to support DX initiatives across industries.
Competitiveness
Proven adoption in various industries and flexible customization capabilities
Customers
  • Major construction industry companies
  • Broadcast stations
  • Medical institutions
  • Nursing care facilities
  • Small and medium-sized enterprises
  • IT departments of large corporations
Products
  • Business chat direct
  • Chatbot direct bot RENTAL
  • AI-FAQボット
  • direct Smart Working Solution

System Development and Consulting

Overview
Provides comprehensive IT solutions from planning through design, development, and operational support.
Competitiveness
One-stop service for development and operations with strength in UI/UX
Customers
  • Venture companies
  • Mid-sized corporations
  • Large corporations
  • Public institutions
Products
  • Smartphone app development
  • Tablet app development
  • Web system development
  • UI/UX design
  • Service development consulting

Work Style Reform Support

Overview
Provides IT solutions to support business efficiency and health management.
Competitiveness
Appropriate working hours management via IT tools and functionality reflecting user feedback
Customers
  • Corporate HR departments
  • General affairs departments
  • Management departments
Products
  • direct Smart Working Solution
  • Working hours management system

Chatbot Development Support

Overview
Provides chatbot development environments and rental services to improve development efficiency.
Competitiveness
Customizability and flexible API integration
Customers
  • IT development companies
  • Major SIers
  • In-house development companies
Products
  • daab SDK
  • direct bot RENTAL

Competitive Advantage

Strengths

  • Development strength in multifunctional business chats
  • Abundant track record in chatbot provision
  • Strong relationships with diverse customer segments
  • Information security system certified with ISO/IEC 27001
  • Business foundation strengthened through capital and business alliances
  • Multi-platform compatibility technology
  • Provision of customizable SDKs
  • Specialized consulting services
  • Proactive stance in DX support
  • Proven introduction of latest technologies
  • Technical expertise of employees and experience of management
  • Advanced remote work support
  • Rapid service improvements and customer response capabilities
  • Commitment to building a stable financial base
  • High evaluation of user interfaces

Competitive Advantages

  • Pioneering presence in Japan's business chat and chatbot market
  • Proven capabilities across wide industries including construction and broadcasting
  • Comprehensive provision of cloud services and operational support
  • Enhanced reliability through capital and business alliances with major companies
  • Unique value-added services such as excessive working hours correction tools
  • High corporate credibility from security certifications
  • High versatility with multi-language and multi-device support
  • High development flexibility from chatbot API provision
  • Superiority in solutions responsive to work style reforms
  • High retention rates from user-centric UI/UX design
  • Broad coverage of customer needs with diverse product lineup
  • Practical services specialized in on-site DX support as key strength
  • High-precision FAQ solutions from latest AI technology integration
  • Service development reflecting voices from diverse industries
  • Increased attention from Tokyo Stock Exchange Growth Market listing

Threats

  • Intensifying market share competition from rivals
  • Risk of service obsolescence due to rapid technological evolution
  • Risk of credibility loss from information security incidents
  • Fluctuations in market demand from changes in labor environment policies
  • Intensified price competition from new entrants
  • Risk of revenue decline from customer IT investment cuts
  • Increased compliance burden from international regulatory changes
  • Possibility of end to subsidies and support for work style reforms
  • Risk of declining development capabilities from talent acquisition difficulties
  • Unstable funding environment from economic fluctuations
  • Customer churn from cloud service outages
  • Heightened risks from increasing cyber attacks

Innovations

2024: Tokyo Stock Exchange Growth Market Listing

Overview
Listed on the Growth Market in March 2024, enhancing capital procurement and brand recognition.
Impact
Successfully raised funds to accelerate business expansion.

2023: Added Calling Functionality to direct

Overview
Added calling functionality to business chat direct to improve convenience.
Impact
Improved customer satisfaction and usage frequency.

2022: Enhanced AI-FAQ Bot Auto-Learning Functionality

Overview
Expanded natural language processing for FAQ chatbots to improve response accuracy.
Impact
Contributed to reduced support workload and expanded usage.

2021: Launch of direct Smart Working Solution

Overview
Released PC lock and management tools to support correction of excessive working hours.
Impact
Successful entry into work style reform support market.

2020: direct Chat Adoptions Exceed 2,000 Companies

Overview
Achieved significant expansion of adoptions in Japan, increasing market share.
Impact
Successfully strengthened customer base.

2023: Enhanced Cloud Service Security

Overview
Acquired ISO/IEC 27001 and 27017 certifications to strengthen privacy protection.
Impact
Contributed to improved corporate reliability.

2022: Expanded direct bot RENTAL for Multiple Industries

Overview
Enriched industry-specific features for chatbot services.
Impact
Contributed to acquiring new customers.

2021: Launch of Smart Work Promotion Media

Overview
Published web media introducing business efficiency and DX case studies.
Impact
Contributed to improved brand recognition.

2020: Improved Multifunctional UI/UX

Overview
Significantly improved user interface operability, increasing retention.
Impact
Boosted customer satisfaction and reduced churn.

2024: Enhanced Multi-Language Support

Overview
Expanded multi-language support for direct chatbots to strengthen global compatibility.
Impact
Created opportunities for expanding transactions with overseas companies.

Sustainability

  • Promotion of employee health management
  • Reduced environmental impact through paperless operations
  • Strengthened information protection via security ISO certifications
  • Social contributions through work style reform support tools
  • IT education support activities for local communities
  • Promotion of women's empowerment and diversity
  • Support for enriched remote work environments
  • Introduction of energy-efficient servers
  • Paper reduction via cloud services
  • Promotion of hybrid work environments
  • Advancement of appropriate labor through IT-based working hours management
  • IT donation activities to social welfare facilities