# DIGITAL HEARTS HOLDINGS Co., Ltd.: business model and financials

> Latest period: FY ending Mar 2026, consolidated, J-GAAP
> Unit: JPY millions
> Sources: 有価証券報告書－第13期(2025/04/01－2026/03/31) (S100YH90)
> Page: https://vizora.meequs.com/en/company/digital-hearts-holdings
> Retrieved: 2026-09-30T22:26:30.360Z

## Company

Digital Hearts Holdings, founded in 2001, is a company in Cybersecurity listed on TSE Prime. It has 2,132 employees (consolidated).

| Field | Value |
| --- | ---: |
| Legal name | DIGITAL HEARTS HOLDINGS Co., Ltd. |
| Ticker | 3676 |
| Stock price | View on Yahoo Finance (https://finance.yahoo.co.jp/quote/3676.T) |
| Listing | TSE Prime |
| Head office | 東京都新宿区西新宿三丁目20番2号 |
| Representative (per filing) | 代表取締役社長 CEO 筑紫 敏矢 |
| Founded | Apr 2001 |
| Share capital | ¥300.7M |
| Employees (consolidated) | 2,132 |
| Average salary (parent only) | ¥8M |
| Fiscal year end | March |
| Website | www.digitalhearts-hd.com (https://www.digitalhearts-hd.com/) |
| Corporate number | 1010401108134 |
| EDINET | E27655 |
| Industries (Vizora) | Cybersecurity, IT Services & System Integration, Games |

> Profile source: annual securities report (S100YH90, filed 2026-06-23). As of filing

## Five-axis industry profile

Primary industry: Games (2026-03-31)

| Axis | Industry percentile | Peers |
| --- | ---: | ---: |
| Revenue growth | 84.7 | 36 |
| Profitability | 57.3 | 41 |
| Cash conversion | 59.7 | 31 |
| Efficiency | 96.3 | 41 |

Each axis is shown independently. Missing values are labeled unavailable; no combined score is calculated. Industry rank is not an investment recommendation.

## Key points (generated from figures)

- About 59% of Digital Hearts Holdings's sales come from DH Group, with AGEST Group making up much of the rest.
- Out of every ¥100 of sales, about ¥7 is left as operating profit.
- Revenue changed -2.1% from the prior year, operating profit +8.1%.

## Company structure

- Segment revenue mix: DH Group 59.1%、AGEST Group 40.9%
- Revenue → net income: ¥38928746000 → ¥1212886000
- Net income → operating cash flow: ¥1212886000 → ¥3224551000（difference ¥2011665000）
- Main uses of operating cash flow: CapEx ¥779976000 / dividends ¥534785000 / buybacks —
- Change in cash: ¥-461590000
Segment shares use total reported segment revenue, which may include inter-segment sales. The cash bridge is operating cash flow minus net income and combines non-cash items and working-capital effects.

## Key figures at a glance

| Metric | Value | Note |
| --- | ---: | ---: |
| Revenue | ¥38.9B |  |
| Operating income | ¥2.63B | Margin 6.7% |
| Net income | ¥1.18B | Margin 3.0% |
| Free cash flow | ¥2.44B |  |
| Largest business | DH Group | of segment revenue 59.1% |
| Employees (consolidated) | 2,132 |  |
| EPS | ¥-15.75 |  |
| Book value per share | ¥150.89 |  |
| Equity ratio | 44.7% |  |
| Shares outstanding | 23,890,800 |  |
| Treasury shares | 1,591,900 |  |
| Shareholders | 7,765 |  |
| Average salary (parent only) | ¥8M | Filing company only |
| Cash ratio | 33.1% | Cash ÷ revenue 18.3% |
| Vs. industry median margin | +1.3 pp | Games |
| ROE | 14.4% | Derived from disclosed figures |
| ROA | 5.7% | Derived from disclosed figures |

## Notable figures

- FY2026, operating cash flow is 2.7× net income
- FY2026, one segment accounts for 86% of positive segment profit
- FY2026, segment profit share differs by 26 points

## What changed in 5 years

| Metric | FY ending Mar 2021 | FY ending Mar 2026 | Change |
| --- | ---: | ---: | ---: |
| Revenue | ¥22669577000 | ¥38928746000 | +71.7% |
| Operating income | ¥1908694000 | ¥2626166000 | +37.6% |
| Operating margin | 8.4% | 6.7% | -1.7 pp |
| Employees | 1,431 people | 2,132 people | +49.0% |
| Cash and equivalents | ¥5041396000 | ¥7132151000 | +41.5% |

### Change in segment revenue mix

Span: FY ending Mar 2021 → FY ending Mar 2026. Stable segment keys are connected; unmatched shares are marked as new or reorganized. Shares use total segment revenue.

| Flow | Revenue share |
| --- | ---: |
| エンタープライズ事業 → 事業再編・廃止 | 31.0% |
| エンターテインメント事業 → 事業再編・廃止 | 69.0% |
| 新設・再編 → DHグループ事業 | 59.1% |
| 新設・再編 → AGESTグループ事業 | 40.9% |

Segment revenue source references: 4 (derived)

## Income statement（FY ending Mar 2026, consolidated, J-GAAP）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Revenue | 38,929 | 100.0% | S100YH90 |
| Cost of revenue | 28,928 | 74.3% | S100YH90 |
| Gross profit | 10,001 | 25.7% | S100YH90 |
| SG&A | 7,375 | 18.9% | S100YH90 |
| Operating income | 2,626 | 6.7% | S100YH90 |
| Ordinary income | 2,583 | 6.6% | S100YH90 |
| Pretax income | 1,857 | 4.8% | S100YH90 |
| Income tax | 644 | 1.7% | S100YH90 |
| Net income | 1,213 | 3.1% | S100YH90 |
| Net income attributable to owners | 1,182 | 3.0% | S100YH90 |

## Per ¥100 of revenue（FY ending Mar 2026）

| Part | JPY |
| --- | ---: |
| Cost of revenue | 74 |
| SG&A | 19 |
| Operating income | 7 |
| (Ref.) Net income | 3 |

### Margin funnel

Gross margin 25.7% → Operating margin 6.7% → Net margin 3.0%
Derived from reported figures (DERIVED).

## Revenue and profit pattern

Pattern: Revenue down, profit up
Revenue growth: -2.1%; Core profit growth: +8.1%
Operating leverage (core profit growth ÷ revenue growth): -3.91×
Calculated from comparable annual consolidated filings.

## Year over year（FY ending Mar 2025 → FY ending Mar 2026、JPY mn）

| Metric | Prior | Current | Change | % change |
| --- | ---: | ---: | ---: | ---: |
| Revenue | 39,749 | 38,929 | -820 | -2.1% |
| Gross profit | 10,138 | 10,001 | -137 | -1.4% |
| Operating income | 2,430 | 2,626 | 196 | +8.1% |
| Net income attributable to owners | 629 | 1,182 | 552 | +87.7% |
| Operating cash flow | 3,119 | 3,225 | 105 | +3.4% |
| Free cash flow | 2,383 | 2,445 | 61 | +2.6% |

## History（JPY mn）

| Period | Revenue | Op. income | Op. margin | Net income | Op. CF | FCF | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| FY ending Mar 2020 | 21,138 | 1,394 | 6.6% | 792 | 1,087 | 830 | S100LQJ1 |
| FY ending Mar 2021 | 22,670 | 1,909 | 8.4% | 974 | 1,417 | 1,096 | S100P3SF |
| FY ending Mar 2022 | 29,179 | 2,696 | 9.2% | 1,779 | 3,077 | 2,698 | S100R6RM |
| FY ending Mar 2023 | 36,518 | 3,001 | 8.2% | 800 | 2,851 | 1,818 | S100TVQK |
| FY ending Mar 2024 | 38,790 | 2,040 | 5.3% | 177 | 1,759 | 947 | S100WCTJ |
| FY ending Mar 2025 | 39,749 | 2,430 | 6.1% | 629 | 3,119 | 2,383 | S100YH90 |
| FY ending Mar 2026 | 38,929 | 2,626 | 6.7% | 1,182 | 3,225 | 2,445 | S100YH90 |

## People and productivity（FY ending Mar 2026, consolidated, J-GAAP）

| Metric | Value |
| --- | ---: |
| Revenue per employee (consolidated) | ¥18.3M |
| Operating income per employee (consolidated) | ¥1.2M |
| Net income per employee (consolidated) | ¥554.3K |

Employees, revenue and profit are consolidated. Average annual salary is a separate parent-company figure. Calculated from disclosed figures (DERIVED).

| History | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Employees (consolidated) | 1,683 | 1,746 | 1,870 | 1,759 | 2,132 |
| Average salary (parent company) | ¥6.7M | ¥6.5M | ¥6.7M | ¥7.9M | ¥8M |
| Average age (parent company) | 41.0 years | 40.6 years | 43.2 years | 45.0 years | 46.3 years |
| Average tenure (parent company) | 5.3 years | 3.3 years | 3.4 years | 4.0 years | 4.5 years |

Year over year: Employees (consolidated) +21.2% · Revenue (consolidated) -2.1%

## Segments（FY ending Mar 2026, consolidated, J-GAAP、JPY mn）

| Segment | Revenue | Share | Op. income | Op. margin |
| --- | ---: | ---: | ---: | ---: |
| DH Group | 22,998 | 59.1% | 2,246 | 9.8% |
| AGEST Group | 15,931 | 40.9% | 381 | 2.4% |

### segmentMix — Revenue and profit mix

Calculated from disclosed figures (DERIVED). Shares use total segment revenue and total positive segment profit respectively. Difference = profit share − revenue share (pt). Inter-segment sales may prevent reconciliation to company revenue.

| Segment | Revenue share | Profit share | Difference (pt) | Margin |
| --- | ---: | ---: | ---: | ---: |
| DH Group | 59.1% | 85.5% | 26.4 | 9.8% |
| AGEST Group | 40.9% | 14.5% | -26.4 | 2.4% |

Segment → industry: AGEST Group → Cybersecurity / AGEST Group → IT Services & System Integration / DH Group → Games

## Revenue by geography

No geographic revenue breakdown was disclosed.

## Cash flow（FY ending Mar 2026, consolidated, J-GAAP）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Operating cash flow | 3,225 | 8.3% | S100YH90 |
| Capital expenditure | 780 | 2.0% | S100YH90 |
| Free cash flow | 2,445 | 6.3% | 算出 |
| Investing cash flow | -3,724 | -9.6% | S100YH90 |
| Financing cash flow | -92 | -0.2% | S100YH90 |
| Dividends paid | 535 | 1.4% | S100YH90 |
| Change in cash | -462 | -1.2% | S100YH90 |
| Cash and equivalents | 7,132 | 18.3% | S100YH90 |

## Balance sheet

Figures are as of each fiscal year end. Derived values are marked as such in the source column. Lease liabilities are excluded from interest-bearing debt.

| Metric | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| Cash and equivalents | 5,174 | 6,457 | 6,859 | 7,594 | 7,132 | S100TVQK, S100WCTJ, S100YH90 |
| Total assets | 17,610 | 19,582 | 21,103 | 19,949 | 21,532 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |
| Net assets | 7,566 | 9,475 | 8,852 | 9,261 | 9,962 | S100TVQK, S100WCTJ, S100YH90 |
| Share capital | 301 | 301 | 301 | 301 | 301 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |
| Inventories | 17 | 25 | 32 | 65 | 69 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |
| Property, plant and equipment | 693 | 1,170 | 1,491 | 1,475 | 1,620 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |
| Intangible assets excluding goodwill | 5,140 | 4,189 | 2,908 | 1,748 | 2,771 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |
| Goodwill | 4,588 | 3,468 | 2,313 | 1,035 | 1,791 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |
| Investment securities | 237 | 495 | 1,793 | 1,341 | 1,342 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |
| Current assets | 10,393 | 12,529 | 13,527 | 14,069 | 14,031 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |
| Current liabilities | 9,679 | 9,931 | 12,026 | 10,473 | 11,188 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |
| Short-term borrowings | 5,421 | 5,107 | 7,095 | 5,200 | 5,673 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |
| Long-term borrowings | 170 | — | — | — | — | S100R6RM |
| Total liabilities | 10,044 | 10,107 | 12,251 | 10,689 | 11,570 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |
| Non-controlling interests | 575 | 661 | 437 | 307 | 332 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |
| Equity attributable to owners of parent | 6,774 | 8,284 | 7,686 | 7,859 | 8,517 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |
| Retained earnings | 9,019 | 9,428 | 9,137 | 9,299 | 9,945 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |
| Treasury stock | -2,546 | -1,838 | -1,818 | -1,806 | -1,792 | S100R6RM, S100TVQK, S100WCTJ, S100YH90 |

### Assets and funding mix

| Assets | Share | Source |
| --- | ---: | ---: |
| Cash | 33% | S100YH90 |
| Inventories | 0% | S100YH90 |
| Property, plant and equipment | 8% | S100YH90 |
| Intangibles and goodwill | 21% | S100YH90 |
| Investment securities | 6% | S100YH90 |
| Other assets | 32% | S100YH90 |

| Funding source | Share | Source |
| --- | ---: | ---: |
| Other liabilities | 54% | S100YH90 |
| Equity | 46% | S100YH90 |

### Balance sheet history

| Metric | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Total assets | 17,610 | 19,582 | 21,103 | 19,949 | 21,532 |
| Equity | 7,566 | 9,475 | 8,852 | 9,261 | 9,962 |
| Interest-bearing debt | — | — | — | — | — |
| Cash | 5,174 | 6,457 | 6,859 | 7,594 | 7,132 |

## Asset intensity and goodwill

Ratios are derived from reported values. Goodwill is used only when separately reported, never inferred from combined intangible assets.

| Metric | Value | Sources |
| --- | ---: | ---: |
| Asset intensity (fixed assets ÷ revenue) | 4.2% | S100YH90 |
| Fixed assets ÷ total assets | 7.5% | S100YH90 |
| Goodwill ÷ parent equity | 21.0% | S100YH90 |

Goodwill over 4 years: 4,588 → 1,791 JPY; total investing cash flow: -10,539 JPY. This does not imply causation.

### Cash quality

Net cash = cash − interest-bearing debt. Net debt ratio = (interest-bearing debt − cash) ÷ positive operating cash flow. Omit when debt components are incomplete; other ratios are derived from reported figures.

| Metric | Value |
| --- | ---: |
| Cash ratio (cash ÷ total assets) | 33.1% |
| Cash ÷ revenue | 18.3% |
| Net cash (cash − interest-bearing debt) | — |
| Net debt ÷ operating cash flow | — |
| Cash conversion (operating CF ÷ operating income) | 122.8% |
| Cash vs. profit gap | 2,043 JPY mn (of net income 172.9%) |
| Shareholder returns / net income | — |
| Shareholder returns / FCF | — |
| Shareholder payments — dividends / net income | 45.3% |
| Shareholder payments — dividends / FCF | 21.9% |
| CapEx intensity (capex ÷ revenue) | 2.0% |
| Investing CF relative to operating CF | 115.5% |

## ROA and ROE

ROE is decomposed into net margin × asset turnover × financial leverage. Leverage can raise ROE, so the ratio alone does not assess a company's condition. Ending balances are used without a prior year; total equity approximates parent equity when unavailable.

| Period | Net margin | Asset turnover | ROA | Financial leverage | ROE | Sources |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| 2022 | 6.1% | 1.66× | 10.1% | 2.60× | 26.3% | S100R6RM |
| 2023 | 2.2% | 1.96× | 4.3% | 2.47× | 10.6% | S100TVQK |
| 2024 | 0.5% | 1.91× | 0.9% | 2.55× | 2.2% | S100WCTJ |
| 2025 | 1.6% | 1.94× | 3.1% | 2.64× | 8.1% | S100YH90 |
| 2026 | 3.0% | 1.88× | 5.7% | 2.53× | 14.4% | S100YH90 |

## Ownership

| Counterparty | Relation | Ratio | As of |
| --- | ---: | ---: | ---: |
| 宮澤 栄一 | Major shareholder | 42.3% | 2026-03-31 |
| 光通信KK投資事業有限責任組合 | Major shareholder | 6.0% | 2026-03-31 |
| A-1合同会社 | Major shareholder | 5.9% | 2026-03-31 |
| 日本マスタートラスト信託銀行株式会社（信託口） | Major shareholder | 4.7% | 2026-03-31 |
| 株式会社日本カストディ銀行（信託口） | Major shareholder | 4.6% | 2026-03-31 |
| モルガン・スタンレーMUFG証券株式会社 | Major shareholder | 1.5% | 2026-03-31 |
| 藪 太一 | Major shareholder | 0.9% | 2026-03-31 |
| BNY GCM CLIENT ACCOUNT JPRD AC ISG (FE-AC)（常任代理人 半沢 淳一） | Major shareholder | 0.8% | 2026-03-31 |
| NORTHERN TRUST CO.(AVFC) RE NON TREATY CLIENTS ACCOUNT（常任代理人 角田 武士） | Major shareholder | 0.8% | 2026-03-31 |
| 小澤 裕紀 | Major shareholder | 0.7% | 2026-03-31 |

## Sources

| Document | ID | Published | URL |
| --- | ---: | ---: | ---: |
| 有価証券報告書－第13期(2025/04/01－2026/03/31) | S100YH90 | 2026-06-23 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100YH90,, |
| 訂正有価証券報告書－第12期(2024/04/01－2025/03/31) | S100WCTJ | 2025-07-14 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100WCTJ,, |
| 有価証券報告書－第11期(2023/04/01－2024/03/31) | S100TVQK | 2024-06-28 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100TVQK,, |
| 有価証券報告書－第10期(2022/04/01－2023/03/31) | S100R6RM | 2023-06-28 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100R6RM,, |
| 訂正有価証券報告書－第9期(令和3年4月1日－令和4年3月31日) | S100P3SF | 2022-08-30 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100P3SF,, |
| 有価証券報告書－第8期(令和2年4月1日－令和3年3月31日) | S100LQJ1 | 2021-06-25 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100LQJ1,, |

## Definitions

- Amounts are in millions of JPY (rounded). The period is stated in each table heading
- Operating margin = operating income ÷ revenue. Net income is attributable to owners of the parent when disclosed
- Free cash flow (FCF) = operating cash flow − capital expenditure
- ¥100 model = breakdown per ¥100 of revenue (rounded so parts sum to 100)
- Segment revenues include inter-segment sales and may not sum to consolidated revenue
- Source IDs are EDINET document IDs (docID). "算出" (derived) means computed from other disclosed values
- All figures are extracted mechanically from filings. AI-written text never generates figures
- Source: company filings submitted to EDINET (Financial Services Agency of Japan). Figures were extracted, edited and processed, and charts and text were created, by Vizora — not by the FSA (used under the Public Data License v1.0).