# Software Service, Inc.: business model and financials

> Latest period: FY ending Oct 2025, consolidated, J-GAAP
> Unit: JPY millions
> Sources: 有価証券報告書－第57期(2024/11/01－2025/10/31) (S100XHCP)
> Page: https://vizora.meequs.com/en/company/software-service
> Retrieved: 2026-09-30T21:26:19.133Z

## Company

Software Service, founded in 1969, is a company in Health Tech listed on TSE Standard. It has 1,804 employees (consolidated).

| Field | Value |
| --- | ---: |
| Legal name | Software Service, Inc. |
| Ticker | 3733 |
| Stock price | View on Yahoo Finance (https://finance.yahoo.co.jp/quote/3733.T) |
| Listing | TSE Standard |
| Head office | 大阪市淀川区西宮原二丁目6番1号 |
| Representative (per filing) | 代表取締役会長 宮崎 勝 |
| Founded | Apr 1969 |
| Share capital | ¥847M |
| Employees (consolidated) | 1,804 |
| Average salary (parent only) | ¥5.8M |
| Fiscal year end | October |
| Website | www.softs.co.jp (https://www.softs.co.jp/) |
| Corporate number | 4120001103331 |
| EDINET | E05376 |
| Industries (Vizora) | Health Tech |

> Profile source: annual securities report (S100XHCP, filed 2026-01-26). As of filing

## Five-axis industry profile

Primary industry: Health Tech (2025-10-31)

| Axis | Industry percentile | Peers |
| --- | ---: | ---: |
| Revenue growth | 46.4 | 14 |
| Profitability | 58.3 | 18 |
| Cash conversion | 8.8 | 17 |
| Efficiency | 58.3 | 18 |

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)

- Software Service brought in ¥42.3B in revenue.
- Out of every ¥100 of sales, about ¥20 is left as operating profit.
- Revenue changed +10.1% from the prior year, operating profit +15.3%.

## Company structure

- Segment revenue mix: Segment revenue breakdown is not disclosed
- Revenue → net income: ¥42298000000 → ¥6112000000
- Net income → operating cash flow: ¥6112000000 → ¥3214000000（difference ¥-2898000000）
- Main uses of operating cash flow: CapEx ¥373000000 / dividends ¥733000000 / buybacks ¥0
- Change in cash: ¥922000000
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 | ¥42.3B |  |
| Operating income | ¥8.39B | Margin 19.8% |
| Net income | ¥6.11B | Margin 14.4% |
| Free cash flow | ¥2.84B |  |
| Employees (consolidated) | 1,804 |  |
| EPS | ¥1137.51 |  |
| Book value per share | ¥7865.83 |  |
| Equity ratio | 80.3% |  |
| Shares outstanding | 5,488,000 |  |
| Treasury shares | 252,900 |  |
| Shareholders | 1,653 |  |
| Average salary (parent only) | ¥5.8M | Filing company only |
| Cash ratio | 30.8% | Cash ÷ revenue 37.9% |
| Vs. industry median margin | +6 pp | Health Tech |
| ROE | 15.7% | Derived from disclosed figures |
| ROA | 12.6% | Derived from disclosed figures |

## Notable figures

- FY2025, cash is 31% of total assets

## What changed in 5 years

| Metric | FY ending Oct 2020 | FY ending Oct 2025 | Change |
| --- | ---: | ---: | ---: |
| Revenue | ¥20499889000 | ¥42298000000 | +106.3% |
| Operating income | ¥3352187000 | ¥8388000000 | +150.2% |
| Operating margin | 16.4% | 19.8% | +3.5 pp |
| Employees | 1,472 people | 1,804 people | +22.6% |
| Cash and equivalents | ¥6371549000 | ¥16051000000 | +151.9% |

### Change in segment revenue mix

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

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

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Revenue | 42,298 | 100.0% | S100XHCP |
| Cost of revenue | 30,969 | 73.2% | S100XHCP |
| Gross profit | 11,329 | 26.8% | S100XHCP |
| SG&A | 2,940 | 7.0% | S100XHCP |
| Operating income | 8,388 | 19.8% | S100XHCP |
| Ordinary income | 8,471 | 20.0% | S100XHCP |
| Pretax income | 8,471 | 20.0% | S100XHCP |
| Income tax | 2,359 | 5.6% | S100XHCP |
| Net income | 6,112 | 14.4% | S100XHCP |
| Net income attributable to owners | 6,112 | 14.4% | S100XHCP |

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

| Part | JPY |
| --- | ---: |
| Cost of revenue | 73 |
| SG&A | 7 |
| Operating income | 20 |
| (Ref.) Net income | 14 |

### Margin funnel

Gross margin 26.8% → Operating margin 19.8% → Net margin 14.4%
Derived from reported figures (DERIVED).

## Revenue and profit pattern

Pattern: Revenue and profit up
Revenue growth: +10.1%; Core profit growth: +15.3%
Growth quality: margin-expansion
Operating leverage (core profit growth ÷ revenue growth): 1.52×
Calculated from comparable annual consolidated filings.

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

| Metric | Prior | Current | Change | % change |
| --- | ---: | ---: | ---: | ---: |
| Revenue | 38,425 | 42,298 | 3,873 | +10.1% |
| Gross profit | 9,987 | 11,329 | 1,342 | +13.4% |
| Operating income | 7,274 | 8,388 | 1,114 | +15.3% |
| Net income attributable to owners | 5,328 | 6,112 | 784 | +14.7% |
| Operating cash flow | 7,204 | 3,214 | -3,990 | -55.4% |
| Free cash flow | 7,047 | 2,841 | -4,206 | -59.7% |

## History（JPY mn）

| Period | Revenue | Op. income | Op. margin | Net income | Op. CF | FCF | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| FY ending Oct 2020 | 20,500 | 3,352 | 16.4% | 2,347 | 2,490 | 1,309 | S100N9CX |
| FY ending Oct 2021 | 25,277 | 4,281 | 16.9% | 2,999 | 3,380 | 1,271 | S100PZZ7 |
| FY ending Oct 2022 | 27,570 | 4,854 | 17.6% | 3,400 | 3,330 | 844 | S100SO5Z |
| FY ending Oct 2023 | 33,720 | 6,516 | 19.3% | 4,864 | 5,591 | 5,363 | S100V4PO |
| FY ending Oct 2024 | 38,425 | 7,274 | 18.9% | 5,328 | 7,204 | 7,047 | S100XHCP |
| FY ending Oct 2025 | 42,298 | 8,388 | 19.8% | 6,112 | 3,214 | 2,841 | S100XHCP |

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

| Metric | Value |
| --- | ---: |
| Revenue per employee (consolidated) | ¥23.4M |
| Operating income per employee (consolidated) | ¥4.6M |
| Net income per employee (consolidated) | ¥3.4M |

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

| History | FY ending Oct 2021 | FY ending Oct 2022 | FY ending Oct 2023 | FY ending Oct 2024 | FY ending Oct 2025 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Employees (consolidated) | 1,579 | 1,623 | 1,640 | 1,706 | 1,804 |
| Average salary (parent company) | ¥4.9M | ¥4.9M | ¥5.4M | ¥5.7M | ¥5.8M |
| Average age (parent company) | 31.6 years | 32.0 years | 32.6 years | 32.9 years | 33.1 years |
| Average tenure (parent company) | 7.2 years | 7.7 years | 8.3 years | 8.7 years | 9.0 years |

Year over year: Employees (consolidated) +5.7% · Revenue (consolidated) +10.1%

## Revenue by geography

No geographic revenue breakdown was disclosed.

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

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Operating cash flow | 3,214 | 7.6% | S100XHCP |
| Capital expenditure | 373 | 0.9% | S100XHCP |
| Free cash flow | 2,841 | 6.7% | 算出 |
| Investing cash flow | -1,559 | -3.7% | S100XHCP |
| Financing cash flow | -733 | -1.7% | S100XHCP |
| Dividends paid | 733 | 1.7% | S100XHCP |
| Share buyback | 0 | 0.0% | S100XHCP |
| Change in cash | 922 | 2.2% | S100XHCP |
| Cash and equivalents | 16,051 | 37.9% | S100XHCP |

## 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 Oct 2021 | FY ending Oct 2022 | FY ending Oct 2023 | FY ending Oct 2024 | FY ending Oct 2025 | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| Cash and equivalents | 7,089 | 5,105 | 10,710 | 15,129 | 16,051 | S100SO5Z, S100V4PO, S100XHCP |
| Total assets | 31,580 | 33,735 | 39,916 | 44,893 | 52,188 | S100PZZ7, S100SO5Z, S100V4PO, S100XHCP |
| Net assets | 25,816 | 27,266 | 31,642 | 36,431 | 41,896 | S100SO5Z, S100V4PO, S100XHCP |
| Share capital | 847 | 847 | 847 | 847 | 847 | S100PZZ7, S100SO5Z, S100V4PO, S100XHCP |
| Trade receivables | 4,195 | 5,442 | 4,527 | — | — | S100PZZ7, S100SO5Z |
| Property, plant and equipment | 17,377 | 19,514 | 19,066 | 18,583 | 18,124 | S100PZZ7, S100SO5Z, S100V4PO, S100XHCP |
| Intangible assets excluding goodwill | 23 | 22 | 17 | 15 | 16 | S100PZZ7, S100SO5Z, S100V4PO, S100XHCP |
| Investment securities | 257 | 284 | 313 | 393 | 454 | S100PZZ7, S100SO5Z, S100V4PO, S100XHCP |
| Current assets | 13,151 | 13,269 | 19,751 | 25,126 | 32,639 | S100PZZ7, S100SO5Z, S100V4PO, S100XHCP |
| Current liabilities | 5,692 | 6,396 | 8,202 | 8,396 | 10,240 | S100PZZ7, S100SO5Z, S100V4PO, S100XHCP |
| Trade payables | 2,892 | 4,350 | — | — | — | S100PZZ7 |
| Short-term borrowings | — | 100 | — | — | — | S100SO5Z |
| Total liabilities | 5,765 | 6,468 | 8,273 | 8,462 | 10,292 | S100PZZ7, S100SO5Z, S100V4PO, S100XHCP |
| Equity attributable to owners of parent | 25,715 | 27,152 | 31,510 | 36,247 | 41,675 | S100PZZ7, S100SO5Z, S100V4PO, S100XHCP |
| Retained earnings | 23,025 | 25,909 | 30,250 | 34,952 | 40,332 | S100PZZ7, S100SO5Z, S100V4PO, S100XHCP |
| Treasury stock | -75 | -1,526 | -1,514 | -1,497 | -1,473 | S100PZZ7, S100SO5Z, S100V4PO, S100XHCP |

### Assets and funding mix

| Assets | Share | Source |
| --- | ---: | ---: |
| Cash | 31% | S100XHCP |
| Property, plant and equipment | 35% | S100XHCP |
| Intangibles and goodwill | 0% | S100XHCP |
| Investment securities | 1% | S100XHCP |
| Other assets | 33% | S100XHCP |

| Funding source | Share | Source |
| --- | ---: | ---: |
| Other liabilities | 20% | S100XHCP |
| Equity | 80% | S100XHCP |

### Balance sheet history

| Metric | FY ending Oct 2021 | FY ending Oct 2022 | FY ending Oct 2023 | FY ending Oct 2024 | FY ending Oct 2025 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Total assets | 31,580 | 33,735 | 39,916 | 44,893 | 52,188 |
| Equity | 25,816 | 27,266 | 31,642 | 36,431 | 41,896 |
| Interest-bearing debt | — | — | — | — | — |
| Cash | 7,089 | 5,105 | 10,710 | 15,129 | 16,051 |

## 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) | 42.8% | S100XHCP |
| Fixed assets ÷ total assets | 34.7% | S100XHCP |
| Goodwill ÷ parent equity | — | —, S100XHCP |

### 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) | 30.8% |
| Cash ÷ revenue | 37.9% |
| Net cash (cash − interest-bearing debt) | — |
| Net debt ÷ operating cash flow | — |
| Cash conversion (operating CF ÷ operating income) | 38.3% |
| Cash vs. profit gap | -2,898 JPY mn (of net income -47.4%) |
| Shareholder returns / net income | 12.0% |
| Shareholder returns / FCF | 25.8% |
| Shareholder payments — dividends / net income | 12.0% |
| Shareholder payments — dividends / FCF | 25.8% |
| CapEx intensity (capex ÷ revenue) | 0.9% |
| Investing CF relative to operating CF | 48.5% |

## 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 |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| 2021 | 11.9% | 0.80× | 9.5% | 1.23× | 11.7% | S100PZZ7 |
| 2022 | 12.3% | 0.84× | 10.4% | 1.24× | 12.9% | S100SO5Z |
| 2023 | 14.4% | 0.92× | 13.2% | 1.26× | 16.6% | S100V4PO |
| 2024 | 13.9% | 0.91× | 12.6% | 1.25× | 15.7% | S100XHCP |
| 2025 | 14.4% | 0.87× | 12.6% | 1.25× | 15.7% | S100XHCP |

## Ownership

| Counterparty | Relation | Ratio | As of |
| --- | ---: | ---: | ---: |
| 宮崎 勝 | Major shareholder | 24.8% | 2025-10-31 |
| 公益財団法人夢＆環境等支援宮崎記念基金 | Major shareholder | 15.3% | 2025-10-31 |
| シップヘルスケアホールディングス株式会社 | Major shareholder | 10.7% | 2025-10-31 |
| USBK NA JP I＆W TS（常任代理人 株式会社三菱UFJ銀行） | Major shareholder | 9.4% | 2025-10-31 |
| NORTHERN TRUST CO.(AVFC) REFIDELITY FUNDS（常任代理人 香港上海銀行東京支店） | Major shareholder | 2.2% | 2025-10-31 |
| 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 | 2.2% | 2025-10-31 |
| THE NOMURA TRUST AND BANKING CO．， LTD． AS THE TRUSTEE OF REPURCHASE AGREEMENT MOTHER FUND（常任代理人 シティバンク、エヌ・エイ東京支店） | Major shareholder | 2.0% | 2025-10-31 |
| 株式会社エム・エムホールディングス | Major shareholder | 1.9% | 2025-10-31 |
| 野村信託銀行株式会社（投信口） | Major shareholder | 1.8% | 2025-10-31 |
| JPMCB USA RESIDENTS PENSION JASDEC LEND 385051 （常任代理人 株式会社みずほ銀行） | Major shareholder | 1.2% | 2025-10-31 |

## Sources

| Document | ID | Published | URL |
| --- | ---: | ---: | ---: |
| 有価証券報告書－第57期(2024/11/01－2025/10/31) | S100XHCP | 2026-01-26 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100XHCP,, |
| 有価証券報告書－第56期(2023/11/01－2024/10/31) | S100V4PO | 2025-01-27 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100V4PO,, |
| 有価証券報告書－第55期(2022/11/01－2023/10/31) | S100SO5Z | 2024-01-29 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100SO5Z,, |
| 有価証券報告書－第54期(2021/11/01－2022/10/31) | S100PZZ7 | 2023-01-23 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100PZZ7,, |
| 有価証券報告書－第53期(令和2年11月1日－令和3年10月31日) | S100N9CX | 2022-01-24 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100N9CX,, |
| 有価証券報告書－第52期(令和1年11月1日－令和2年10月31日) | S100KKG6 | 2021-01-25 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100KKG6,, |

## 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).