# Nippon RAD Inc.: 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55期(2025/04/01－2026/03/31) (S100YGDA)
> Page: https://vizora.meequs.com/en/company/nippon-rad
> Retrieved: 2026-09-30T19:40:56.663Z

## Company

Nippon RAD, founded in 1971, is a company in IT Services & System Integration listed on TSE Standard. It has 299 employees (consolidated).

| Field | Value |
| --- | ---: |
| Legal name | Nippon RAD Inc. |
| Ticker | 4736 |
| Stock price | View on Yahoo Finance (https://finance.yahoo.co.jp/quote/4736.T) |
| Listing | TSE Standard |
| Head office | 東京都港区赤坂一丁目12番32号アーク森ビル30階 |
| Representative (per filing) | 代表取締役 大塚 隆之 |
| Founded | Jun 1971 |
| Share capital | ¥1.24B |
| Employees (consolidated) | 299 |
| Average salary (parent only) | ¥5.7M |
| Fiscal year end | March |
| Website | www.nippon-rad.co.jp (https://www.nippon-rad.co.jp/) |
| Corporate number | 8010401094657 |
| EDINET | E05054 |
| Industries (Vizora) | IT Services & System Integration |

> Profile source: annual securities report (S100YGDA, filed 2026-06-23). As of filing

## Five-axis industry profile

Primary industry: IT Services & System Integration (2026-03-31)

| Axis | Industry percentile | Peers |
| --- | ---: | ---: |
| Profitability | 18.1 | 196 |
| Cash conversion | 66.2 | 185 |
| Efficiency | 17.1 | 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 58% of Nippon RAD's sales come from Enterprise solution, with Internet of Things Solution making up much of the rest.
- Out of every ¥100 of sales, about ¥4 is left as operating profit.
- Revenue changed -5.1% from the prior year, operating profit -46.6%.

## Company structure

- Segment revenue mix: Enterprise solution 57.8%、Internet of Things Solution 42.2%
- Revenue → net income: ¥4131839000 → ¥164939000
- Net income → operating cash flow: ¥164939000 → ¥164566000（difference ¥-373000）
- Main uses of operating cash flow: CapEx ¥95959000 / dividends ¥53448000 / buybacks ¥38000
- Change in cash: ¥-222071000
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 | ¥4.13B |  |
| Operating income | ¥169.8M | Margin 4.1% |
| Net income | ¥164.9M | Margin 4.0% |
| Free cash flow | ¥68.6M |  |
| Largest business | Enterprise solution | of segment revenue 57.8% |
| Employees (consolidated) | 299 |  |
| EPS | ¥34.44 |  |
| Book value per share | ¥671.04 |  |
| Equity ratio | 71.3% |  |
| Shares outstanding | 5,355,000 |  |
| Treasury shares | 72,400 |  |
| Shareholders | 3,097 |  |
| Average salary (parent only) | ¥5.7M | Filing company only |
| Cash ratio | 39.6% | Cash ÷ revenue 47.5% |
| Vs. industry median margin | -4.8 pp | IT Services & System Integration |
| ROE | 4.8% | Derived from disclosed figures |
| ROA | 3.3% | Derived from disclosed figures |

## Notable figures

- FY2026, one segment accounts for 61% of positive segment profit
- FY2026, cash is 40% of total assets

## What changed in 5 years

Currency or consolidation scope differs; percentage changes are omitted.

| Metric | FY ending Mar 2021 | FY ending Mar 2026 | Change |
| --- | ---: | ---: | ---: |
| Revenue | ¥3008076000 | ¥4131839000 | — |
| Operating income | ¥-124412000 | ¥169811000 | — |
| Operating margin | -4.1% | 4.1% | +8.2 pp |
| Employees | 288 people | 299 people | — |
| Cash and equivalents | ¥2921033000 | ¥1962605000 | — |

### 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 |
| --- | ---: |
| エンタープライズソリューション事業 → エンタープライズソリューション事業 | 57.8% |
| エンタープライズソリューション事業 → 事業再編・廃止 | 2.3% |
| IoTインテグレーション事業 → 事業再編・廃止 | 39.9% |
| 新設・再編 → ＩｏＴインテグレーション事業 | 42.2% |

Segment revenue source references: 4 (derived)

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

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Revenue | 4,132 | 100.0% | S100YGDA |
| Cost of revenue | 3,226 | 78.1% | S100YGDA |
| Gross profit | 906 | 21.9% | S100YGDA |
| SG&A | 736 | 17.8% | S100YGDA |
| Operating income | 170 | 4.1% | S100YGDA |
| Ordinary income | 245 | 5.9% | S100YGDA |
| Pretax income | 242 | 5.8% | S100YGDA |
| Income tax | 77 | 1.9% | S100YGDA |
| Net income | 165 | 4.0% | S100YGDA |
| Net income attributable to owners | 165 | 4.0% | S100YGDA |

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

| Part | JPY |
| --- | ---: |
| Cost of revenue | 78 |
| SG&A | 18 |
| Operating income | 4 |
| (Ref.) Net income | 4 |

### Margin funnel

Gross margin 21.9% → Operating margin 4.1% → Net margin 4.0%
Derived from reported figures (DERIVED).

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

| Metric | Prior | Current | Change | % change |
| --- | ---: | ---: | ---: | ---: |
| Revenue | 4,356 | 4,132 | -224 | -5.1% |
| Gross profit | 1,116 | 906 | -210 | -18.8% |
| Operating income | 318 | 170 | -148 | -46.6% |
| Operating cash flow | 139 | 165 | 25 | +18.1% |
| Free cash flow | -113 | 69 | 182 | — |

## History（JPY mn）

| Period | Revenue | Op. income | Op. margin | Net income | Op. CF | FCF | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| FY ending Mar 2020 | 3,422 | 104 | 3.0% | 84 | 89 | 54 | S100LP7D |
| FY ending Mar 2021 | 3,008 | -124 | -4.1% | -178 | 26 | -57 | S100OD5U |
| FY ending Mar 2022 | 3,314 | 57 | 1.7% | 19 | 194 | 161 | S100R22B |
| FY ending Mar 2023 | 3,555 | 87 | 2.4% | 141 | 2 | -47 | S100TS00 |
| FY ending Mar 2024 | 3,985 | 267 | 6.7% | 328 | 376 | 316 | S100W5VL |
| FY ending Mar 2025 | 4,356 | 318 | 7.3% | 417 | 139 | -113 | S100W5VL |
| FY ending Mar 2026 | 4,132 | 170 | 4.1% | 165 | 165 | 69 | S100YGDA |

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

| Metric | Value |
| --- | ---: |
| Revenue per employee (consolidated) | ¥13.8M |
| Operating income per employee (consolidated) | ¥567.9K |
| Net income per employee (consolidated) | ¥551.6K |

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) | 285 | 280 | 281 | 280 | 299 |
| Average salary (parent company) | ¥4.9M | ¥5.1M | ¥5.5M | ¥5.7M | ¥5.7M |
| Average age (parent company) | 38.3 years | 39.2 years | 39.7 years | 39.6 years | 39.6 years |
| Average tenure (parent company) | 11.0 years | 12.0 years | 13.0 years | 13.0 years | 13.0 years |

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

| Segment | Revenue | Share | Op. income | Op. margin |
| --- | ---: | ---: | ---: | ---: |
| Enterprise solution | 2,388 | 57.8% | 376 | 15.7% |
| Internet of Things Solution | 1,744 | 42.2% | 245 | 14.0% |

### 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 |
| --- | ---: | ---: | ---: | ---: |
| Enterprise solution | 57.8% | 60.5% | 2.8 | 15.7% |
| Internet of Things Solution | 42.2% | 39.5% | -2.8 | 14.0% |

Segment → industry: Internet of Things Solution → IT Services & System Integration / Enterprise solution → IT Services & System Integration

## 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 | 165 | 4.0% | S100YGDA |
| Capital expenditure | 96 | 2.3% | S100YGDA |
| Free cash flow | 69 | 1.7% | 算出 |
| Investing cash flow | -329 | -8.0% | S100YGDA |
| Financing cash flow | -57 | -1.4% | S100YGDA |
| Dividends paid | 53 | 1.3% | S100YGDA |
| Share buyback | 0 | 0.0% | S100YGDA |
| Change in cash | -222 | -5.4% | S100YGDA |
| Cash and equivalents | 1,963 | 47.5% | S100YGDA |

## 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 | 2,676 | 2,489 | 2,255 | 2,185 | 1,963 | S100TS00, S100W5VL, S100YGDA |
| Total assets | 4,031 | 4,113 | 4,296 | 4,939 | 4,950 | S100R22B, S100TS00, S100W5VL, S100YGDA |
| Net assets | 2,542 | 2,621 | 2,926 | 3,389 | 3,528 | S100TS00, S100W5VL, S100YGDA |
| Share capital | 1,239 | 1,239 | 1,239 | 1,239 | 1,239 | S100R22B, S100TS00, S100W5VL, S100YGDA |
| Property, plant and equipment | 25 | 32 | 37 | 260 | 239 | S100R22B, S100TS00, S100W5VL, S100YGDA |
| Intangible assets excluding goodwill | 95 | 93 | 102 | 111 | 262 | S100R22B, S100TS00, S100W5VL, S100YGDA |
| Goodwill | — | — | — | — | 120 | S100YGDA |
| Investment securities | 436 | 416 | 468 | 483 | 595 | S100R22B, S100TS00, S100W5VL, S100YGDA |
| Current assets | 3,396 | 3,480 | 3,187 | 3,467 | 3,162 | S100R22B, S100TS00, S100W5VL, S100YGDA |
| Current liabilities | 652 | 734 | 768 | 880 | 772 | S100R22B, S100TS00, S100W5VL, S100YGDA |
| Trade payables | — | — | — | — | 145 | S100YGDA |
| Long-term borrowings | 120 | — | — | — | — | S100R22B |
| Bonds | — | — | — | — | 15 | S100YGDA |
| Total liabilities | 1,489 | 1,492 | 1,370 | 1,550 | 1,422 | S100R22B, S100TS00, S100W5VL, S100YGDA |
| Equity attributable to owners of parent | 2,508 | 2,583 | 2,859 | 3,311 | 3,423 | S100R22B, S100TS00, S100W5VL, S100YGDA |
| Retained earnings | 327 | 442 | 718 | 1,109 | 1,221 | S100R22B, S100TS00, S100W5VL, S100YGDA |
| Treasury stock | -32 | -71 | -71 | -32 | -32 | S100R22B, S100TS00, S100W5VL, S100YGDA |

### Assets and funding mix

| Assets | Share | Source |
| --- | ---: | ---: |
| Cash | 39% | S100YGDA |
| Property, plant and equipment | 5% | S100YGDA |
| Intangibles and goodwill | 8% | S100YGDA |
| Investment securities | 12% | S100YGDA |
| Other assets | 36% | S100YGDA |

| Funding source | Share | Source |
| --- | ---: | ---: |
| Trade payables | 3% | S100YGDA |
| Other liabilities | 26% | S100YGDA |
| Equity | 71% | S100YGDA |
| Other liabilities | 0% | S100YGDA |

### 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 | 4,031 | 4,113 | 4,296 | 4,939 | 4,950 |
| Equity | 2,542 | 2,621 | 2,926 | 3,389 | 3,528 |
| Interest-bearing debt | — | — | — | — | — |
| Cash | 2,676 | 2,489 | 2,255 | 2,185 | 1,963 |

## 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) | 5.8% | S100YGDA |
| Fixed assets ÷ total assets | 4.8% | S100YGDA |
| Goodwill ÷ parent equity | 3.5% | S100YGDA |

### 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) | 39.6% |
| Cash ÷ revenue | 47.5% |
| Net cash (cash − interest-bearing debt) | — |
| Net debt ÷ operating cash flow | — |
| Cash conversion (operating CF ÷ operating income) | 96.9% |
| Cash vs. profit gap | -0 JPY mn (of net income -0.2%) |
| Shareholder returns / net income | 32.4% |
| Shareholder returns / FCF | 78.0% |
| Shareholder payments — dividends / net income | 32.4% |
| Shareholder payments — dividends / FCF | 77.9% |
| CapEx intensity (capex ÷ revenue) | 2.3% |
| Investing CF relative to operating CF | 200.1% |

## 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 | 0.6% | 0.82× | 0.5% | 1.61× | 0.8% | S100R22B |
| 2023 | 4.0% | 0.87× | 3.5% | 1.60× | 5.5% | S100TS00 |
| 2024 | 8.2% | 0.95× | 7.8% | 1.55× | 12.1% | S100W5VL |
| 2025 | 9.6% | 0.94× | 9.0% | 1.50× | 13.5% | S100W5VL |
| 2026 | 4.0% | 0.83× | 3.3% | 1.45× | 4.8% | S100YGDA |

## Ownership

| Counterparty | Relation | Ratio | As of |
| --- | ---: | ---: | ---: |
| ADVANTECH CO., LTD.（常任代理人 大和証券株式会社 決済部） | Major shareholder | 16.1% | 2026-03-31 |
| 大 塚 隆 之 | Major shareholder | 14.3% | 2026-03-31 |
| 阿 久 津 裕 | Major shareholder | 7.2% | 2026-03-31 |
| 有限会社モールネット | Major shareholder | 5.5% | 2026-03-31 |
| 株式会社エフ・フィールド | Major shareholder | 3.8% | 2026-03-31 |
| ADVANTECH CORPORATE INVESTMENT CO., LTD.（常任代理人 大和証券株式会社 決済部） | Major shareholder | 2.9% | 2026-03-31 |
| BANK JULIUS BAER AND CO. LTD.（常任代理人 株式会社三菱UFJ銀行） | Major shareholder | 2.1% | 2026-03-31 |
| 小 中 景 子 | Major shareholder | 1.8% | 2026-03-31 |
| 日本ラッド従業員持株会 | Major shareholder | 1.5% | 2026-03-31 |
| 東京短資株式会社 | Major shareholder | 1.3% | 2026-03-31 |

## Sources

| Document | ID | Published | URL |
| --- | ---: | ---: | ---: |
| 有価証券報告書－第55期(2025/04/01－2026/03/31) | S100YGDA | 2026-06-23 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100YGDA,, |
| 有価証券報告書－第54期(2024/04/01－2025/03/31) | S100W5VL | 2025-06-25 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100W5VL,, |
| 有価証券報告書－第53期(2023/04/01－2024/03/31) | S100TS00 | 2024-06-26 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100TS00,, |
| 有価証券報告書－第52期(2022/04/01－2023/03/31) | S100R22B | 2023-06-23 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100R22B,, |
| 有価証券報告書－第51期(令和3年4月1日－令和4年3月31日) | S100OD5U | 2022-06-24 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100OD5U,, |
| 有価証券報告書－第50期(令和2年4月1日－令和3年3月31日) | S100LP7D | 2021-06-25 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100LP7D,, |

## 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).