Segue Group

Basic Information

Stock Code
3968
Industry
Information and Communications
Category Detail
Systems & Software
Prefecture
Tokyo
Establishment Year
December 2014
Listing Year
December 2016
Official Website
https://segue-g.jp/
TSE Information
TSE Information
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Yahoo! Finance
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Overview

The Segue Group is a pure holding company established in 2014 and based in Tokyo, operating in the information and communications industry with strengths in network integration and security products.

Current Situation

The Segue Group achieved consolidated sales of approximately ¥12 billion and ordinary income of approximately ¥690 million in the fiscal year ending December 2022. Based in Chuo-ku, Tokyo, it operates IT infrastructure construction and information security businesses through multiple subsidiaries. Its main subsidiary, J's Communications, develops and releases in-house products such as the secure browser 'RevoWorks series,' with strengths in security product sales and maintenance services. Since listing on the Tokyo Stock Exchange JASDAQ in 2016, it has upgraded to the Prime Market and expanded its business. It actively utilizes M&A to strengthen technological capabilities and sales infrastructure, while focusing on developing IT engineers and advanced security technicians. To adapt to changing environments, it is enhancing information leakage prevention and network separation solutions, aiming to increase expertise in the security field toward the 2020s. It continues to pursue sustainable growth and enhance corporate value through diverse IT services.

Trivia

Interesting Facts

  • Established as a pure holding company in 2014 and rapidly expanded business.
  • Deploys multiple in-house developed products specialized in security.
  • J's Communications has a sales office in Fukuoka, strengthening the Kyushu area.
  • Holds patents for network separation technology and deploys proprietary tech.
  • Actively invests in engineer education and internal training.
  • Gaining attention in the information leakage prevention solutions market.
  • Actively promotes business area expansion through M&A.
  • Head office located in Shinagawa, Chuo-ku, Tokyo.
  • Listed on Tokyo Stock Exchange Prime Market since 2016.
  • Provides linked IT infrastructure services through multiple subsidiaries.
  • 'Segue' means 'next' or 'continuous' in English, symbolizing continuity.
  • Main strength also in specialized software development for security.
  • One subsidiary is UK-based ISS Resolution Limited.
  • Manages multiple subsidiaries as a pure holding company.
  • President Yasuyuki Manasu is a major shareholder involved in management.

Hidden Connections

  • Nissho Electronics is a major shareholder with collaborative ties.
  • Fukuoka sales office establishment gives influence in Kyushu IT security market.
  • Cross-subsidiary collaboration via in-house products and network services.
  • Stock code 3968 is a notable issue in TSE Prime Market's information and communications sector.
  • Clear strategy for customer base expansion through leakage prevention product development and education.
  • Efficient system construction and product sales deployment via multiple subsidiaries.
  • Stable position in Tokyo-centered network integration market.
  • Characteristic rapid business scale expansion through M&A strategy.

Future Outlook

Growth Drivers

  • Market expansion due to rising information security needs.
  • Increased demand for secure browsers amid remote work proliferation.
  • Technology and business area expansion via M&A.
  • Continuous technological innovation through advanced IT talent development.
  • Increased security investments by government and public institutions.
  • Growth in network separation market.
  • New service development leveraging AI and IoT technologies.
  • Support for digital transformation initiatives.
  • Strengthened comprehensive IT infrastructure services through subsidiary collaboration.
  • Expansion of domestic and international customer base.

Strategic Goals

  • Achieve ¥5 billion in annual security product sales.
  • Expand bases to major cities nationwide to strengthen sales infrastructure.
  • Scale IT talent development business sales to ¥2 billion annually.
  • Acquire new technology areas through M&A strategy.
  • Establish sustainable management system and reduce environmental impact.
  • Aim for ¥100 billion market capitalization on TSE Prime Market.
  • Target No.1 customer satisfaction in IT security.
  • Expand services for domestic and international public and private institutions.
  • Enhance product and service competitiveness through technological innovation.
  • Deepen sustainable social contribution activities and regional collaboration.

Business Segments

Information Security Solutions

Overview
Protects corporate information assets with advanced security technologies.
Competitiveness
Robust security framework through in-house developed products
Customers
  • Government Agencies
  • Financial Institutions
  • Large Corporations
  • Educational Institutions
  • Medical Institutions
  • Telecom Carriers
Products
  • Secure Browser RevoWorks
  • Network Separation Solution SCVX
  • Information Leakage Prevention Products
  • Security Audit Services

IT Infrastructure Design, Construction, and Operation

Overview
Comprehensive services from stable IT infrastructure construction to operations.
Competitiveness
Comprehensive delivery capabilities through multiple subsidiaries
Customers
  • Mid-sized Companies
  • Large Corporations
  • Telecom Operators
  • Public Institutions
  • Medical Corporations
Products
  • Network Design
  • Server Construction
  • Data Center Operations
  • Maintenance Services

Engineer Education and Talent Development

Overview
Supports the development and skill enhancement of advanced IT professionals.
Competitiveness
Specialized education system and practical curriculum
Customers
  • Own Employees
  • Partner Companies
  • Corporate Clients
  • Educational Institutions
Products
  • Security Technology Training
  • Network Technology Courses
  • Certification Support
  • Training Curriculum Development

Product Import Sales and Related Services

Overview
Import sales of overseas products and provision of technical support.
Competitiveness
Extensive product lineup and expertise
Customers
  • IT Companies
  • Manufacturers
  • Sales Agents
  • Corporate Users
Products
  • Security-related Hardware
  • Network Equipment
  • Software Licenses
  • Support Services

Competitive Advantage

Strengths

  • In-house developed security product lineup
  • Comprehensive IT services through multiple subsidiaries
  • Focus on advanced IT engineer education
  • Sales base centered in Tokyo
  • Growth strategy via active M&A
  • Strong technological capabilities in information leakage prevention
  • Flexible network separation solutions
  • High-quality customer support system
  • Solid financial foundation
  • Broad customer base coverage
  • Product development aligned with market needs
  • Strong domestic network integrator
  • Specialized product deployment in key areas
  • Stable growth of core subsidiaries
  • Rapid adoption of latest technologies

Competitive Advantages

  • Improved management efficiency through pure holding company structure
  • Superiority of in-house security-focused product lineup
  • Expansion of technology and sales via M&A
  • Technological competitiveness through advanced IT talent development
  • Capability to handle wide range from IT infrastructure to security
  • Stable sales from diverse key customer segments
  • High reliability based on long track record
  • Rapid response to market environment changes
  • Technological superiority via patents on in-house products
  • Seamless service provision through subsidiary collaboration
  • Credibility from Tokyo Stock Exchange Prime Market listing
  • High-quality customer support system
  • Strength in specialized corporate products
  • Continuous technology investment and R&D
  • Position as domestic network integrator

Threats

  • Intensifying competition in network security market
  • Risk of product obsolescence due to rapid technological innovation
  • Sophistication and diversification of cyber attacks
  • IT talent shortage in labor market
  • Risks from changes in laws and regulations
  • Competitive pressure from new entrants
  • Entry of major overseas IT firms into Japan market
  • Risk of IT investment cuts due to economic fluctuations
  • Trend of IT budget reductions by client companies
  • Management risks from failed M&A
  • Reputational risks from information leakage incidents
  • Delays in responding to sudden market need changes

Innovations

2022: Absorption merger of subsidiary Falcon System Consulting

Overview
Implemented subsidiary absorption to strengthen technological development and expand sales base.
Impact
Contributes to management efficiency and technological enhancement.

2020: Launch of information leakage prevention solution 'RevoWorks Desktop'

Overview
Released in-house developed product specialized for endpoint leakage prevention.
Impact
Achieved new customer acquisition and product lineup strengthening.

2023: Patent acquisition for network separation solution 'SCVX'

Overview
Obtained patents to enhance technological superiority and uniqueness of existing products.
Impact
Contributes to improved competitiveness and market share expansion.

2021: Development of AI-based network monitoring service

Overview
Trial introduction of network threat detection service using AI technology.
Impact
Successfully improved monitoring efficiency and detection accuracy.

2024: Enhancement of next-generation secure browser functions

Overview
Added new functions and strengthened security for improved usability.
Impact
Contributes to higher customer satisfaction and differentiation from competitors.

Sustainability

  • Social contribution through IT talent development
  • Energy-saving measures to reduce environmental impact
  • Strengthened compliance with Personal Information Protection Law
  • Active hiring and career support for female engineers
  • Support for local IT communities