AGS

Basic Information

Stock Code
3648
Industry
Information and Communications Industry
Category Detail
Systems & Software
Prefecture
Saitama Prefecture
Establishment Year
July 1971
Listing Year
March 2011
Official Website
https://www.ags.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
PaulToWin Holdings, Kyoritsu Information Communications, Digital Hearts Holdings, SHIFT, Systems Design, ODK, Barutes Holdings, Genova, e-Guardian, Open Group, KYCOM Holdings, Asahi Information

Overview

AGS is an independent systems integrator founded in 1971, with strengths in the finance and public sectors, and develops advanced data centers and cloud services.

Current Situation

AGS maintains consolidated sales of approximately 20 billion yen and net profit in the 500 million yen range in the 2020s, providing a wide range of information processing services centered on financial institutions. Having become independent from the former Resona Group, it is expanding its customer base by leveraging its own technologies and data centers. Since 2020, it has focused on strengthening cloud services and security measures to meet growing IT demand in the market. As part of sustainability efforts, it invests in cloud utilization for disaster response, contributing to the stabilization of social infrastructure. In the medium to long term, it aims to strengthen DX support in public and financial sectors and expand smart city-related services. It has around 1,000 employees and is developing specialized talent to address cutting-edge IT technologies.

Trivia

Interesting Facts

  • Veteran company in bank-commissioned calculation services
  • Owns an advanced urban data center in Saitama
  • Rare independent entity specialized in financial IT
  • Contributes to administrative support via disaster cloud utilization
  • Grew after independence from Resona Group in 2004
  • Operates three specialized subsidiaries to promote business diversification
  • Mid-sized company steadily growing in the IT industry
  • Deploys regionally focused IT services in Saitama City
  • Represented by President Shinji Nakano
  • Information processing outsourcing as main business

Hidden Connections

  • Strong ongoing capital and business ties with the former Resona Group.
  • Deep collaboration with government agencies and public institutions in Saitama City.
  • Diverse business partnerships with other IT service companies in the financial IT market.
  • Collaborates with local energy providers in urban data center operations.
  • Security division specialized as an independent subsidiary.
  • Shareholders include Fujitsu and Resona Bank.
  • Plays a central role in the Saitama Prefecture IT company community.
  • Recognized as a major listed company on the Tokyo Stock Exchange after 2011 listing.

Future Outlook

Growth Drivers

  • Growing DX needs in finance and public sectors
  • Popularization and diversification of cloud services
  • Expansion of network security demand
  • Further advancement of urban data centers
  • Government policies promoting local government digitalization
  • Expanding demand for regionally focused IT services
  • Operational efficiency via AI and IoT technologies

Strategic Goals

  • 30% market share expansion in finance and public sectors
  • Achieve energy-efficient data center conversion for Saitama iDC
  • Cloud service sales exceeding 10 billion yen
  • Complete establishment of sustainability management system
  • Position security services as domestic top class

Business Segments

IT Services for Finance

Overview
Provides IT services for the financial industry to improve operational efficiency and enhance safety.
Competitiveness
Long track record specialized in finance and robust data centers
Customers
  • Major Banks
  • Credit Unions
  • Securities Companies
  • Insurance Companies
  • Financial IT Vendors
Products
  • Commissioned Calculation Systems
  • Core Banking System Development
  • Risk Management Systems
  • Data Processing Outsourcing
  • Financial Cloud Services

IT Solutions for Local Governments and Public Sector

Overview
Supports digitalization and operational efficiency for local governments, contributing to improved resident services.
Competitiveness
High reliability and responsiveness to regional characteristics
Customers
  • Local Governments
  • Government Agencies
  • Public Research Institutions
  • Regional Administrative Service Providers
Products
  • Administrative Support Systems
  • Data Management Services
  • Resident Information Cloud
  • Disaster Prevention Information Management Systems
  • Business Outsourcing

Cloud and Data Center Services

Overview
Addresses diverse corporate needs using state-of-the-art data centers.
Competitiveness
Stable operations from Saitama's urban-type data center
Customers
  • General Corporations
  • Mid-sized Companies
  • IT Operation Service Companies
  • Startups
Products
  • Public Cloud
  • Private Cloud
  • Disaster Recovery Cloud
  • Hosting Services
  • Network Operation Support

Information Security Consulting

Overview
Provides specialized security support services to various industries.
Competitiveness
Advanced consulting capabilities backed by proven track record
Customers
  • Financial Institutions
  • Public Institutions
  • Medical Institutions
  • Manufacturing
  • IT Companies
Products
  • Risk Assessment Services
  • Security Audits
  • Incident Response Support
  • Vulnerability Diagnostics
  • Training and Education Services

Competitive Advantage

Strengths

  • Deep business knowledge in finance and public sectors
  • Advanced data center operation capabilities
  • Flexibility unique to independent firms
  • Expertise in security measures
  • Stable customer base
  • Regionally focused service delivery
  • Specialized talent development system
  • Advanced cloud services
  • Trust as an established company
  • Diverse IT solution offerings
  • Strong customer support capabilities
  • High-quality and reliable services
  • Comprehensive contracting capabilities
  • High operational efficiency
  • Sustainable business processing capacity

Competitive Advantages

  • Freedom in business development since independence from Resona Group
  • Long track record and trust in services for financial institutions
  • Stable operations via advanced Saitama iDC
  • Broad outsourcing service responsiveness
  • Social recognition from cloud use in disasters
  • Comprehensive security consulting provision
  • Cross-sector services in finance and public domains
  • Expertise in advanced cloud environment design and operations
  • Flexible development responding to customer needs
  • Services in collaboration with local communities
  • Comprehensive IT support via affiliated subsidiaries
  • Long-term partnerships with customers
  • Technological strength covering diverse business areas
  • Proactive approach to latest technologies
  • Differentiation strategy focused on specific industries

Threats

  • Intensifying competition from major SIers and cloud companies
  • Risk of lagging behind rapid technological changes
  • Intensified competition for talent acquisition
  • Fluctuations in IT budgets in the financial industry
  • Strengthened legal regulations and compliance
  • Sophistication of cyber attacks
  • Trend toward in-house system development by local governments
  • Decline in profit margins due to price competition
  • Increasing entry of emerging IT companies
  • Diversification of customer needs due to accelerating DX
  • Impact of natural disasters on data centers
  • Reduced investments due to economic fluctuations

Innovations

2024: Next-Generation Cloud Infrastructure Development

Overview
Promoting the construction of high-performance and flexible public cloud environments.
Impact
Successfully improved service stability and scalability.

2023: Disaster Recovery Data Cloud Introduction

Overview
Developed and launched dedicated cloud services to strengthen disaster response capabilities.
Impact
Significantly enhanced customers' business continuity.

2022: Advanced Security Audit Tools

Overview
Introduced AI-utilizing vulnerability diagnostic tools to improve audit accuracy.
Impact
Contributed to reducing security risks.

2021: Enhanced Cloud Integration for Local Governments

Overview
Built a unified cloud infrastructure for multiple local governments to promote integration.
Impact
Achieved improved operational efficiency and cost reductions.

Sustainability

  • Strengthening information continuity services during disasters
  • Energy-efficient data center operations
  • IT resource efficiency via cloud services
  • Employee environmental awareness training
  • Promoting disaster prevention collaboration with local communities