Monstarlab

Basic Information

Stock Code
5255
Industry
Information and Communications
Category Detail
Systems & Software
Prefecture
Tokyo
Establishment Year
February 2006
Listing Year
March 2023
Official Website
https://monstar-lab.com/global/
TSE Information
TSE Information
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Overview

Monstarlab is an information and communications company founded in 2006, specializing in global app development with a focus on digital consulting and in-house product development.

Current Situation

Monstarlab recorded net sales of approximately ¥13.3 billion for the fiscal year ended December 2023, while posting operating and net losses. It primarily operates digital consulting and product businesses, maintaining numerous bases domestically and internationally as a global company. Partnering with many overseas subsidiaries, it aims for growth mainly in Asian and Middle Eastern markets. In addition to RPA tools and store order systems, it is strengthening its IT education business. In recent years, it has reorganized overseas bases and reduced personnel to bolster its management foundation. Moving forward, it plans to improve profitability through expanded DX support services and enhanced digital product quality. Technological innovation and market expansion are key drivers of medium- to long-term growth.

Trivia

Interesting Facts

  • Company name is a coined term from French 'mon' and English 'star'.
  • Founded in Tokyo in 2006 and achieved international expansion in a short period.
  • Developed multilingual education programs to support multinational operations.
  • Operates a music platform supporting indie artists.
  • Global IT company with over 30 bases worldwide.
  • Pioneered RPA business early and established a leading position in the market.
  • Achieved rapid growth through multinational acquisitions via subsidiaries.
  • Specializes in UX/UI design within DX support services.
  • Listed on Tokyo Stock Exchange Growth Market in 2023.
  • Balances domestic and international IT education and technology development.
  • Successful in business expansion across diverse cultural regions.
  • Capable of one-stop service from consulting to software development.
  • Head office located in Prime Square Tower, Ebisu, Tokyo.
  • One of few IT companies with multiple subsidiaries in key overseas markets.
  • Aiming for profit improvement through personnel reduction and business reorganization.

Hidden Connections

  • Collaborating with IT education facilities in Southeast Asia to develop local talent.
  • Acquired Saudi Arabian company to strengthen ties and enter Middle East market.
  • Overseas development subsidiaries are key to executing global projects.
  • Supports growth of young indie artists through music distribution services.
  • Unique business model combining product development and consulting.
  • Utilizes powerful IT platforms for information sharing among bases in Asia.
  • Multilingual talent education contributes to enhanced competitiveness.
  • Owns numerous subsidiaries, each providing region-specific services.

Future Outlook

Growth Drivers

  • Rising demand for corporate digitalization
  • Expanded orders from increasing global IT projects
  • Expansion of RPA and automation tool markets
  • Strengthened overseas market development through multilingual support
  • Growth in IT education business due to rising demand
  • Increasing demand for DX promotion consulting

Strategic Goals

  • Achieve over 50% revenue ratio from overseas operations
  • Double in-house product sales
  • Stabilize financial base through profitability turnaround
  • Improve ESG ratings via sustainable operations
  • Global expansion of IT education programs
  • Strengthen recruitment and development of global talent
  • Ongoing social contribution activities in collaboration with local communities
  • Maintain competitiveness through adoption of industry-leading technologies
  • Enhance market adaptability with flexible business model shifts
  • Maximize repeat business through improved customer satisfaction

Business Segments

Digital Consulting Business

Overview
Provides a wide range of services comprehensively supporting clients' DX initiatives.
Competitiveness
Multilingual and multicultural responsiveness leveraging global bases
Customers
  • Large enterprises
  • Startups
  • Government agencies
  • SMEs
  • Overseas companies
Products
  • Business planning support
  • UX/UI design
  • System development
  • App development
  • DX promotion
  • IT consulting
  • Software operation support

Product Business

Overview
Supports efficiency and value creation in various industries through in-house products.
Competitiveness
Rapid customization and technological innovation through in-house development
Customers
  • Retail stores
  • Restaurant companies
  • IT education institutions
  • Music platform users
Products
  • RPA tools
  • Store order systems
  • IT education programs
  • Music distribution services

Global Sourcing Services

Overview
Provides cost-effective development structures utilizing resources domestically and internationally.
Competitiveness
Strong local base network in Asia and the Middle East
Customers
  • Japanese companies
  • Overseas corporations
Products
  • Offshore development
  • IT outsourcing

Competitive Advantage

Strengths

  • Global multi-base expansion
  • Broad digital solution provision capabilities
  • Strength in multicultural and multilingual support
  • In-house product development capabilities
  • Track record in IT education
  • Extensive IT consulting experience
  • Efficient global sourcing
  • Ability to incorporate cutting-edge technologies
  • Versatility across industries
  • Active recruitment of young talent
  • Customer-centric service provision
  • Flexible business reorganization capabilities
  • Expertise in RPA
  • Strong brand recognition
  • Overseas business expansion know-how

Competitive Advantages

  • Funding capabilities from Tokyo Stock Exchange Growth listing
  • Rapid global response via multinational subsidiaries and bases
  • Improved customer satisfaction through integration of in-house products and consulting
  • In-house talent development via proprietary education programs
  • Competitive edge secured by focus on Asia and Middle East markets
  • Efficient DX support using cutting-edge technologies
  • Comprehensive service lineup adaptable to diverse industries
  • Rapid business model transformation in response to market changes
  • Strong partnerships with diverse customer segments
  • Flexible pricing strategies and customization
  • Cost reduction effects from scale expansion
  • Technology and market acquisition through aggressive overseas M&A
  • Advanced IT operation support system
  • Education services supporting both online and offline
  • High customer retention rate due to brand strength and reliability

Threats

  • Price pressure from intensifying global competition
  • Risk of deteriorating profitability at overseas bases
  • Recruitment difficulties and rising personnel costs due to talent shortage
  • Delays in responding to technological changes
  • Impact of exchange rate fluctuations on earnings
  • Increasing competition from new entrants
  • Suppression of IT investments by client companies
  • Burden of regulatory and compliance enhancements
  • Risk of project reductions due to economic downturn
  • Overseas political risks and regulatory changes
  • Increasing cybersecurity risks
  • Reputation impact from delays in environmental considerations

Innovations

2024: Reorganization of overseas bases and personnel reduction

Overview
Implemented employee reductions in EMEA and AMER regions and dissolution of some subsidiaries.
Impact
Achieved improved earnings structure and organizational efficiency

2023: New listing on Tokyo Stock Exchange Growth Market

Overview
Achieved listing in March 2023 for fundraising purposes.
Impact
Enhanced financial flexibility and corporate branding

2022: Announcement of acquisition of Saudi Arabian company

Overview
Acquisition of consulting business for Middle East expansion, investment of approx. ¥2 billion.
Impact
Strengthened regional business foundation and market competitiveness

2021: Corporate identity refresh

Overview
Complete overhaul of brand and logo to refresh corporate image.
Impact
Improved market recognition and enhanced internal/external communications

2020: Establishment of Monstarlab Omnibus for RPA business

Overview
Strengthened business by establishing a specialized RPA company.
Impact
Enhanced RPA-related services and expanded market share

2023: Strengthening IT talent development via Monstar Academia

Overview
Expanded IT education programs to develop global talent.
Impact
Resolved talent shortage and expanded education business

2021: Acquisition of overseas digital product development companies

Overview
Acquired development companies in the US and Europe to enhance technological capabilities.
Impact
Diversified technologies and improved global product development

Sustainability

  • Promoting diverse and inclusive workplace environments
  • Environmental initiatives at global bases
  • Promoting CO2 reduction through remote work
  • Expanding social contribution programs
  • Developing sustainable IT services