ELEMENTS

Basic Information

Stock Code
5246
Industry
Information and Communications
Category Detail
Systems & Software
Prefecture
Tokyo
Establishment Year
December 2013
Listing Year
December 2022
Official Website
https://elementsinc.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Liberaware, Celsys, Broadleaf, Intertrade, Data Section, Ecomott, PlusAlpha Consulting, Appier Group, Finatext Holdings, Smaregi, WingArc1st, Kaonavi, Sansan, Cybozu, Perseus Proteomics, Rena Science, POPER, note, ABEJA, QPS Institute

Overview

ELEMENTS is a growing company in the information and communications industry founded in 2013, with strengths in package software and data analysis, collaborating with numerous companies to establish a strong market presence.

Current Situation

ELEMENTS, with about 10 years of history, listed on the Tokyo Stock Exchange in December 2022 and has achieved rapid growth. It provides a wide range of software to the package software industry and has gained trust with over 550 cumulative contracts. By strengthening collaboration with a subsidiary from the Sumitomo Mitsui group, it has stabilized its management base and is focusing on data analysis using AI and machine learning. Compared to competitors, it maintains superiority in both system development and package software, while also advancing the adoption of advanced technologies such as facial recognition. In the future, it aims to strengthen information security and expand the B2B market, charting a path for stable growth. It plans to flexibly respond to changes in the market environment, expand its customer base including local companies, and create new businesses.

Trivia

Interesting Facts

  • Achieved Tokyo Stock Exchange listing in under 10 years since founding in 2013.
  • Receives support from major capital via Sumitomo Mitsui group subsidiary.
  • Holds extensive track record from early entry into AI and machine learning.
  • Pioneered facial recognition introduction for financial institutions.
  • Boasts approximately 550 cumulative client companies, high trust level.
  • Flexible software development responding to diverse industry needs.
  • Holds multiple awards in security-related fields.
  • President Takaki Hasegawa has extensive achievements in both technology and management.
  • Possesses numerous in-house brand package products.
  • Active in opening local bases for regional revitalization.
  • Risk diversification through both B2B and B2C business deployments.
  • Comprehensive employee training supporting technology enhancement.
  • Notable company on Tokyo Stock Exchange Growth market.
  • IT venture highlighted in Nikkei and multiple media.
  • Emerging company strong in cloud-related technologies.

Hidden Connections

  • Deep ties to financial industry via relationship with Sumitomo Mitsui affiliate subsidiary.
  • Achieved product expansion through technical alliances with multiple related software companies.
  • Facial recognition technology adopted for account authentication by multiple major securities firms.
  • Leads Japan's IT software industry forefront alongside related companies Sansan and Cybozu.
  • Contributes to engineer development by expanding customer network in education and training.
  • Close collaboration with local companies in system development for logistics and retail.
  • Engages in technical exchanges with overseas startups in AI and big data analysis.
  • Holds multiple patented technologies applied to system and software development.

Future Outlook

Growth Drivers

  • New service creation from advancement of AI and machine learning technologies.
  • Increased software demand accompanying cloud utilization expansion.
  • Corporate IT investment growth from DX acceleration post-COVID.
  • Security enhancement needs centered on facial recognition.
  • Customer development via collaboration with Sumitomo Mitsui group.
  • Sales expansion opportunities from SME IT adoption promotion.
  • Growth in IoT data management and analysis fields.
  • Talent development through expansion of education and training business.
  • Gradual overseas market expansion and partner development.
  • Differentiation from advanced big data analysis.
  • IT investment support from government digital policies.
  • Increased cloud demand from remote work prevalence.

Strategic Goals

  • Aim to exceed 1,000 cumulative client companies.
  • Maintain domestic top-class status in AI and machine learning.
  • Expand market share in facial and biometric authentication technologies.
  • Standardize cloud-integrated services as platforms.
  • Nationwide development of local and SME markets.
  • Promote employee diversity and technology enhancement.
  • Expand sustainability対応 IT services.
  • New business revenue ratio over 30% of total.
  • Expand business overseas and promote local collaborations.
  • Acquire domestic top-level information security certifications.

Business Segments

System Orders and Custom Software Development

Overview
Conducts custom software design and development tailored to needs across diverse industries.
Competitiveness
Proven track record across a wide range of industries and high technical capabilities
Customers
  • Major Financial Institutions
  • Manufacturing Companies
  • Retail Chains
  • Public Institutions
  • Telecommunications Carriers
  • Medical Institutions
  • Logistics Companies
  • Educational Institutions
  • Real Estate Companies
  • IT Vendors
Products
  • Business Support Systems
  • Data Analysis Software
  • AI Learning Model Development
  • Security Solutions
  • Cloud Infrastructure Setup
  • Industry-Specific Packages
  • Customer Management Systems
  • Workflow Management
  • Facial Recognition Technology
  • IoT Data Utilization Systems

Package Software Sales and Operation Support

Overview
Provides sales of in-house developed package software and post-implementation operation support services.
Competitiveness
Continuous customer support and flexible customization
Customers
  • SMEs
  • Mid-sized Companies
  • IT Service Companies
  • System Integrators
  • Educational Institutions
Products
  • ELEMENTS Package Products
  • License Management Services
  • Operation and Maintenance Services
  • User Training
  • Implementation Consulting

AI and Machine Learning Solutions

Overview
Provides business efficiency improvements and innovative services using AI and machine learning technologies.
Competitiveness
Advanced technical capabilities and extensive track record
Customers
  • Manufacturing Companies
  • Financial Institutions
  • Marketing Companies
  • Startups
  • Research Institutions
Products
  • AI Model Construction Support
  • Predictive Analysis Systems
  • Image Recognition Solutions
  • Text Analysis Tools
  • Chatbot Development

Security and Authentication Services

Overview
Deploys advanced authentication systems centered on facial recognition and comprehensive security services.
Competitiveness
Advanced authentication technology and reliability
Customers
  • Financial Institutions
  • Securities Firms
  • Government Agencies
  • Large Enterprises
  • Telecommunications Carriers
Products
  • Facial Recognition Systems
  • Multi-Factor Authentication Products
  • Access Management
  • Threat Detection Services
  • Security Audits

Cloud System Construction and Operation

Overview
Provides cloud environment design, construction, and operation services tailored to customer needs.
Competitiveness
Flexible cloud対応 capabilities
Customers
  • IT Companies
  • Financial Institutions
  • Retailers
  • Medical Institutions
  • Educational Institutions
Products
  • Cloud Infrastructure Construction
  • SaaS Provision
  • Data Backup
  • Failure Monitoring Services
  • Private Cloud

Consulting and System Integration

Overview
Resolves customer management challenges through advanced IT consulting and system construction.
Competitiveness
Extensive project management experience
Customers
  • Large Enterprises
  • Mid-sized Companies
  • Government Agencies
  • Financial Institutions
  • Manufacturing
Products
  • IT Strategy Planning Support
  • System Design and Construction
  • Business Process Improvement
  • Digital Transformation
  • Project Management

Education and Training Services

Overview
Provides diverse education and training services for IT skill enhancement.
Competitiveness
Practical focus on the latest technologies
Customers
  • Corporate Personnel
  • IT Engineers
  • Students
  • Government Agencies
  • Educational Institutions
Products
  • Programming Training
  • AI Utilization Training
  • Data Analysis Courses
  • Security Training
  • Cloud Technology Workshops

Software Development Tools Provision

Overview
Provides a suite of tools supporting efficient software development.
Competitiveness
User-friendly and highly functional product lineup
Customers
  • Software Development Companies
  • IT Startups
  • R&D Institutions
  • Indie Developers
  • Educational Institutions
Products
  • Development Libraries
  • API Services
  • Testing Tools
  • Debugging Support
  • Code Management Tools

Customer Data Management Solutions

Overview
Realizes unified customer information management and efficient marketing support.
Competitiveness
Extensive implementation track record and analytical capabilities
Customers
  • Retailers
  • Service Industries
  • Marketing Companies
  • Financial Institutions
  • Logistics Companies
Products
  • CRM Systems
  • Customer Analysis Tools
  • Marketing Automation
  • Data Integration Services
  • Customer Behavior Analysis

IoT Data Platform

Overview
Efficiently manages and analyzes large volumes of data obtained from IoT.
Competitiveness
Extensive IoT対応 technologies
Customers
  • Manufacturing
  • Logistics Companies
  • Construction
  • Agricultural Corporations
  • Smart City Operators
Products
  • Sensor Integration Platform
  • Real-Time Data Analysis
  • Predictive Maintenance Systems
  • Remote Monitoring Services
  • Energy Management Tools

Business Intelligence Support

Overview
Deploys advanced business intelligence services supporting management decisions.
Competitiveness
Extensive business knowledge and technology integration
Customers
  • Mid-sized Companies
  • Retail
  • Financial Institutions
  • Manufacturing
  • Service Industries
Products
  • BI Tool Provision
  • Dashboard Creation
  • Data Visualization Services
  • Data Integration Support
  • Report Auto-Generation

Cloud Security

Overview
Provides comprehensive services to reduce security risks in cloud usage.
Competitiveness
Integrated expertise in cloud and security
Customers
  • Cloud Service Providers
  • Large Enterprises
  • Mid-sized IT Companies
  • Financial Institutions
  • Public Institutions
Products
  • Cloud Environment Audits
  • Intrusion Detection Systems
  • Threat Intelligence Sharing Services
  • Access Control
  • Multi-Factor Authentication

Competitive Advantage

Strengths

  • Advanced data analysis technology and AI utilization capabilities
  • Flexibility to accommodate diverse industries
  • Strong capital and business alliance with Sumitomo Mitsui group
  • Security technologies including advanced facial recognition
  • Extensive package software product lineup
  • Positioning in rapidly growing markets
  • Broad customer base with over 550 contracts
  • Rapid technology update system
  • Highly reliable services backed by track record
  • Precise strategy execution by strong management team
  • Comprehensive cloud integration and mobile support
  • Revenue stability from multifaceted business segments
  • Custom development responsive to customer needs
  • Advanced expertise and development capabilities of engineers
  • Talent development system through education and training services

Competitive Advantages

  • Market competitiveness from balancing package software and custom development
  • Technological superiority from early entry into AI and machine learning
  • Strong network and track record serving wide industry customers
  • Stabilization of capital and customer base via Sumitomo Mitsui subsidiary
  • Provision of advanced security products like facial recognition
  • Accumulated know-how in large-scale big data analysis
  • Deployment and track record of diverse cloud integration services
  • Comprehensive solution provision across segments
  • Improved customer satisfaction through high-quality support services
  • Skill enhancement of engineers via continuous training
  • Future-proofing through multi-layered technology development
  • Customer closeness via flexible customization services
  • Extensive implementation track record of advanced facial recognition services
  • Development experience in industry-specific software across sectors
  • Proactive new business development and market expansion

Threats

  • Risk of lagging in rapidly evolving IT technologies
  • Competitor technological innovations and increased market entry
  • Revenue pressure from customer IT investment restraint
  • Risk of security incidents like data leaks
  • Business impact from regulatory changes
  • Price competition pressure from intensifying global competition
  • Differentiation challenges from AI technology standardization
  • Contract reduction from major customer performance deterioration
  • Talent shortage and engineer attrition risk
  • Investment decline from economic downturn
  • Impacts from foreign exchange and geopolitical risks
  • Failure risk from high technology dependency

Innovations

2024: Advancement of facial recognition technology and expansion into financial sector

Overview
Developed latest facial recognition technology and introduced it for securities account authentication. Contributes to enhancing market competitiveness.
Impact
New customer acquisition in finance and increased contracts

2023: Management base strengthening via major Sumitomo Mitsui affiliate subsidiary

Overview
Strengthened capital and sales power by making Sumitomo Mitsui affiliate a subsidiary, accelerating growth.
Impact
Cumulative contracts exceed 550 companies, securing stable growth path

2022: Development of business automation solutions using AI and machine learning

Overview
Successfully developed and launched AI automation software for multiple industries.
Impact
Promotion of business efficiency and new market development

2021: Launch of cloud-integrated big data analysis service

Overview
Launched high-speed data analysis solutions on cloud, improving competitiveness.
Impact
Improved customer satisfaction and increased contracts

2020: Major expansion of system development structure and opening of regional bases

Overview
Opened new bases and increased engineers to strengthen services for local companies.
Impact
Increased customer acquisition in local markets

Sustainability

  • Promotion of environmentally friendly data centers
  • Provision of software promoting paperless operations
  • Participation in IT support projects for regional revitalization
  • Programs to promote hiring and development of female engineers
  • Customer information protection through enhanced security