Avant Group

Basic Information

Stock Code
3836
Industry
Information and Communications
Category Detail
Systems & Software
Prefecture
Tokyo
Establishment Year
May 1997
Listing Year
February 2007
Official Website
https://www.avantcorp.com/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Ship HD, Proship, eBASE, Oro, Money Forward, freee, Oracle Japan, Obic Business Consultants, Human Technologies, PCA, NSW, TKC, Miroku Information Service

Overview

Avant Group is a holding company in the information and communications industry founded in 1997, specializing in the formulation and management of group business strategies centered on consolidated accounting software.

Current Situation

Avant Group recorded consolidated sales of approximately ¥21.4 billion, operating profit of approximately ¥3.5 billion, and net profit of approximately ¥2.1 billion for the fiscal year ended June 2023, maintaining solid management. As a holding company, it focuses on group management and strategy formulation, with a stable business foundation from sales of consolidated accounting software such as 'DivaSystem LCA.' Major group companies span Avant, Internet Disclosure, Zeal, Diva, and others. Listed on the Tokyo Stock Exchange Prime Market, it maintains a stable shareholder composition including executives and trust accounts. Recently, it entered a capital and business alliance with UK-based Metapraxis to strengthen overseas expansion, among other proactive management strategies. It is focusing on building sustainable management systems and enhancing its position in the expanding accounting software market. Emphasis is also placed on sustainability and overseas market development, with an eye toward mid-term growth. Leveraging a solid financial base and stable customer base, it plans to continue advancing by enhancing its expertise.

Trivia

Interesting Facts

  • Pioneering Japanese company specialized in consolidated accounting software development.
  • Transitioned to holding company structure via business division in 2013.
  • Listed on the Tokyo Stock Exchange Prime Market.
  • Specializes in management oversight with main business in group stock holdings.
  • Aiming for international expansion through strategic alliance with UK company.
  • Achieving stable growth with management strategy focused on specific fields.
  • Supports group internal business reforms through software.
  • Mid-sized IT company with consolidated scale of approx. 1,400 employees.
  • Many listed companies as customers for information disclosure support software.
  • Also provides advanced financial analysis tools for financial sector.

Hidden Connections

  • Introduced financial modeling technology domestically through alliance with UK Metapraxis, bringing fresh wind to business reforms.
  • Established advanced management model for group-wide oversight and resource allocation through holding company transition.
  • Unique positioning in niche consolidated accounting software market differentiates from competitors.
  • Software provision and support to group companies form a key pillar of revenue base.
  • Founder and Representative Director Morikawa holds significant shares among major shareholders, contributing to management stability.
  • Head office located in Shinagawa Intercity, Minato-ku, Tokyo, occupying a corner of the IT industry hub.
  • Steadily expanded business scope through name changes during group reorganization and subsidiary acquisitions.
  • Attracts investor attention as a constituent of the Nikkei Small and Medium Cap Index.

Future Outlook

Growth Drivers

  • Accelerated adoption of cloud-based accounting services
  • Increased software demand from domestic and international legal changes
  • Growth in overseas markets through global expansion
  • Advancement in utilization of AI and data analysis technologies
  • Expansion of group management optimization needs
  • Demand for business process improvements accompanying DX promotion
  • Increased IT-related investments from remote work adoption
  • Demand expansion from rising IT budgets in mid-sized enterprises
  • Strengthened demand for legal compliance and compliance enhancement
  • Sales channel expansion through partner collaboration
  • Improved product and service quality through talent development investments
  • Flexible response capabilities to diversifying customer needs

Strategic Goals

  • Achieve over 70% revenue ratio from cloud services
  • Expand overseas business revenue to 20% of total
  • Incorporate AI-equipped product lineup across all products
  • Strengthen and expand DX support within group
  • Build sustainable management system and expand social contributions
  • New market development through strengthened alliances with related companies
  • Maintain and improve customer satisfaction above 90%
  • Enhance human capital through enriched education and training programs
  • Optimize IT infrastructure to reduce environmental impact
  • Establish industry leader position through advanced legal compliance support

Business Segments

Accounting Software Business

Overview
Software provision business for consolidated accounting and financial management.
Competitiveness
Highly functional, customizable accounting systems
Customers
  • Mid-sized companies
  • Large companies
  • Accounting firms
  • Audit firms
  • Financial consultants
Products
  • Consolidated accounting packages
  • Financial accounting software
  • Financial analysis tools
  • Audit-related software
  • Report automation tools

Business Management Solutions

Overview
Solutions for business efficiency improvement and management process optimization.
Competitiveness
Integrated business process management functions
Customers
  • Group companies
  • Listed companies
  • Management divisions
  • Corporate planning departments
  • IT departments
Products
  • Business process management tools
  • Workflow systems
  • Business reform support software
  • Cloud business management services

Information Disclosure & Compliance Support

Overview
Support for legal compliance and efficient investor information disclosure.
Competitiveness
Expertise and track record in regulatory compliance
Customers
  • Listed companies
  • Legal departments
  • PR departments
  • IR departments
  • Audit firms
Products
  • Information disclosure support software
  • Legal compliance support tools
  • IR management software

IT Consulting Services

Overview
Consulting services integrating management and IT.
Competitiveness
Strong expertise in consolidated accounting
Customers
  • Mid-sized companies
  • Large companies
  • Executives
  • Accounting departments
  • Information systems departments
Products
  • Management strategy consulting
  • System implementation support
  • Business reform consulting
  • IT governance support

Cloud Service Provision

Overview
Services supporting business efficiency via cloud platforms.
Competitiveness
Flexible system operations integrated with cloud
Customers
  • Small and medium-sized enterprises
  • Listed companies
  • Accounting staff
  • IT administrators
  • Group executives
Products
  • Cloud consolidated accounting services
  • Cloud business management
  • Cloud financial analysis tools

Education & Training Business

Overview
Provision of specialized training programs for software users.
Competitiveness
Industry-leading comprehensive training system
Customers
  • Corporate accounting staff
  • Accountants
  • Audit firms
  • Financial analysts
  • IT staff
Products
  • Accounting software training
  • Accounting & finance training
  • IT implementation education
  • Certification support

Customer Support & Maintenance

Overview
Support for stable post-implementation operations and issue resolution.
Competitiveness
Rapid and flexible response capabilities
Customers
  • Software users
  • IT departments
  • Accounting departments
  • Group companies
  • Clients
Products
  • System maintenance contracts
  • Technical support services
  • Troubleshooting services

Business Process Optimization Support

Overview
Support business promoting visualization and optimization of operations.
Competitiveness
Accompaniment support by specialized consultants
Customers
  • Group executives
  • Corporate planning offices
  • Business reform departments
  • IT planning departments
  • Management departments
Products
  • Process mapping tools
  • Business analysis services
  • Reform execution support

Financial Modeling & Forecasting

Overview
Decision-making support tools leveraging financial data.
Competitiveness
Advanced analysis functions and ease of use
Customers
  • Executives
  • Finance departments
  • Investors
  • Consulting firms
  • Audit firms
Products
  • Financial forecasting tools
  • Risk management software
  • Scenario analysis services

Overseas Collaboration Business

Overview
Accounting and finance support services for global companies.
Competitiveness
International standards compliance and multilingual support
Customers
  • Overseas subsidiaries
  • International clients
  • Overseas audit firms
  • Foreign companies
  • Global executives
Products
  • Multilingual consolidated accounting software
  • Overseas expansion support services
  • International accounting tools

Partner Solutions

Overview
Support for resellers and technical partners.
Competitiveness
Partnerships emphasizing collaboration
Customers
  • Accounting software resellers
  • IT vendors
  • System integrators
  • Accounting firms
  • Consultants
Products
  • Product license supply
  • Technical support services
  • Joint development support

R&D Business

Overview
Conducts advanced technology research in IT and accounting fields.
Competitiveness
Industry-specific research expertise
Customers
  • Internal business divisions
  • Industry associations
  • Client companies
  • Government agencies
  • Universities & research institutions
Products
  • Technology R&D
  • Next-generation software design
  • New technology evaluation

Competitive Advantage

Strengths

  • Advanced technological capabilities specialized in consolidated accounting
  • Group management oversight as a holding company
  • Stable customer base and extensive implementation track record
  • Rich lineup of business management software
  • Reliability from Prime Market listing
  • High evaluation of core DivaSystem series products
  • Comprehensive customer support system
  • Overseas expansion strengthened through capital and business alliances
  • International accounting support with multilingual capabilities
  • Comprehensive education and training programs
  • Flexibility from cloud service offerings
  • Strong partnership network
  • High financial soundness and management stability
  • Technology R&D from a long-term perspective
  • Specialized knowledge in legal compliance support

Competitive Advantages

  • Possession of advanced software technology specialized in consolidated accounting
  • Strength in group-wide oversight through holding company structure
  • Ability to meet customer needs with flexible cloud services
  • Enhanced expansion in overseas markets via capital and business alliances
  • Advanced legal compliance support functions highly evaluated by audit firms etc.
  • Maximizes implementation effects through comprehensive consulting
  • Integrated operations possible by linking wide range of business management software
  • High customer satisfaction and retention through education and training
  • Global user support with multilingual capabilities
  • Improved transparency and corporate credibility from Prime Market listing
  • Long-term investments enabled by stable financial base
  • Rich product lineup responding to diverse customer needs
  • Promotes customer revenue improvement through company-wide business efficiency support
  • Expands product lineup through collaboration with partners
  • Maintains product competitiveness through continuous investment in IT innovation

Threats

  • Intensifying price competition from competitors
  • Increased response burden from rapid IT technology evolution
  • Rising software adaptation costs due to legal system changes
  • Uncertain political and economic risks in overseas markets
  • Sophistication of cyber security threats
  • Intensified competition from accelerated customer shift to cloud services
  • Constraints on technology development and support due to talent shortage
  • Revenue impacts from changes in group management environment
  • Risk of order reduction from economic fluctuations in market environment
  • Information management risks such as data leaks
  • Competitive pressure from innovative technologies of new entrants
  • Service disruptions from infrastructure failures like natural disasters

Innovations

2023: Capital and Business Alliance with UK Metapraxis

Overview
Alliance with UK financial modeling technology company to strengthen overseas expansion.
Impact
Promotes business expansion and technological enhancement in global markets

2022: Expansion of Cloud Service DivaCloud

Overview
Enhanced functionality and expanded sales of cloud-based consolidated accounting service.
Impact
Succeeded in improving customer convenience and expanding market share

2021: Development of Business Process Optimization Support Tool

Overview
Developed integrated business management tool to support business improvements.
Impact
Began utilization within group companies, improving customer satisfaction

2024: Release of Next-Generation Financial Analysis AI Tool

Overview
Added AI-powered automatic financial analysis functions.
Impact
Significantly improved analysis accuracy and efficiency, achieving differentiation

2020: Development of Multilingual Consolidated Accounting System

Overview
Deployed multilingual version for overseas groups to promote internationalization.
Impact
Contributed to expanded support from overseas customers

Sustainability

  • Paperless offices and promotion of electronic contracts
  • Maintenance and equipment updates for energy-saving offices
  • Ongoing participation in local IT education support activities
  • Efforts to reduce environmental impact in cloud services
  • Promotion of diversity and work-style reforms
  • Promotion of remote work to reduce commuting
  • Initiatives to improve waste recycling rates
  • Implementation of sustainable procurement policies
  • Environmental awareness education in internal training
  • Support for social contribution volunteer activities