Forval

Basic Information

Stock Code
8275
Industry
Wholesale
Category Detail
Building Materials, Electrical Equipment & Metal Wholesalers
Prefecture
Tokyo
Establishment Year
September 1980
Listing Year
November 1988
Official Website
https://www.forval.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
KTK, Hyper, Daibo Holdings, Recam, Startia Holdings, No.1, Aegis, AIE G, Canon Marketing Japan, Forval T

Overview

Forval is a wholesaler headquartered in Shibuya-ku, Tokyo, established in 1980, and has built a solid position in the industry through the development and sales of information and communication equipment, OA equipment, and security systems for small and medium-sized enterprises.

Current Situation

Forval transitioned to the Tokyo Stock Exchange Standard Market in 2023, achieving consolidated sales of approximately 57.5 billion yen in the fiscal year ended March 2019. Primarily targeting small and medium-sized enterprises, it offers sales, installation, and maintenance of business phones, OA equipment, security products, and network-related services, differentiating itself from competitors. In recent years, it has focused on IP telephony services adapting to the diversification of communication infrastructure and strengthening information security. It also engages in multifaceted operations including outsourcing and real estate-related businesses through subsidiaries, building a stable revenue base. Moving forward, it plans to strengthen digital transformation support and regional collaboration to contribute to the IT advancement of industries. While maintaining a stable position in existing markets, it is emphasizing new business development in DX and security fields.

Trivia

Interesting Facts

  • Developed LCR technology jointly with Masayoshi Son in the early days of founding
  • Previously established security business related to former NYC Mayor Giuliani
  • Long-term contribution to the industry in communication equipment sales for SMEs
  • Once gained attention for a business model involved in chain sales transaction issues
  • Related subsidiaries are diversified into communications, real estate, and more

Hidden Connections

  • Involved in communication charge optimization technology related to Masayoshi Son's early business
  • Giuliani Security links to international security talent resources
  • Forval Telecom operates as a Type II telecommunications carrier with its own system
  • Many small OA equipment sales agents originate from Forval alumni companies
  • Office provision by Forval's real estate subsidiary contributes to group profits

Future Outlook

Growth Drivers

  • Demand for IT and communication equipment renewal among SMEs
  • Network and security strengthening accompanying DX promotion
  • Expansion of 5G and next-generation communication technology adoption
  • Diversification of outsourcing services
  • New market development leveraging regional collaboration

Strategic Goals

  • Achieve group consolidated sales of 100 billion yen
  • Expansion of information security-related sales
  • Establishment as the leading company in SME DX support
  • Strengthening ongoing efforts to reduce environmental impact
  • Deepening of DX talent development programs and regional collaboration

Business Segments

Communication Equipment Sales for SMEs

Overview
Provides integrated sales and installation of communication equipment mainly for small and medium-sized enterprises.
Competitiveness
Extensive sales expansion utilizing agent network
Customers
  • SMEs
  • Mail-order businesses
  • Agents
  • IT service companies
  • Small businesses
Products
  • Business phones
  • IP telephone systems
  • OA equipment
  • Multifunction device maintenance services
  • Security equipment

Information Security Services

Overview
Provides products and services aimed at strengthening corporate information security.
Competitiveness
Advanced consulting through collaboration with Giuliani
Customers
  • Corporate information systems departments
  • Network administrators
  • Small offices
  • Government agencies
  • Educational institutions
Products
  • Network security
  • Firewalls
  • Physical security equipment
  • Security monitoring services
  • IT consulting

Outsourcing and Real Estate Related Business

Overview
Provides multifaceted business support through group subsidiaries.
Competitiveness
Stable revenue base from diversified businesses
Customers
  • Corporate executives
  • Real estate management companies
  • Outsourcing clients
  • SMEs
Products
  • Business outsourcing
  • Real estate rental management
  • Staff dispatching
  • Distance learning
  • BPO services

Mobile Communication Services

Overview
Engages in sales of mobile communication equipment and service agency operations.
Competitiveness
Integrated service provision by Forval Group
Customers
  • Corporate customers
  • Agents
  • Communication carriers
  • SMEs
Products
  • Mobile phone terminal sales
  • Communication service agency
  • ISP services
  • Mobile solutions

Web Solution Business

Overview
From planning and development to sales of web-related products and services.
Competitiveness
Comprehensive support system for SMEs
Customers
  • SMEs
  • Local governments
  • Educational institutions
  • Small service businesses
Products
  • Website creation
  • EC site construction
  • Online marketing
  • Web maintenance management

Competitive Advantage

Strengths

  • Sales strength in information and communication equipment specialized for SMEs
  • Extensive sales channels through agent network
  • Diversified group business structure
  • Accumulated long-term IT and communication know-how
  • Advanced security consulting capabilities

Competitive Advantages

  • Communication cost reduction service through proprietary LCR technology development
  • Collaboration system with Giuliani Security
  • Integrated solution provision through diverse subsidiaries
  • Trust built mainly with regional SMEs
  • Revenue stability from extensive outsourcing business

Threats

  • Rise of direct sales by major communication carriers
  • Risk of product obsolescence due to technological innovation
  • Legal risks related to chain sales transactions
  • SME capital investment restraint due to economic fluctuations
  • Intense price competition and thin-margin high-volume market

Innovations

2023: DX Collaboration with Nagasaki International University

Overview
Launched collaboration support project for DX promotion aimed at regional talent development.
Impact
Contribution to improving regional IT skills and opening new customer segments.

2022: Enhancement and Expansion of IP Phone Technology

Overview
Stabilization of cloud IP phone services and rollout for SMEs.
Impact
Proven results in communication cost reduction and customer satisfaction improvement.

2021: Operational Efficiency Improvement by Forval Telecom

Overview
Introduced efficient operation system as a communications provider without its own transmission network.
Impact
Contributes to cost reduction and billing process efficiency.

2020: Nationwide Sales of FortiGate Security Products

Overview
Successfully expanded distribution channels for network security products.
Impact
Supports strengthening of corporate customers' information security.

Sustainability

  • IT equipment recycling promotion program
  • Promotion of paperless operations within the company
  • Efforts to improve energy efficiency
  • Support for employees' work-style reforms
  • Environmental protection activities through collaboration with local communities