Broadleaf

Basic Information

Stock Code
3673
Industry
Information and Communications
Category Detail
Systems & Software
Prefecture
Tokyo
Establishment Year
September 2009
Listing Year
March 2013
Official Website
https://www.broadleaf.co.jp/
TSE Information
TSE Information
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Overview

Broadleaf is an information and communications company for the automotive industry founded in 2005, providing innovative IT services centered on high domestic market share parts management software.

Current Situation

Broadleaf holds a high market share in the development and sales of automotive-related package systems and maintains solid performance as of 2022. Its flagship products, the .NS series and Super Frontman series, contribute to improving efficiency in the automotive industry, and it is currently rolling out new products equipped with AI technology. In overseas expansion, it is tapping into demand in Asian regions such as the Philippines and promoting the adoption of globally compatible cloud services. Through the establishment of research subsidiaries and capital-business alliances, it is actively investing in cutting-edge technology development to differentiate from competitors. It also emphasizes sustainability, striving to reduce environmental impact and achieve labor savings in operations using ICT. Moving forward, with cloud and AI at its core, it aims to expand its customer base and achieve sustainable growth by targeting market expansion both in Japan and abroad. Addressing the market environment and intensifying competition remains an ongoing management challenge.

Trivia

Interesting Facts

  • Originates from business transfer from ITX Tsubasa Net in 2005
  • Industry giant Autobacs Seven is a major shareholder
  • Early domestic adopter of AI-equipped parts management software
  • Selected for Nikkei Small and Mid-Cap Stock Index, demonstrating stable growth
  • Established research subsidiary to focus on technological innovation
  • Revolutionizing used car distribution with blockchain technology introduction
  • Established overseas subsidiary in the Philippines for Asian expansion
  • Successful differentiation from competitors with industry-specific software
  • Expanded customer base through diverse cloud services
  • Concluded multiple capital alliances and OEM contracts with prominent IT companies
  • Gaining attention in the industry for actively introducing cutting-edge technologies
  • Deploying cloud services for repair and body work as twin pillars
  • Maintaining high customer satisfaction domestically and internationally
  • Long-term transaction relationships with numerous automotive parts wholesalers
  • Promoting work efficiency using AI and IoT technologies

Hidden Connections

  • Strong capital ties with Autobacs Seven, with active joint development
  • Joint global deployment of business analysis software with KAIZEN Institute, sold in 60 countries
  • Strengthened Asian strategy base by establishing IT subsidiary in the Philippines
  • Jointly researching and developing new services with capital alliance partner Next System
  • Providing blockchain technology to used car marketplaces to support industry innovation
  • Research subsidiary SpiralMind specializes in artificial intelligence research
  • Promoting product deployment across multiple fronts through OEM contracts with various IT companies
  • Attracting investor attention as a constituent of the Nikkei Small and Mid-Cap Stock Index

Future Outlook

Growth Drivers

  • Increasing demand for digitalization and efficiency in the automotive industry
  • New value creation through advancements in AI and cloud technology
  • Growing demand for digital services in overseas markets
  • Demand for environmental impact reduction solutions amid rising sustainability focus
  • Service expansion to related industries for business efficiency
  • New business creation leveraging blockchain technology
  • Increasing demand for non-face-to-face and remote operations post-COVID
  • Effects of technology and customer base expansion through partnerships
  • Market expansion driven by DX promotion for SMEs and mid-sized companies
  • Potential horizontal expansion to manufacturing, logistics, and other industries
  • Enhanced business value through advanced AI analysis tools

Strategic Goals

  • Achieve 90% share in the domestic automotive industry
  • Secure overseas sales ratio of over 30%
  • Continuous product innovation using new AI and cloud technologies
  • Expand customer base by building industry-crossing platforms
  • Build sustainable business model centered on environmental impact reduction
  • Strengthen alliances with related industries and create new markets
  • Maintain R&D expenses ratio over 10% of sales
  • Launch new services leveraging blockchain
  • Foster advanced IT skills among employees and promote diversity
  • Achieve over 500,000 cloud service users

Business Segments

Software for Automotive Repair Industry

Overview
Cloud services supporting efficiency in repair and body work operations and customer management.
Competitiveness
Specialization in automotive repair industry and high customer satisfaction
Customers
  • Repair shops
  • Body shops
  • Vehicle inspection businesses
Products
  • .NS Series
  • Maintenance.C
  • Repair.C

IT Solutions for Automotive Parts Wholesalers

Overview
IT systems supporting everything from parts management to sales management.
Competitiveness
Proven industry-leading market share
Customers
  • Parts wholesalers
  • Distributors
Products
  • .NS Series
  • Super Frontman

Digital Platform Provision

Overview
Infrastructure services for businesses leveraging blockchain and cloud technology.
Competitiveness
Adoption of cutting-edge technology and flexible platform design
Customers
  • External IT companies
  • Used car marketplaces
Products
  • Broadleaf Cloud Platform

Work Analysis and Business Improvement Solutions

Overview
Software provision supporting business efficiency and productivity improvement.
Competitiveness
Global deployment and product strength through OEM contracts
Customers
  • Manufacturing
  • Logistics
  • Services
Products
  • KAIZEN™Time Study powered by OTRS

Competitive Advantage

Strengths

  • High-share products specialized for the automotive industry
  • Technological strength leveraging AI and cloud
  • Solid financial base and growth track record
  • High customer satisfaction through flexible system provision
  • Expansion capabilities in global markets
  • Rich product lineup
  • Active investment in R&D
  • Adoption of blockchain technology
  • Strong customer base
  • Integrated business efficiency solutions
  • Technological innovation through advanced tech partnerships
  • Expertise specialized in parts management
  • Drive to promote cloud service adoption
  • Utilization of diverse sales channels
  • Business alliances with related companies

Competitive Advantages

  • Domestic top-class share in automotive parts management
  • Superior demand forecasting and optimization with AI integration
  • Differentiation through industry-specific cloud services
  • Comprehensive provision of diverse B2B solutions
  • Global対応 through overseas subsidiaries
  • Innovative product lineup through joint development with partners
  • Customizable platform design
  • Improved transaction transparency via blockchain
  • Continuous technological innovation addressing industry needs
  • Strategic partnerships with numerous related companies
  • Rapid support system tailored to customer needs
  • Competitive edge through proprietary digital business infrastructure
  • High brand recognition and track record
  • Organized R&D structure
  • Business integration possible through diverse solutions

Threats

  • Competitors' technological innovations and share competition
  • Risks from economic fluctuations in the automotive industry
  • Burden of responding to rapid IT advancements
  • Increasing cybersecurity risks
  • Challenges in adapting to regulatory and industry standard changes
  • Political and economic risks in overseas markets
  • Intensifying competition in cloud services
  • Talent shortage for securing engineers
  • Revenue impact from exchange rate fluctuations
  • Potential new entrants from other industries
  • Increased response costs due to diversifying customer needs
  • Business continuity risks from natural disasters

Innovations

2021: Full Release of Cloud Service 'Maintenance.C'

Overview
Enhanced functionality and market rollout of cloud service for automotive repair industry.
Impact
Successfully expanded customer base and diversified services.

2020: Support for Used Car Marketplace Using Blockchain

Overview
Launched digital platform provision for Shelf AP.
Impact
Contributed to forming new business models.

2022: Launch of AI-Equipped 'SF.NS3Ai'

Overview
Developed AI-equipped software specialized for demand forecasting and business optimization.
Impact
Contributed to improved sales efficiency and customer satisfaction.

2023: Establishment of Research Subsidiary SpiralMind

Overview
Established new subsidiary to strengthen cutting-edge technology research and product development.
Impact
Accelerated speed of technological innovation.

2024: Expansion of Global Work Analysis Software Sales

Overview
Strengthened overseas expansion through alliance with KAIZEN Institute.
Impact
Increased overseas sales and enhanced international recognition.

Sustainability

  • Reducing environmental impact through business efficiency using ICT technology
  • Promoting paperless operations through cloud adoption
  • Supporting work style reforms with telework compatibility
  • Automotive industry support activities through collaboration with local communities
  • Promoting energy savings and improved work efficiency using AI
  • Formulation and implementation of sustainable business operation plans
  • Deployment of in-house energy-saving campaigns
  • Promoting reduction of environmental impact across the supply chain
  • Implementation of environmental education programs for employees
  • Optimal resource utilization through digital technology