・Mobility sector: Demand for cloud services designed for DX has been increasing.
・Non-mobilitysector: IT Investment has recovered compared to the early stage of COVID-19 crisis.
Business results
Better than expected
・Cloud-based software for mobility sector
Since sales are recorded on a monthly basis, they grew as planned under favorable business environment.
Revenue of "Cloud service" in 1Q: 935 million yen (YoY +80.9%)
・Adoption rate of 5-yearlump-sum contracts* for cloud-based software for mobility sector
FY2022: 29% ⇒ FY2023 1Q: 48%
Cash flow from operating activities in 1Q shifted to an upward trend (YoY +109 million yen)
・Packaged software for non-mobility sector
Since sales for 6-year usage rights are recorded in a lump sum, they exceeded the expectation under favorable business environment.
Revision of packaged system sales forecast for 1H: 5 billion yen (+400 million yen compared to initial forecast)
Progress of Mid-term Management Plan On track
・Performance plan: Performance largely exceeded initial forecast in FY2022.
The Company made a good start in FY2023 and plans to return to profitability in FY2024.
・Initiatives: The Company is promoting penetration of released cloud-based software as planned, while promoting development of the remaining cloud-based software.
* For cloud-based software, even in the case of a 5-yearlump-sum contract, sales are recorded on a monthly basis.
Broadleaf Co. Ltd. published this content on 12 May 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 12 May 2023 06:32:09 UTC.
Broadleaf Co., Ltd. is engaged in provision of industry-specific business applications through the network, maintenance services and supplies, and various network services on the industrial platform, mainly to the automobile aftermarket industry and other markets. The system sales business develops and sells industry-specific business applications, work analysis and optimization softwares, as well as purchases and sells personal computer (PC) bodies and printers. The system support business provides maintenance services, as well as purchases and sells documents and office automation (OA) supplies. The network service business provides database service, server service, settlement agency service of automobile recycling parts, electronic parts ordering function of automobile parts, support tool of tablet type business, as well as analysis service of ecommerce and data.
BROADLEAF CO., LTD. 
