ServerWorks

Basic Information

Stock Code
4434
Industry
Information and Communications
Category Detail
Systems & Software
Prefecture
Tokyo
Establishment Year
February 2000
Listing Year
March 2019
Official Website
https://www.serverworks.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Sakura Internet, GMO GlobalSign Holdings, Data App, TeraSky, Change Holdings, Amiya, BeeX, Board RUA, Flect, ID Holdings, Japan Business Systems, OB System, KSK

Overview

ServerWorks is a cloud service specialized system integrator founded in 2000, with its main business in AWS implementation support and operations, boasting high expertise in the information and communications industry.

Current Situation

ServerWorks recorded net sales of approximately 8 billion yen and operating profit of approximately 400 million yen in the fiscal year ended February 2021, continuing steady growth based in Tokyo. Its core business is Amazon Web Services (AWS) implementation support and operation services, promoting cloud migration and efficiency for numerous customers. In a fiercely competitive environment with rivals, its strengths lie in the abundance of AWS-certified engineers and specialized know-how. In recent years, it has expanded into services for financial institutions, enhancing high reliability and security. It supports digital transformation with consideration for sustainability, contributing to reducing environmental impact. While responding to market fluctuations, it aims for medium- to long-term growth through the introduction of advanced technologies and improved customer satisfaction. Following the 2023 market restructuring, it is focusing on enhancing corporate value on the Tokyo Stock Exchange Standard Market. Technological innovation and expansion of the customer base are key areas of focus moving forward.

Trivia

Interesting Facts

  • Pioneering in Japan with business specialized in AWS.
  • Founder Yoshiro Oishi, formerly of Marubeni, practices strategic management.
  • Strength in cloud services for the financial sector.
  • Attracted attention with market change to Tokyo Stock Exchange Prime in 2021.
  • Compact organization of 161 employees with high specialization.
  • Focuses on nurturing AWS-certified engineers, renowned for technical prowess.
  • Cloud startup-like company headquartered in Shinjuku-ku, Tokyo.
  • Sensitive to latest AWS technology trends and utilizes in customer support.
  • Strengthening organization following move to Tokyo Stock Exchange Standard Market.
  • Started with solutions business for universities at founding.

Hidden Connections

  • Major shareholder TeraSky has a close partnership in cloud-related areas.
  • Capital relationships with NTT Data and NTT Communications as major shareholders.
  • Founder from Marubeni with extensive industry network.
  • Established reliability on Tokyo Stock Exchange after growth as a venture.
  • Strength in stringent legal compliance for financial institution services.
  • Collaborates with AWS Japan to provide latest technologies to customers promptly.
  • Highly evaluated consulting capabilities in promoting cloud migration in the industry.
  • Numerous track records in customized services specialized for specific industries.

Future Outlook

Growth Drivers

  • Increasing demand for AWS implementation support due to cloud utilization expansion
  • Acceleration of digital transformation (DX) promotion
  • Increasing cloud migration by security-focused customers like financial institutions
  • Rising needs for sustainable IT services
  • Service quality improvement through nurturing of advanced engineers
  • Increased capital raising opportunities on Tokyo Stock Exchange Standard Market
  • Expanding possibilities for overseas cloud market entry
  • New revenue sources from cloud management tool development
  • Increasing demand for hybrid cloud solutions
  • Heightened cloud dependency from remote work prevalence
  • Strengthened integration with AI and automation technologies
  • Enhanced customization to customer needs

Strategic Goals

  • Become domestic leader in cloud services market centered on AWS
  • Achieve top domestic share in cloud construction for financial institutions
  • Achieve stable growth with annual sales over ¥10 billion
  • Realize sustainable business operations and environmental impact reduction
  • Strengthen corporate culture through employee satisfaction and diversity promotion
  • Promote development and early adoption of innovative cloud technologies
  • Continuously advance IT contribution activities to local communities
  • Maintain and expand number of latest AWS certification holders
  • Market expansion through new cloud service development
  • Phased expansion plan into overseas cloud markets

Business Segments

Cloud Implementation Support

Overview
Technical support and operation assistance for AWS implementation across various industries.
Competitiveness
Abundance of AWS-certified engineers and specialized expertise
Customers
  • Financial Institutions
  • Manufacturing
  • Government Agencies
  • Major SIers
  • IT Companies
  • Educational Institutions
Products
  • AWS Design and Construction Services
  • Cloud Migration Support
  • Custom System Development

SaaS Solutions

Overview
Provision of efficient business support services on the cloud.
Competitiveness
Product development responsiveness to cloud technologies
Customers
  • IT Subsidiaries
  • Small and Medium Enterprises
  • Educational Institutions
Products
  • Business Management SaaS
  • Security Services
  • Cloud Operation Tools

Security and Compliance Support

Overview
Support for security and legal compliance associated with cloud usage.
Competitiveness
Strict audit standards and responsiveness
Customers
  • Financial Institutions
  • Medical Institutions
  • Public Institutions
  • Major Companies
Products
  • Cloud Security Audits
  • Risk Assessment Services
  • Internal Control Support

Cloud Operation and Maintenance Services

Overview
Achieves stable operation of cloud environments centered on AWS.
Competitiveness
Rapid incident response and high customer satisfaction
Customers
  • Corporate IT Departments
  • SIers
  • Vendors
Products
  • 24/7 Operation Monitoring
  • System Maintenance
  • Troubleshooting

Consulting and Training

Overview
Provides specialized knowledge on cloud utilization to strengthen organizational capabilities.
Competitiveness
Experienced instructors and practical training
Customers
  • Corporate Executives
  • IT Engineers
  • Partner Companies
Products
  • Cloud Strategy Formulation
  • AWS Training Programs
  • Technology Transfer Support

System Integration

Overview
Supports integration of cloud infrastructure with legacy systems.
Competitiveness
Fusion of AWS technology and business knowledge
Customers
  • Mid-sized and Large Companies
  • Government Agencies
Products
  • Core System Development
  • Cloud-Linked Systems

Competitive Advantage

Strengths

  • Abundant specialized engineers focused on AWS
  • Extensive track record in cloud migration support
  • High-reliability services for financial institutions
  • Solid financial base and growth record
  • High-quality customer support
  • Rapid incident response capabilities
  • High technical prowess through continuous training
  • Customer-close operations based in Tokyo
  • Transparency from Tokyo Stock Exchange Standard listing
  • Experience implementing across diverse industries
  • Promotion of sustainability initiatives
  • Special support system for VIP customers
  • High-value-added cloud consulting
  • Internal control strengthening and audit response capabilities
  • Rapid adaptation to the latest AWS technologies

Competitive Advantages

  • Industry-leading number of AWS-certified engineers
  • Deep technical support for customers with stringent requirements like financial institutions
  • High reliability and transparency as a listed company on the Tokyo Stock Exchange
  • Comprehensive provision of diverse cloud services
  • Specialized team structure for rapid response to customer needs
  • Strength in talent development through technical training programs
  • Project execution capabilities in direct collaboration with major SIers
  • Excellence in security and compliance responses
  • Market adaptability through continuous technological innovation
  • Rich implementation track record across industries as differentiation base
  • Numerous AWS-related certifications acquired
  • End-to-end cloud support system
  • Exceptionally high customer satisfaction support quality
  • Cost reduction effects through cloud optimization
  • Advanced cloud operation automation technology

Threats

  • Increasing competitors in the cloud market leading to price competition
  • Intensifying competition from non-AWS cloud services
  • Rapid pace of technological changes increasing response burden
  • Rising risks from sophisticated cyberattacks
  • Impact of regulatory changes on business
  • Intensifying talent competition leading to engineer shortages
  • IT investment restraint due to economic downturn
  • Revenue decline from changes in existing customers' cloud configurations
  • Risk of delays in adopting emerging technologies
  • Delays in responding to customers' digital transformation
  • Changes in funding environment due to Tokyo Stock Exchange market reorganization
  • Market restructuring from competitors' M&A

Innovations

2021: Launch of Cloud Construction Services for Financial Institutions

Overview
Deployment of AWS infrastructure construction services meeting stringent security requirements.
Impact
Successful acquisition of new customers in the financial sector.

2022: Development of Cloud Operation Automation Tool

Overview
Release of automation tool to reduce operational load in AWS environments.
Impact
Achieved operation cost reduction and efficiency improvements.

2023: Launch of Sustainable Cloud Promotion Project

Overview
Initiation of cloud design and operation support services with focus on reducing environmental impact.
Impact
Contributes to improving customers' ESG ratings.

2023: Expansion of Hybrid Cloud Deployment Support Services

Overview
Deployment of services strengthening on-premises and AWS integration.
Impact
Addresses diverse customer needs and enhances market competitiveness.

Sustainability

  • Promotion of energy-saving designs in cloud operations
  • CO2 reduction through business efficiency using digital technologies
  • Development of environmentally considerate services in collaboration with partner companies
  • Promotion of remote work for employees to reduce commuting
  • Environmental impact reduction through cloud resource optimization
  • 推進 of paperless operations within the company
  • Promotion of diversity and fair talent utilization measures
  • IT education support activities for local communities
  • Establishment of sustainable procurement standards
  • Building trust through strengthened security and compliance
  • Preparation and promotion of environmental certifications
  • Employee environmental awareness programs