# eSOL Co.,Ltd.: business model and financials

> Latest period: FY ending Dec 2025, consolidated, J-GAAP
> Unit: JPY millions
> Sources: 有価証券報告書－第51期(2025/01/01－2025/12/31) (S100XV6D)
> Page: https://vizora.meequs.com/en/company/esol
> Retrieved: 2026-09-30T19:00:22.293Z

## Company

eSOL, founded in 1975, is a company in Robots & Factory Automation listed on TSE Standard. It has 549 employees (consolidated).

| Field | Value |
| --- | ---: |
| Legal name | eSOL Co.,Ltd. |
| Ticker | 4420 |
| Stock price | View on Yahoo Finance (https://finance.yahoo.co.jp/quote/4420.T) |
| Listing | TSE Standard |
| Head office | 東京都中野区本町一丁目32番2号 |
| Representative (per filing) | 代表取締役社長CEO兼CTO 権藤 正樹 |
| Founded | May 1975 |
| Share capital | ¥1.04B |
| Employees (consolidated) | 549 |
| Average salary (parent only) | ¥5.9M |
| Fiscal year end | December |
| Website | www.esol.co.jp (https://www.esol.co.jp/) |
| Corporate number | 9011201009845 |
| EDINET | E34321 |
| Industries (Vizora) | Robots & Factory Automation, IT Services & System Integration, Software & SaaS |

> Profile source: annual securities report (S100XV6D, filed 2026-03-30). As of filing

## Five-axis industry profile

Primary industry: IT Services & System Integration (2025-12-31)

| Axis | Industry percentile | Peers |
| --- | ---: | ---: |
| Revenue growth | 35.4 | 157 |
| Profitability | 32.9 | 196 |
| Cash conversion | 10 | 185 |
| Efficiency | 72.2 | 196 |

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 95% of eSOL's sales come from Embedded software business, with Sensing solution business making up much of the rest.
- Out of every ¥100 of sales, about ¥7 is left as operating profit.
- Revenue changed +1.9% from the prior year, operating profit -26.8%.

## Company structure

- Segment revenue mix: Embedded software business 95.0%、Sensing solution business 5.0%
- Revenue → net income: ¥12129822000 → ¥598072000
- Net income → operating cash flow: ¥598072000 → ¥229135000（difference ¥-368937000）
- Main uses of operating cash flow: CapEx ¥48134000 / dividends ¥104132000 / buybacks —
- Change in cash: ¥16819000
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 | ¥12.1B |  |
| Operating income | ¥815.1M | Margin 6.7% |
| Net income | ¥598.1M | Margin 4.9% |
| Free cash flow | ¥181M |  |
| Largest business | Embedded software business | of segment revenue 95.0% |
| Employees (consolidated) | 549 |  |
| EPS | ¥28.47 |  |
| Book value per share | ¥282.48 |  |
| Equity ratio | 72.1% |  |
| Shares outstanding | 20,000,000 |  |
| Treasury shares | 299,600 |  |
| Shareholders | 4,609 |  |
| Average salary (parent only) | ¥5.9M | Filing company only |
| Cash ratio | 39.0% | Cash ÷ revenue 26.3% |
| Vs. industry median margin | -2.2 pp | IT Services & System Integration |
| ROE | 11.3% | Derived from disclosed figures |
| ROA | 7.9% | Derived from disclosed figures |

## Notable figures

- FY2025, one segment accounts for 99% of positive segment profit
- FY2025, cash is 39% of total assets

## What changed in 5 years

| Metric | FY ending Dec 2020 | FY ending Dec 2025 | Change |
| --- | ---: | ---: | ---: |
| Revenue | ¥9042716000 | ¥12129822000 | +34.1% |
| Operating income | ¥682514000 | ¥815111000 | +19.4% |
| Operating margin | 7.5% | 6.7% | -0.8 pp |
| Employees | 484 people | 549 people | +13.4% |
| Cash and equivalents | ¥4348131000 | ¥3191517000 | -26.6% |

### Change in segment revenue mix

Span: FY ending Dec 2020 → FY ending Dec 2025. Stable segment keys are connected; unmatched shares are marked as new or reorganized. Shares use total segment revenue.

| Flow | Revenue share |
| --- | ---: |
| 組込みソフトウェア事業 → 組込みソフトウェア事業 | 92.5% |
| センシングソリューション事業 → センシングソリューション事業 | 5.0% |
| センシングソリューション事業 → 事業再編・廃止 | 2.5% |
| 新設・再編 → 組込みソフトウェア事業 | 2.5% |

Segment revenue source references: 4 (derived)

## Income statement（FY ending Dec 2025, consolidated, J-GAAP）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Revenue | 12,130 | 100.0% | S100XV6D |
| Cost of revenue | 8,432 | 69.5% | S100XV6D |
| Gross profit | 3,697 | 30.5% | S100XV6D |
| SG&A | 2,882 | 23.8% | S100XV6D |
| Operating income | 815 | 6.7% | S100XV6D |
| Ordinary income | 864 | 7.1% | S100XV6D |
| Pretax income | 869 | 7.2% | S100XV6D |
| Income tax | 271 | 2.2% | S100XV6D |
| Net income | 598 | 4.9% | S100XV6D |
| Net income attributable to owners | 598 | 4.9% | S100XV6D |

## Per ¥100 of revenue（FY ending Dec 2025）

| Part | JPY |
| --- | ---: |
| Cost of revenue | 69 |
| SG&A | 24 |
| Operating income | 7 |
| (Ref.) Net income | 5 |

### Margin funnel

Gross margin 30.5% → Operating margin 6.7% → Net margin 4.9%
Derived from reported figures (DERIVED).

## Revenue and profit pattern

Pattern: Revenue up, profit down
Revenue growth: +1.9%; Core profit growth: -26.8%
Growth quality: revenue-led
Operating leverage (core profit growth ÷ revenue growth): -14.39×
Calculated from comparable annual consolidated filings.

## Year over year（FY ending Dec 2024 → FY ending Dec 2025、JPY mn）

| Metric | Prior | Current | Change | % change |
| --- | ---: | ---: | ---: | ---: |
| Revenue | 11,908 | 12,130 | 222 | +1.9% |
| Gross profit | 4,407 | 3,697 | -710 | -16.1% |
| Operating income | 1,113 | 815 | -298 | -26.8% |
| Net income attributable to owners | 892 | 598 | -294 | -33.0% |
| Operating cash flow | 1,101 | 229 | -872 | -79.2% |
| Free cash flow | 1,041 | 181 | -860 | -82.6% |

## History（JPY mn）

| Period | Revenue | Op. income | Op. margin | Net income | Op. CF | FCF | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| FY ending Dec 2019 | 9,645 | 749 | 7.8% | 659 | 513 | 401 | S100L24G |
| FY ending Dec 2020 | 9,043 | 683 | 7.5% | 676 | 1,062 | 913 | S100PLTF |
| FY ending Dec 2021 | 8,938 | 73 | 0.8% | 201 | -200 | -330 | S100QIJS |
| FY ending Dec 2022 | 8,872 | -354 | -4.0% | -358 | 161 | 76 | S100T5TG |
| FY ending Dec 2023 | 9,628 | -82 | -0.9% | 137 | -141 | -161 | S100VIHU |
| FY ending Dec 2024 | 11,908 | 1,113 | 9.4% | 892 | 1,101 | 1,041 | S100XV6D |
| FY ending Dec 2025 | 12,130 | 815 | 6.7% | 598 | 229 | 181 | S100XV6D |

## People and productivity（FY ending Dec 2025, consolidated, J-GAAP）

| Metric | Value |
| --- | ---: |
| Revenue per employee (consolidated) | ¥22.1M |
| Operating income per employee (consolidated) | ¥1.5M |
| Net income per employee (consolidated) | ¥1.1M |

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

| History | FY ending Dec 2021 | FY ending Dec 2022 | FY ending Dec 2023 | FY ending Dec 2024 | FY ending Dec 2025 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Employees (consolidated) | 490 | 503 | 511 | 523 | 549 |
| Average salary (parent company) | ¥5.6M | ¥5.7M | ¥5.6M | ¥5.7M | ¥5.9M |
| Average age (parent company) | 39.1 years | 39.8 years | 40.4 years | 40.6 years | 40.7 years |
| Average tenure (parent company) | 10.1 years | 11.0 years | 11.3 years | 11.6 years | 11.6 years |

Year over year: Employees (consolidated) +5.0% · Revenue (consolidated) +1.9%

## Segments（FY ending Dec 2025, consolidated, J-GAAP、JPY mn）

| Segment | Revenue | Share | Op. income | Op. margin |
| --- | ---: | ---: | ---: | ---: |
| Embedded software business | 11,526 | 95.0% | 809 | 7.0% |
| Sensing solution business | 604 | 5.0% | 6 | 1.1% |

### 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 |
| --- | ---: | ---: | ---: | ---: |
| Embedded software business | 95.0% | 99.2% | 4.2 | 7.0% |
| Sensing solution business | 5.0% | 0.8% | -4.2 | 1.1% |

Segment → industry: Sensing solution business → Robots & Factory Automation / Embedded software business → IT Services & System Integration / Embedded software business → Software & SaaS

## Revenue by geography

No geographic revenue breakdown was disclosed.

## Cash flow（FY ending Dec 2025, consolidated, J-GAAP）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Operating cash flow | 229 | 1.9% | S100XV6D |
| Capital expenditure | 48 | 0.4% | S100XV6D |
| Free cash flow | 181 | 1.5% | 算出 |
| Investing cash flow | -109 | -0.9% | S100XV6D |
| Financing cash flow | -112 | -0.9% | S100XV6D |
| Dividends paid | 104 | 0.9% | S100XV6D |
| Change in cash | 17 | 0.1% | S100XV6D |
| Cash and equivalents | 3,192 | 26.3% | S100XV6D |

## 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 Dec 2021 | FY ending Dec 2022 | FY ending Dec 2023 | FY ending Dec 2024 | FY ending Dec 2025 | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| Cash and equivalents | 3,903 | 3,867 | 3,387 | 3,175 | 3,192 | S100T5TG, S100VIHU, S100XV6D |
| Total assets | 7,284 | 7,214 | 7,636 | 6,988 | 8,193 | S100QIJS, S100T5TG, S100VIHU, S100XV6D |
| Net assets | 5,778 | 5,409 | 5,662 | 4,988 | 5,906 | S100T5TG, S100VIHU, S100XV6D |
| Share capital | 1,042 | 1,042 | 1,042 | 1,042 | 1,042 | S100QIJS, S100T5TG, S100VIHU, S100XV6D |
| Trade receivables | 1,639 | — | — | — | — | S100QIJS |
| Property, plant and equipment | 256 | 278 | 241 | 232 | 221 | S100QIJS, S100T5TG, S100VIHU, S100XV6D |
| Intangible assets excluding goodwill | 154 | 157 | 122 | 104 | 643 | S100QIJS, S100T5TG, S100VIHU, S100XV6D |
| Goodwill | — | — | — | — | 444 | S100XV6D |
| Investment securities | 318 | 641 | 1,118 | 691 | 698 | S100QIJS, S100T5TG, S100VIHU, S100XV6D |
| Current assets | 6,299 | 5,901 | 5,906 | 5,730 | 6,316 | S100QIJS, S100T5TG, S100VIHU, S100XV6D |
| Current liabilities | 1,212 | 1,313 | 1,546 | 1,747 | 1,944 | S100QIJS, S100T5TG, S100VIHU, S100XV6D |
| Trade payables | 514 | 465 | 483 | 584 | 573 | S100QIJS, S100T5TG, S100VIHU, S100XV6D |
| Long-term borrowings | — | — | — | — | 68 | S100XV6D |
| Total liabilities | 1,506 | 1,804 | 1,974 | 2,000 | 2,287 | S100QIJS, S100T5TG, S100VIHU, S100XV6D |
| Equity attributable to owners of parent | 5,624 | 5,167 | 5,202 | 4,820 | 5,724 | S100QIJS, S100T5TG, S100VIHU, S100XV6D |
| Retained earnings | 3,700 | 3,231 | 3,255 | 3,348 | 3,842 | S100QIJS, S100T5TG, S100VIHU, S100XV6D |
| Treasury stock | -84 | -82 | -81 | -512 | -153 | S100QIJS, S100T5TG, S100VIHU, S100XV6D |

### Assets and funding mix

| Assets | Share | Source |
| --- | ---: | ---: |
| Cash | 39% | S100XV6D |
| Property, plant and equipment | 3% | S100XV6D |
| Intangibles and goodwill | 13% | S100XV6D |
| Investment securities | 8% | S100XV6D |
| Other assets | 37% | S100XV6D |

| Funding source | Share | Source |
| --- | ---: | ---: |
| Trade payables | 7% | S100XV6D |
| Other liabilities | 21% | S100XV6D |
| Equity | 72% | S100XV6D |

### Balance sheet history

| Metric | FY ending Dec 2021 | FY ending Dec 2022 | FY ending Dec 2023 | FY ending Dec 2024 | FY ending Dec 2025 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Total assets | 7,284 | 7,214 | 7,636 | 6,988 | 8,193 |
| Equity | 5,778 | 5,409 | 5,662 | 4,988 | 5,906 |
| Interest-bearing debt | — | — | — | — | — |
| Cash | 3,903 | 3,867 | 3,387 | 3,175 | 3,192 |

## 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) | 1.8% | S100XV6D |
| Fixed assets ÷ total assets | 2.7% | S100XV6D |
| Goodwill ÷ parent equity | 7.8% | S100XV6D |

### 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) | 39.0% |
| Cash ÷ revenue | 26.3% |
| Net cash (cash − interest-bearing debt) | — |
| Net debt ÷ operating cash flow | — |
| Cash conversion (operating CF ÷ operating income) | 28.1% |
| Cash vs. profit gap | -369 JPY mn (of net income -61.7%) |
| Shareholder returns / net income | — |
| Shareholder returns / FCF | — |
| Shareholder payments — dividends / net income | 17.4% |
| Shareholder payments — dividends / FCF | 57.5% |
| CapEx intensity (capex ÷ revenue) | 0.4% |
| Investing CF relative to operating CF | 47.4% |

## 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 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| 2021 | 2.2% | 1.23× | 2.8% | 1.30× | 3.6% | S100QIJS |
| 2022 | — | —× | -4.9% | —× | — | S100T5TG |
| 2023 | 1.4% | 1.30× | 1.8% | 1.43× | 2.6% | S100VIHU |
| 2024 | 7.5% | 1.63× | 12.2% | 1.46× | 17.8% | S100XV6D |
| 2025 | 4.9% | 1.60× | 7.9% | 1.44× | 11.3% | S100XV6D |

## Ownership

| Counterparty | Relation | Ratio | As of |
| --- | ---: | ---: | ---: |
| イーソル従業員持株会 | Major shareholder | 10.6% | 2025-12-31 |
| 日本マスタートラスト信託銀行株式会社（信託口） | Major shareholder | 7.7% | 2025-12-31 |
| 株式会社ＫＡＭ | Major shareholder | 7.2% | 2025-12-31 |
| 株式会社ビーオービー | Major shareholder | 6.1% | 2025-12-31 |
| 株式会社アバールデータ | Major shareholder | 4.1% | 2025-12-31 |
| 山田 光信 | Major shareholder | 2.7% | 2025-12-31 |
| 中村 二三夫 | Major shareholder | 2.2% | 2025-12-31 |
| 笠谷 喜代年 | Major shareholder | 2.2% | 2025-12-31 |
| 野村信託銀行株式会社（信託口） | Major shareholder | 2.0% | 2025-12-31 |
| ＩＮＴＥＲＡＣＴＩＶＥ ＢＲＯＫＥＲＳ ＬＬＣ （常任代理人 インタラクティブブローカーズ証券株式会社） | Major shareholder | 1.9% | 2025-12-31 |

## Sources

| Document | ID | Published | URL |
| --- | ---: | ---: | ---: |
| 有価証券報告書－第51期(2025/01/01－2025/12/31) | S100XV6D | 2026-03-30 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100XV6D,, |
| 有価証券報告書－第50期(2024/01/01－2024/12/31) | S100VIHU | 2025-03-31 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100VIHU,, |
| 有価証券報告書－第49期(2023/01/01－2023/12/31) | S100T5TG | 2024-03-29 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100T5TG,, |
| 有価証券報告書－第48期(2022/01/01－2022/12/31) | S100QIJS | 2023-03-31 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100QIJS,, |
| 訂正有価証券報告書－第47期(令和3年1月1日－令和3年12月31日) | S100PLTF | 2022-11-14 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100PLTF,, |
| 有価証券報告書－第46期(令和2年1月1日－令和2年12月31日) | S100L24G | 2021-03-31 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100L24G,, |

## 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).