Falco Holdings

Basic Information

Stock Code
4671
Industry
Services
Category Detail
Biotechnology & Pharmaceuticals
Prefecture
Kyoto Prefecture
Establishment Year
August 1982
Listing Year
April 1997
Official Website
http://www.falco-hd.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Kojin Bio, Linical, Transgenic Group, Shin Nihon Kagaku, DNA Chip Research, DVx, Egrand, H.U. Group Holdings, BML, Clip, Human Metabolome Technologies, PhoenixBio

Overview

Falco Holdings is a major holding company in the bio and pharmaceutical industry, established in 1988 with its head office in Kyoto Prefecture, engaging in clinical testing outsourcing and medical-related services.

Current Situation

Falco Holdings recorded consolidated sales of approximately ¥46 billion and operating profit of approximately ¥2.15 billion in the fiscal year ending March 2017, achieving stable growth. Its core clinical testing outsourcing business provides high-quality services to medical institutions and maintains a solid position in the industry. Through collaboration among group companies, it has developed advanced testing technologies and established a rapid testing system. In recent years, it has focused on research and development and bio-related fields by selling off its drugstore business. In terms of sustainability, it emphasizes medical safety and personal information protection, strengthening contributions to regional healthcare. In the future, it plans to introduce new technologies and expand services to adapt to changes in the medical environment with a growth strategy. Additionally, diversification of related companies has realized business risk dispersion, contributing to performance stability.

Trivia

Interesting Facts

  • Group companies hold multiple patents for medical testing technologies
  • Listed on the First Section of Tokyo and Osaka Stock Exchanges in 2005
  • Fully withdrew from drugstore business in 2014 to specialize
  • Roots trace back to Kansai Medical Testing Center founded in 1962
  • Head office in Sakyo-ku, Kyoto City, located in a medical-related company cluster
  • Deploys comprehensive medical services in close collaboration with regional healthcare
  • Related company Falco Bio handles bio research and development
  • Top-class market share in Japan's clinical testing outsourcing market
  • Industry-leading early introduction of online health consultations
  • Forms a large organization with over 1,400 medical professionals

Hidden Connections

  • Transferred all shares of Shino Pharmacy to Matsumoto Kiyoshi in 2013, contributing to industry reorganization
  • Absorbed and merged Cosmic Co., Ltd. and Falco Communications to strengthen business integration
  • Collaborates with many pharmaceutical companies on clinical trials, contributing to new drug development
  • Adapted to market changes through listing transition from Tokyo Stock Exchange to Osaka Stock Exchange
  • Genome Business Division Head appointed as Vice President and Senior Executive Officer to advance technological strengthening
  • Maintains deep partnerships with regional medical institutions, contributing to regional health maintenance
  • Contributes to regional industrial development as a bio holding company headquartered in Kyoto
  • Comprehensive deployment in medical and bio fields through diversified subsidiaries

Future Outlook

Growth Drivers

  • Increasing demand for clinical trials domestically and internationally
  • Spread of advanced medical technologies such as genome analysis
  • Acceleration of medical IT and AI technology adoption
  • Expansion of testing needs in aging society
  • Diversification of research and development support services
  • Growth in bio-pharmaceutical market
  • Strengthening collaboration with regional healthcare
  • Establishment of sustainable medical service provision systems
  • Market expansion through global deployment
  • Increased business opportunities from regulatory easing and legal amendments
  • Strengthening partnerships with pharmaceutical companies
  • Advanced data analysis services

Strategic Goals

  • Maintain top position in clinical testing outsourcing market
  • 50% improvement in operational efficiency through AI and IT utilization
  • Secure domestic leadership in genome analysis field
  • Build sustainable regional healthcare support model
  • Achieve ¥10 billion in sales from new bio-related businesses
  • Maximize group synergy for revenue expansion
  • Gradual entry into overseas markets and establish business foundation
  • Strengthen talent development and next-generation leader cultivation
  • Obtain international certifications for medical safety and personal information protection
  • Maximize quality of medical services and customer satisfaction

Business Segments

Clinical Testing Outsourcing Service

Overview
Provides comprehensive services from planning and operation to analysis support for clinical trials for new drug development.
Competitiveness
Integrated services combining clinical testing and clinical trial support
Customers
  • Pharmaceutical companies
  • Medical institutions
  • Research institutions
  • Clinical trial sites
  • Public research institutions
Products
  • Clinical trial support (CRO)
  • Clinical trial outsourcing (SMO)
  • Gene analysis
  • Biomarker analysis
  • Clinical testing

Dispensing Pharmacy Operations

Overview
Supports patient health management through community-based dispensing pharmacy operations.
Competitiveness
Dispensing network linked with medical institutions
Customers
  • General patients
  • Medical institutions
  • Nursing facilities
Products
  • Prescription dispensing
  • OTC pharmaceutical sales
  • Medication guidance service

Management Operations for Group Companies

Overview
Support services to promote efficiency in management operations across the group.
Competitiveness
One-stop support leveraging specialized knowledge
Customers
  • Group companies
  • Internal departments
Products
  • Accounting & HR support
  • Business efficiency services

Competitive Advantage

Strengths

  • Diversified business expansion specialized in medical and bio fields
  • Advanced clinical testing technology and clinical trial support expertise
  • Strong collaboration with medical institution networks
  • Efficient operations through group synergy
  • Stable financial base and solid management structure
  • Contributions to regional healthcare and reliability
  • Collaborative framework with a wide range of related companies
  • Long years of industry experience and track record
  • High-quality research and development capabilities
  • Customer satisfaction through diverse service offerings

Competitive Advantages

  • Structure handling both clinical trial outsourcing (CRO) and clinical trial support (SMO)
  • Rapid testing and analysis services in partnership with medical institutions
  • Service expansion rooted in regional medical networks
  • One-stop medical support through cooperation with related subsidiaries
  • High-precision testing via introduction of latest bio technologies
  • Customizable clinical trial support for pharmaceutical companies
  • Long-term business investments possible due to stable financial base
  • Strong systems for medical information security management
  • Abundant employee experience and securing of specialized personnel
  • Rapid decision-making and flexible management responses

Threats

  • Business impact risks from changes in medical laws and regulations
  • Competition in advanced technology development from rivals
  • Trends in medical cost containment due to aging population decline
  • Market fluctuations from emerging bio ventures
  • Uncertainty in external environment such as infectious disease outbreaks
  • Potential credit decline from information leakage risks
  • Cost increases in materials and equipment due to exchange rate fluctuations
  • Price pressures from intensifying competition in clinical trial market
  • Decline in market competitiveness from delays in technological innovation
  • Challenges in securing talent due to labor shortages

Innovations

2023: Introduction of Next-Generation Gene Analysis Technology

Overview
Adopted analysis equipment enabling high-precision and rapid gene testing.
Impact
Achieved improved testing accuracy and shortened delivery times

2022: Development of AI-Utilizing Testing Automation System

Overview
Introduced AI technology for image analysis and data processing into testing operations.
Impact
30% improvement in operational efficiency and reduction in human errors

2021: Launch of Online Health Consultation Platform

Overview
Rolled out new service connecting remote patients with experts.
Impact
Improved customer satisfaction and increased new customer acquisition

2020: Completion of IT Security Enhancement Project

Overview
Introduced advanced security technologies to protect customer information.
Impact
Significant reduction in information leakage risks

Sustainability

  • Promotion of medical waste reduction programs
  • CO2 reduction through introduction of renewable energy
  • Comprehensive support activities for regional healthcare
  • Enhanced employee health and safety management
  • Thorough personal information protection and privacy management