Appirits Inc. — Cyborg Score 5/10

Mixed
IT Consulting and Software Services

Strategic Profile

The Web Solution segment handles planning, design, contract development, operation and maintenance of web systems including EC sites and security diagnostics, while the Online Game segment focuses on in-house developed games and contract development for other companies. The company maintains technical expertise in AWS implementation, mobile development, and security services.

Cyborg Score Rationale

EPS has declined around 13% annually over five years, with dividend payments under pressure despite recent increases. The stock trades at a P/E of 33.5x versus a 17x industry average, suggesting valuation concerns offset by solid technical capabilities.

Top Insights

  • Dividend grew 79% annually over two years (¥5.00 to ¥16.00), though sustainability questioned by declining EPS trends.
  • Net profit margins contracted from 3.2% to 2.3%, indicating operational pressure.
  • Company completed IPO on February 25, 2021, relatively recent to market.
  • Stock exhibits high volatility (11% weekly), moving more than 90% of Japanese equities.

Named Competitors

  • IT Consulting Services — Japan-based IT consulting and systems integration
  • Web Solutions — Large-scale IT services and digital transformation
  • Online Game Development — Mobile and online game publisher

Recent Developments

  • (January 2025) Announced dividend of ¥8.00 per share with growing distribution policy
  • (May 2022) FY2022 revenue reached ¥4.80B (up 23% YoY) but net income declined 13%
  • (2025) Continued portfolio focus on web solutions and online gaming segments

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