# SOLITON SYSTEMS K.K.: 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48期(2025/01/01－2025/12/31) (S100XRPJ)
> Page: https://vizora.meequs.com/en/company/soliton-systems
> Retrieved: 2026-09-30T20:30:59.589Z

## Company

Soliton Systems, founded in 1979, is a company in Cybersecurity listed on TSE Prime. It has 655 employees (consolidated).

| Field | Value |
| --- | ---: |
| Legal name | SOLITON SYSTEMS K.K. |
| Ticker | 3040 |
| Stock price | View on Yahoo Finance (https://finance.yahoo.co.jp/quote/3040.T) |
| Listing | TSE Prime |
| Head office | 東京都新宿区新宿二丁目4番3号 |
| Representative (per filing) | 代表取締役社長 鎌田 理 |
| Founded | Mar 1979 |
| Share capital | ¥1.33B |
| Employees (consolidated) | 655 |
| Average salary (parent only) | ¥6.8M |
| Fiscal year end | December |
| Website | www.soliton.co.jp (https://www.soliton.co.jp/) |
| Corporate number | 3011101011691 |
| EDINET | E05592 |
| Industries (Vizora) | Cybersecurity, TVs, Audio & Musical Instruments, Semiconductors |

> Profile source: annual securities report (S100XRPJ, filed 2026-03-24). As of filing

## Five-axis industry profile

Primary industry: Cybersecurity (2025-12-31)

| Axis | Industry percentile | Peers |
| --- | ---: | ---: |
| Revenue growth | 12.5 | 20 |
| Profitability | 50 | 29 |
| Cash conversion | 68.5 | 27 |
| Efficiency | 22.4 | 29 |

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 94% of Soliton Systems's sales come from ITsecurity BU, with EIZOU communication BU and ECO Products Development BU making up much of the rest.
- Out of every ¥100 of sales, about ¥15 is left as operating profit.
- Revenue changed +6.2% from the prior year, operating profit +39.2%.

## Company structure

- Segment revenue mix: ITsecurity BU 93.7%、EIZOU communication BU 5.3%、ECO Products Development BU 1.0%
- Revenue → net income: ¥19762000000 → ¥2295000000
- Net income → operating cash flow: ¥2295000000 → ¥3603000000（difference ¥1308000000）
- Main uses of operating cash flow: CapEx ¥221000000 / dividends ¥1205000000 / buybacks —
- Change in cash: ¥-7834000000
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 | ¥19.8B |  |
| Operating income | ¥2.84B | Margin 14.4% |
| Net income | ¥2.3B | Margin 11.6% |
| Free cash flow | ¥3.38B |  |
| Largest business | ITsecurity BU | of segment revenue 93.7% |
| Employees (consolidated) | 655 |  |
| EPS | ¥118.21 |  |
| Book value per share | ¥715.01 |  |
| Equity ratio | 50.5% |  |
| Shares outstanding | 19,738,888 |  |
| Treasury shares | 1,197,400 |  |
| Shareholders | 6,757 |  |
| Average salary (parent only) | ¥6.8M | Filing company only |
| Cash ratio | 26.1% | Cash ÷ revenue 34.7% |
| Vs. industry median margin | 0 pp | Cybersecurity |
| ROE | 17.6% | Derived from disclosed figures |
| ROA | 9.3% | Derived from disclosed figures |

## Notable figures

- FY2025, one segment accounts for 99% of positive segment profit
- FY2025, employees -3% while operating income rose 39%
- FY2025, cash is 26% of total assets

## What changed in 5 years

| Metric | FY ending Dec 2020 | FY ending Dec 2025 | Change |
| --- | ---: | ---: | ---: |
| Revenue | ¥16457000000 | ¥19762000000 | +20.1% |
| Operating income | ¥1866000000 | ¥2844000000 | +52.4% |
| Operating margin | 11.3% | 14.4% | +3.1 pp |
| Employees | 642 people | 655 people | +2.0% |
| Cash and equivalents | ¥7305000000 | ¥6858000000 | -6.1% |

### 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 |
| --- | ---: |
| ＩＴセキュリティ → ＩＴセキュリティ | 93.7% |
| ＩＴセキュリティ → 事業再編・廃止 | 0.1% |
| 映像コミュニケーション → 映像コミュニケーション | 5.3% |
| 映像コミュニケーション → 事業再編・廃止 | 0.3% |
| Eco 新規事業開発 → Eco 新規事業開発 | 0.6% |
| 新設・再編 → Eco 新規事業開発 | 0.4% |

Segment revenue source references: 6 (derived)

## Business growth × margin

X-axis: segment revenue CAGR. Y-axis: latest operating margin. Bubble size: latest revenue. CAGR requires at least two comparable years.

| Segment | CAGR span | Revenue CAGR | Latest revenue | Operating margin | Source refs |
| --- | ---: | ---: | ---: | ---: | ---: |
| ITsecurity BU | 5 years | +3.7% | ¥18516000000 | 20.1% | 2 |
| EIZOU communication BU | 5 years | +2.8% | ¥1053000000 | 4.9% | 2 |
| ECO Products Development BU | 5 years | +15.0% | ¥191000000 | -96.3% | 2 |

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

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Revenue | 19,762 | 100.0% | S100XRPJ |
| Cost of revenue | 10,524 | 53.3% | S100XRPJ |
| Gross profit | 9,237 | 46.7% | S100XRPJ |
| SG&A | 6,392 | 32.3% | S100XRPJ |
| Operating income | 2,844 | 14.4% | S100XRPJ |
| Ordinary income | 2,977 | 15.1% | S100XRPJ |
| Pretax income | 2,938 | 14.9% | S100XRPJ |
| Income tax | 643 | 3.3% | S100XRPJ |
| Net income | 2,295 | 11.6% | S100XRPJ |
| Net income attributable to owners | 2,298 | 11.6% | S100XRPJ |

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

| Part | JPY |
| --- | ---: |
| Cost of revenue | 53 |
| SG&A | 32 |
| Operating income | 15 |
| (Ref.) Net income | 12 |

### Margin funnel

Gross margin 46.7% → Operating margin 14.4% → Net margin 11.6%
Derived from reported figures (DERIVED).

## Revenue and profit pattern

Pattern: Revenue and profit up
Revenue growth: +6.2%; Core profit growth: +39.2%
Growth quality: margin-expansion
Operating leverage (core profit growth ÷ revenue growth): 6.31×
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 | 18,606 | 19,762 | 1,156 | +6.2% |
| Gross profit | 8,293 | 9,237 | 944 | +11.4% |
| Operating income | 2,043 | 2,844 | 801 | +39.2% |
| Net income attributable to owners | 1,725 | 2,298 | 573 | +33.2% |
| Operating cash flow | 2,035 | 3,603 | 1,568 | +77.1% |
| Free cash flow | 1,759 | 3,382 | 1,623 | +92.3% |

## History（JPY mn）

| Period | Revenue | Op. income | Op. margin | Net income | Op. CF | FCF | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| FY ending Dec 2019 | 15,552 | 1,081 | 7.0% | 660 | 2,436 | 2,177 | S100L0OF |
| FY ending Dec 2020 | 16,457 | 1,866 | 11.3% | 1,483 | 2,620 | 1,528 | S100NPB1 |
| FY ending Dec 2021 | 17,389 | 2,367 | 13.6% | 1,872 | 2,080 | 1,750 | S100QD9B |
| FY ending Dec 2022 | 19,757 | 2,036 | 10.3% | 1,587 | 2,298 | 1,995 | S100T1CR |
| FY ending Dec 2023 | 19,058 | 2,608 | 13.7% | 1,936 | 3,643 | 3,140 | S100VFG5 |
| FY ending Dec 2024 | 18,606 | 2,043 | 11.0% | 1,725 | 2,035 | 1,759 | S100XRPJ |
| FY ending Dec 2025 | 19,762 | 2,844 | 14.4% | 2,298 | 3,603 | 3,382 | S100XRPJ |

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

| Metric | Value |
| --- | ---: |
| Revenue per employee (consolidated) | ¥30.2M |
| Operating income per employee (consolidated) | ¥4.3M |
| Net income per employee (consolidated) | ¥3.5M |

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) | 653 | 659 | 659 | 678 | 655 |
| Average salary (parent company) | ¥6.5M | ¥6.7M | ¥6.5M | ¥7M | ¥6.8M |
| Average age (parent company) | 41.2 years | 41.5 years | 42.7 years | 43.0 years | 43.0 years |
| Average tenure (parent company) | 11.2 years | 11.6 years | 12.7 years | 12.9 years | 13.3 years |

Year over year: Employees (consolidated) -3.4% · Revenue (consolidated) +6.2%

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

| Segment | Revenue | Share | Op. income | Op. margin |
| --- | ---: | ---: | ---: | ---: |
| ITsecurity BU | 18,516 | 93.7% | 3,717 | 20.1% |
| EIZOU communication BU | 1,053 | 5.3% | 52 | 4.9% |
| ECO Products Development BU | 191 | 1.0% | -184 | -96.3% |

### 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 |
| --- | ---: | ---: | ---: | ---: |
| ITsecurity BU | 93.7% | 98.6% | 4.9 | 20.1% |
| EIZOU communication BU | 5.3% | 1.4% | -3.9 | 4.9% |
| ECO Products Development BU | 1.0% | — | — | -96.3% |

Loss-making segment (excluded from profit shares): ECO Products Development BU -184 JPY mn

Segment → industry: ITsecurity BU → Cybersecurity / EIZOU communication BU → TVs, Audio & Musical Instruments / ECO Products Development BU → Semiconductors

## 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 | 3,603 | 18.2% | S100XRPJ |
| Capital expenditure | 221 | 1.1% | S100XRPJ |
| Free cash flow | 3,382 | 17.1% | 算出 |
| Investing cash flow | -10,171 | -51.5% | S100XRPJ |
| Financing cash flow | -1,268 | -6.4% | S100XRPJ |
| Dividends paid | 1,205 | 6.1% | S100XRPJ |
| Change in cash | -7,834 | -39.6% | S100XRPJ |
| Cash and equivalents | 6,858 | 34.7% | S100XRPJ |

## 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 | 8,450 | 10,199 | 13,394 | 14,692 | 6,858 | S100T1CR, S100VFG5, S100XRPJ |
| Total assets | 17,305 | 19,261 | 22,624 | 23,286 | 26,228 | S100QD9B, S100T1CR, S100VFG5, S100XRPJ |
| Net assets | 8,477 | 9,615 | 11,131 | 12,283 | 13,256 | S100T1CR, S100VFG5, S100XRPJ |
| Share capital | 1,326 | 1,326 | 1,326 | 1,326 | 1,326 | S100QD9B, S100T1CR, S100VFG5, S100XRPJ |
| Trade receivables | 2,739 | — | — | — | — | S100QD9B |
| Property, plant and equipment | 1,171 | 1,162 | 684 | 742 | 731 | S100QD9B, S100T1CR, S100VFG5, S100XRPJ |
| Intangible assets excluding goodwill | 576 | 457 | 583 | 435 | 285 | S100QD9B, S100T1CR, S100VFG5, S100XRPJ |
| Investment securities | 104 | 94 | 97 | 56 | 12 | S100QD9B, S100T1CR, S100VFG5, S100XRPJ |
| Current assets | 13,780 | 16,367 | 19,952 | 20,897 | 23,954 | S100QD9B, S100T1CR, S100VFG5, S100XRPJ |
| Current liabilities | 8,687 | 9,576 | 11,402 | 10,845 | 12,896 | S100QD9B, S100T1CR, S100VFG5, S100XRPJ |
| Trade payables | 820 | 934 | 883 | 913 | 1,420 | S100QD9B, S100T1CR, S100VFG5, S100XRPJ |
| Short-term borrowings | 108 | 133 | 69 | 63 | — | S100QD9B, S100T1CR, S100VFG5, S100XRPJ |
| Total liabilities | 8,828 | 9,646 | 11,493 | 11,002 | 12,971 | S100QD9B, S100T1CR, S100VFG5, S100XRPJ |
| Non-controlling interests | 16 | 16 | 15 | 11 | 9 | S100QD9B, S100T1CR, S100VFG5, S100XRPJ |
| Equity attributable to owners of parent | 8,414 | 9,637 | 11,253 | 12,486 | 13,585 | S100QD9B, S100T1CR, S100VFG5, S100XRPJ |
| Retained earnings | 7,032 | 8,241 | 9,844 | 11,070 | 12,163 | S100QD9B, S100T1CR, S100VFG5, S100XRPJ |
| Treasury stock | -1,345 | -1,333 | -1,322 | -1,314 | -1,310 | S100QD9B, S100T1CR, S100VFG5, S100XRPJ |

### Assets and funding mix

| Assets | Share | Source |
| --- | ---: | ---: |
| Cash | 26% | S100XRPJ |
| Property, plant and equipment | 3% | S100XRPJ |
| Intangibles and goodwill | 1% | S100XRPJ |
| Investment securities | 0% | S100XRPJ |
| Other assets | 70% | S100XRPJ |

| Funding source | Share | Source |
| --- | ---: | ---: |
| Trade payables | 5% | S100XRPJ |
| Other liabilities | 44% | S100XRPJ |
| Equity | 51% | S100XRPJ |
| Other liabilities | 0% | S100XRPJ |

### 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 | 17,305 | 19,261 | 22,624 | 23,286 | 26,228 |
| Equity | 8,477 | 9,615 | 11,131 | 12,283 | 13,256 |
| Interest-bearing debt | — | — | — | — | — |
| Cash | 8,450 | 10,199 | 13,394 | 14,692 | 6,858 |

## 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) | 3.7% | S100XRPJ |
| Fixed assets ÷ total assets | 2.8% | S100XRPJ |
| Goodwill ÷ parent equity | — | —, S100XRPJ |

### 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) | 26.1% |
| Cash ÷ revenue | 34.7% |
| Net cash (cash − interest-bearing debt) | — |
| Net debt ÷ operating cash flow | — |
| Cash conversion (operating CF ÷ operating income) | 126.7% |
| Cash vs. profit gap | 1,305 JPY mn (of net income 56.8%) |
| Shareholder returns / net income | — |
| Shareholder returns / FCF | — |
| Shareholder payments — dividends / net income | 52.4% |
| Shareholder payments — dividends / FCF | 35.6% |
| CapEx intensity (capex ÷ revenue) | 1.1% |
| Investing CF relative to operating CF | 282.3% |

## 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 | 10.8% | 1.00× | 10.8% | 2.06× | 22.2% | S100QD9B |
| 2022 | 8.0% | 1.08× | 8.7% | 2.03× | 17.6% | S100T1CR |
| 2023 | 10.2% | 0.91× | 9.2% | 2.01× | 18.5% | S100VFG5 |
| 2024 | 9.3% | 0.81× | 7.5% | 1.93× | 14.5% | S100XRPJ |
| 2025 | 11.6% | 0.80× | 9.3% | 1.90× | 17.6% | S100XRPJ |

## Ownership

| Counterparty | Relation | Ratio | As of |
| --- | ---: | ---: | ---: |
| 有限会社Ｚｅｎ－Ｎｏｂｏｋｓ | Major shareholder | 44.3% | 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 |
| ソリトンシステムズ従業員持株会 | Major shareholder | 3.8% | 2025-12-31 |
| 株式会社三井住友銀行 | Major shareholder | 2.6% | 2025-12-31 |
| 鎌田 信夫 | Major shareholder | 2.1% | 2025-12-31 |
| 株式会社日本カストディ銀行（信託口） | Major shareholder | 1.7% | 2025-12-31 |
| ＢＢＨ ＢＯＳＴＯＮ ＣＵＳＴＯＤＩＡＮ ＦＯＲ ＪＡＰＡＮ ＥＱＵＩＴＹ ＰＲＥＭＩＵＭ ＦＵＮＤ ＯＦ ＵＢＳ ＵＮＩＶＥＲＳＡＬ ６２０３７３ （常任代理人 株式会社みずほ銀行） | Major shareholder | 1.5% | 2025-12-31 |
| ＵＢＳ ＡＧ ＬＯＮＤＯＮ Ａ／Ｃ ＩＰＢ ＳＥＧＲＥＧＡＴＥＤ ＣＬＩＥＮＴ ＡＣＣＯＵＮＴ （常任代理人 シティバンク、エヌ・エイ） | Major shareholder | 0.9% | 2025-12-31 |
| 鎌田 祥志 | Major shareholder | 0.7% | 2025-12-31 |
| 三好 修 | Major shareholder | 0.6% | 2025-12-31 |

## Sources

| Document | ID | Published | URL |
| --- | ---: | ---: | ---: |
| 有価証券報告書－第48期(2025/01/01－2025/12/31) | S100XRPJ | 2026-03-24 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100XRPJ,, |
| 有価証券報告書－第47期(2024/01/01－2024/12/31) | S100VFG5 | 2025-03-27 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100VFG5,, |
| 有価証券報告書－第46期(2023/01/01－2023/12/31) | S100T1CR | 2024-03-28 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100T1CR,, |
| 有価証券報告書－第45期(2022/01/01－2022/12/31) | S100QD9B | 2023-03-30 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100QD9B,, |
| 有価証券報告書－第44期(令和3年1月1日－令和3年12月31日) | S100NPB1 | 2022-03-24 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100NPB1,, |
| 有価証券報告書－第43期(令和2年1月1日－令和2年12月31日) | S100L0OF | 2021-03-25 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100L0OF,, |

## 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).