Gmo Prime Strategy Co. Ltd. · TSE:5250
Gmo Prime Strategy — Prime Strategy — Q1 FY2025 Earnings Presentation
58 slides from Gmo Prime Strategy's earnings presentation, May 2025
Slide 1: FY2025 Q1 Earnings Results
Prime Strategy Co., Ltd TSE Code: 5250 FY2025 Q1 Earnings Results 1
Slide 2: Table of Contents
Table of Contents 1. Introduction A Word from the President 2. KUSANAGI Stack, Our Core Competency Our Business Corporate Profile 3. Market History, Performance Trends and Case Studies News 4. Quarterly Highlights Highlights 5. FY2025 Business Strategy 2
Slide 3: A Word from the President
A Word from the President Prime Strategy Co., Ltd. Tadashi Yoshimasa, President Thank you for your continued support for our company. I assumed the role of President midway through the fourth quarter of last year. Since then I have been working on expanding our KUSANAGI-related business and launchin
Slide 4: Our Business
Our Business Prime Strategy is the developer of the robust KUSANAGI operating system for web servers that deliver content on the Internet. Recognized for its ultra-fast performance and high level of security, KUSANAGI is used on major cloud services worldwide, with a cumulative total of 90,000 deplo
Slide 5: Corporate Profile
Corporate Profile Company Name Areas of Business Prime Strategy Co., Ltd. Development and marketing of KUSANAGI Stack • KUSANAGI ultra-high-speed CMS execution environment • WEXAL® Page Speed Technology® acceleration engine • ONIMARU® David Strategic AI Established KUSANAGI Stack Business December 2
Slide 6: Management Team
Management Team President Tadashi Yoshimasa Marketing Akihisa Kodate 1992 Intec Inc. Ayano Ohsaki 2010 President, YOSHIMASASOUSEI Co., Ltd. External Directors Shigenaga Soeda* 2011 Chairman, Engineer Certification Corporation for PHP 2016 Representative Director, Python Engineer Development Takayuki
Slide 7: History and Performance Trends
History and Performance Trends Start-up Phase I Start-up Phase II Specialized WordPress Integrator KUSANAGI Stack Business Development As a Specialized WordPress Integrator, we developed a non-recurring Business expansion centered around development of the KUSANAGI Stack product suite revenue busine
Slide 8: Case Studies
Cases Studies Currently about 200 case studies have been released. • 株式会社NEWSY(fumumu（フムム）) • 法律・会計 • 鉄道・航空・運輸・物流 • AppMedia株式会社（アップメディア）(AppMedia) • カナダ観光局(カナダ観光局) IT・サービス • コルネ株式会社(コルネ株式会社) • 株式会社新潮社(デイリー新潮) • • レインメーカー株式会社(交通事故の弁護士 ・比較カタログ) • )Sanyo Corporation of America( Sanyo Corporation of Am
Slide 9: News: KUSANAGI on Hostinger VPS
News KUSANAGI on Hostinger VPS
Slide 10: WordPress Security Advisory on major news media
We‘ve started the WordPress Security Advisory on major news media マイナビニュースにて 連載開始
Slide 11: WordPress Market Survey Results
WordPress Market Survey Results • Out of 182,405 WordPress sites belonging to Japanese companies and organizations, it was found that User IDs were visible on 15.3% and that the login page was accessible on 41.9%. • Source: https://www.prime-strategy.co.jp/information/wordpresssec/ Proportion of sit
Slide 12: Result of Customer Satisfaction Survey
Result of Customer Satisfaction Survey • 2025年3月度調査（既存顧客全件調査）
Slide 13: KUSANAGI Summit 2025 for WordPress
KUSANAGI Summit 2025 for WordPress
Slide 14: KUSANAGI Now Compatible with Red Hat Enterprise Linux
KUSANAGI Now Compatible with Red Hat Enterprise Linux April 9 Announcement Red Hat Enterprise Linux (RHEL) has established itself as a leading Linux OS, especially among government ministries, agencies, local governments, and large enterprises. We have now made the paid version of KUSANAGI, our ultr
Slide 15: Marketing Department Reorganization
Marketing Department Reorganization • Marketing Department (Supervised by Tadashi Yoshimasa) staff increased from 1 to 7 in FY2025 • Executive Officer Naoki Irie appointed Head of the Marketing Department (Joined PS in April 2025) • Executive Officer Takahiro Oshio appointed Head of the AI Business
Slide 16: News Summary
News Summary • Marketing Department strengthened and the number of personnel increased. • HOSTINGER signed up (a company not active in the Japanese market). • KUSANAGI paid version made compatible with Red Hat Enterprise Linux used by government ministries, agencies, local governments, and large ent
Slide 17: Table of Contents
Table of Contents 1. Introduction KUSANAGI Stack 2. KUSANAGI Stack, Our Core Competency KUSANAGI Performance WEXAL Page Speed Technology 3. Market David KUSANAGI Managed Services 4. Quarterly Highlights CMS/Web Platform Integration Services 5. FY2025 Business Strategy Business Composition Licensing
Slide 18: KUSANAGI Stack
KUSANAGI Stack Only Product Suite that Accelerates All Processes KUSANAGI ultra-high-speed CMS execution environment WEXAL Page Speed Technology acceleration engine ONIMARU David Strategic AI Optimization of all processes for web display. Japanese Patent No.7523733 Japanese Patent No.7530383 US Pate
Slide 19: KUSANAGI Performance
KUSANAGI Performance 16,046 No. of requests that can be processed per second. Standard Environment KUSANAGI specializes in ultra-fast tuning and security enhancements specifically for WordPress/CMS through the combinations shown below. KUSANAGI EC sites and member sites (no cache) Fast Some products
Slide 20: WEXAL Page Speed Technology and David Strategic AI
Web Display Acceleration Engine Strategic AI WEXAL Page Speed Technology David Advantage Automatic generation of optimization strategies by David Strategic AI 1 ONIMARU David Strategic AI automatically generates optimization strategies for each page, tailored to the browser environment, eliminating
Slide 21: KUSANAGI Managed Services
We can integrate web systems developed by others. KUSANAGI Managed Services We provide comprehensive support for everything from CMS like WordPress to server operation and management A monthly flat-rate system with cloud fees included, makes it easy to establish an annual budget. Even with temporary
Slide 22: KUSANAGI Managed Services Competitive Advantage
KUSANAGI Managed Services Competitive Advantage KUSANAGI Managed Services is a support service for companies that handles the operation and management of WordPress sites and servers. It provides an environment where marketing and web personnel can focus on their core tasks, such as content creation.
Slide 23: Reference: Our Competitive Advantage at a Glance
Reference: Our Competitive Advantage at a Glance KUSANAGI Managed Services For further details, go to: https://www.prime-strategy.co.jp/wordpress_managed/ 23
Slide 24: CMS/Web Platform Integration Services
CMS/Web Platform Integration Services Security and governance challenges faced by the Transition to a unified cloud platform. Update OS and proliferation of websites. middleware, and conduct operations under unified rules. Dept. A Dept. B Operate in a unified security environment HTML Dept. A Dept.
Slide 25: CMS/Web Platform Integration Services
CMS/Web Platform Integration Services Planning Migration · Assess environment · Configure server · Prepare site list · Migrate site · Identify issues · Implement security service · Coordinate with development venders · Update CMS · Formulate operational rules Management · Respond to incidents · Carr
Slide 26: Business Composition
Business Composition Development of core technology and products, such KUSANAGI. Deployment of various services that make the most of technologies such as AI and automation. Focus on Recurring Revenue Business Recurring Revenue Business Non-recurring Revenue Business Revenue KUSANAGI Managed Cloud I
Slide 27: Licensing In and Outside of Japan
Licensing In and Outside of Japan 28 Cloud Service Providers As of September 2024. Region IP Partnership Market Japan 2 companies ◎ Asia TBD ◎ North TBD ◎ America Oceania TBD Development of ○ Japanese Patent No.7523733 Japanese Patent No.7530383 Partner Central/South US Patent No.US12111876B2 US pat
Slide 28: Our Unique Strengths/Competitive Advantages
Our Unique Strengths/Competitive Advantages The target is 62.0% of Partnership with major Product web servers running Ultra-high-speed cloud providers Competitiveness/ High level of specialized 260 times faster than CMS worldwide (with CMS security Differentiation WordPress operating on normal envir
Slide 29: Table of Contents
Table of Contents 1. Introduction Target Markets 2. KUSANAGI Stack, Our Core Competency Leading Company in WordPress 3. Market 4. Quarterly Highlights 5. FY2025 Business Strategy 29
Slide 30: Target Markets for KUSANAGI Stack
Target Markets for KUSANAGI Stack The Internet Computers provide The more content there is, the slower it is displayed. content to Internet users (Web servers) The more popular and widely used it becomes, the more important the information is that is accumulated, making it a target for cyberattacks.
Slide 31: Target Markets for KUSANAGI Stack
Target Markets for KUSANAGI Stack The Internet In the past, content was created and displayed using programming. Computers that provide Prime Strategy provides web server maintenance services (subscription content to Internet Users services) that accelerate web servers to ultra-high speeds and ensur
Slide 32: What are CMS and WordPress?
What are CMS and WordPress? A CMS is a tool that allows people who are not familiar with websites to add and update pages without programming. It enables efficient website management by centralizing the management of text, images, layouts, and other content. CMS is used on approximately 70% of websi
Slide 33: What are CMS and WordPress?
What are CMS and WordPress? WordPress is one of the leading CMS platforms, accounting for 83.1% of the CMS market in Japan. (W3CTechs September 2024) Advantages and Disadvantages of CMS Advantages · Efficient content updates. · Easy customization. Disadvantages Common issues when using dynamic CMSs
Slide 34: Leading Company in WordPress
Leading Company in WordPress Authored and oversaw the translation of WordPress-related Awarded the Tokyo Metropolitan Government's Going-Global books. Innovations Competition Tokyo Innovative Service Special Award. Detailed Guide to WordPress (Japanese) Web App Development with WordPress (Japanese)
Slide 35: Target Markets for KUSANAGI Stack
Target Markets for KUSANAGI Stack WordPress Becoming a Target for Cyberattacks has Led to Increased Security Awareness Companies with1,000 or more employees Companies with 300–999 employees 4,042 companies *4 11,478 companies *4 The number of Outsourced IT Inhouse IT WordPress sites used WordPress'
Slide 36: How WordPress is Hacked
How WordPress is Hacked • More than 60% of WordPress site hacks are caused by vulnerabilities in plugins and themes. • By addressing vulnerabilities in the WordPress core, plugins, and themes, the risk of hacking can be significantly reduced. https://www.wordfence.com/blog/2016/03/attackers-gain-acc
Slide 37: Table of Contents
Table of Contents 1. Introduction Quarterly P/L Summary 2. KUSANAGI Stack, Our Core Competency Cost Structure for FY2024 Q4 Growth Strategy Progress 3. Market 4. Quarterly Highlights 5. FY2025 Business Strategy 37
Slide 38: Key Metrics and KPIs
Key Metrics and KPIs Revenue (FY2024 [consolidated]) KUSANAGI Managed Services KUSANAGI Deployments No. of customers (As of February 2025) (As of September, 2024) 850 million JPY 870 million JPY 104Companies 90,000 Deployments 107 Companies FY2023 Results (As of November 2024) Operating Profit Ratio
Slide 39: Quarterly Profit/Loss Summary
Quarterly Profit/Loss Summary On a quarterly basis, revenue increased by 8.4% over the same period last year. This was primarily due to an increase in sales related to cloud integration services. Operating profit and ordinary profit were both down compared with the previous quarter and the same peri
Slide 40: Cost Structure for FY2025 Q1
Cost Structure for FY2025 Q1 250,000 Unit: 1,000 JPY 200,000 Include Engineer fee エンジニアの人件費含む 99,557 150,000 223,712 32,490 100,000 6,000 124,155 44,959 50,000 133 40,705 40,838 0 Revenue Revenue Cost of Sales Gross Profit Labor Costs R&D Costs Other Operating Profit Non-operating Ordinary Profit Co
Slide 41: Quarterly Change (Company-wide)
Quarterly Change (Company-wide) Unit: million JPY 売 上Revenue 高の推移 売 上 Gross 総利益 の推移 Profit 2023.11期 2024.11期 2025.11期 2023.11期 2024.11期 2025.11期 230 200 225 222 223 224 224 155 145 144 220 217 150 129124 132 125 136 128 215 215 211 212 100 210 206 205 50 200 195 0 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 営Operating
Slide 42: Quarterly Change (By service)
Quarterly Change (By service) Unit: million JPY KUSANAGIマネージドサービス 売上高の推移 KUSANAGI Managed Services クラウドインテグレーションサービス 売上高の推移 Cloud Integration Service 2023.11期 2024.11期 2025.11期 2023.11期 2024.11期 2025.11期 200 50 42 41 40 35 35 35 32 31 155 153 30 26 146148 151 25 145 145 147 149 150 20 10 100 0 1Q 2Q
Slide 43: Balance Sheet Summary
Balance Sheet Summary Previous Consolidated FY Current Consolidated Q1 Previous Consolidated FY Current Consolidated Q1 (Nov. 30 2024) （Feb,28,2025) (Nov. 30 2024) （Feb,28,2025) Assets Liabilities Cash and Deposits 1,399,005 1,336,231 Payables 22,705 23,005 Accounts Receivable 82,852 81,694 Long-ter
Slide 44: Growth Strategy Progress
Growth Strategy Progress In the first quarter, the number of new customers was 3 and the number KUSANAGI of canceled customers was 6, so the number of canceled customers Managed Services exceeded the number of new customers. As a result, the average customer value and MRR decreased compared to the p
Slide 45: Growth Strategy Progress: Short-term Plan
Growth Strategy Progress Short-term Plan: CMS Platform Integration Service (KUSANAGI Managed Services) • Efforts aimed at securing large-scale projects centered on top sales partner initiatives. (Ongoing) • Expansion of inbound customer contacts through website renewal and the creation of problem- s
Slide 46: Growth Strategy Progress: Licensing and Hyperautomation
Growth Strategy Progress Short-to Mid-Term Plan: Licensing in and outside Japan • Start providing KUSNAGI Security Edition on AWS and Google Cloud. • Start providing KUSANAGI Professional Deployment Services (Setup Service and KUSANAGI Professional Support Service (Operational Support Service) on AW
Slide 47: Table of Contents
Table of Contents 1. Introduction Overall Strategy 2. KUSANAGI Stack, Our Core Competency Mid-term Strategy Roadmap FY2025 Goals 3. Market FY2025 Cloud Integration Business Plan 4. Quarterly Highlights FY2025 Marketing Strategy Roadmap New Solution for The 2025 IT Crisis 5. FY2025 Business Strategy
Slide 48: Overall Strategy Highlights
Overall Strategy Highlights Mid-term Strategy Policies • We will achieve steady and stable growth centered around KUSANAGI Managed Services and the KUSANAGI License Business. • We will strengthen overseas expansion efforts centered around the KUSANAGI Stack product suite. • We aim to expand sales in
Slide 49: Mid-term Strategy Roadmap
Mid-term Strategy Roadmap Main Focus • KUSANAGI Managed Services, • KUSANAGI Paid Licenses Establish Global Business • Magatama.AI Business. • Incorporate AI technology into KUSANAGI Managed Services, Global: Strengthen Partnerships FY2030 and achieve larger subscription pattern. • Solidify expanded
Slide 50: FY2025 Goals (Forecast for Consolidated Results)
FY2025 Goals (Forecast for Consolidated Results) Unit: 1,000 JPY FY2024 FY2025 Change % Change Results Forecast Revenue 857,213 1,000,818 143,605 +16.8% Operating Profit 212,273 225,843 13,570 +6.4% Ordinary Profit 212,274 224,211 11,936 +5.6% Net income attributable to the 151,899 155,557 3,657 +2.
Slide 51: FY2025 Cloud Integration Business Strategy Roadmap
FY2025 Cloud Integration Business Strategy Roadmap ① Establish a system for receiving orders to achieve a net increase in stock and growth in customer numbers. ② Improve customer relations to reduce cancellation rates. • Add new features to the paid version to ③ Increase sales of the KUSANAGI paid
Slide 52: FY2025 Marketing Strategy Roadmap
FY2025 Marketing Strategy Roadmap • Marketing activities that support the Cloud Integration Business KUSANAGI Summit 2025 • Hold seminars 3 times a month. (Ongoing) • Publish case studies and10 items each month (Ongoing). • Increase KUSANAGI deployments to 100,000. Q4 • Participate in third-party ev
Slide 53: New 2025 IT Crisis Solutions
New 2025 IT Crisis Solutions • We will provide solutions to the 2025 IT Crisis by making the management of legacy system source codes and documents easier by using Magatama.AI. *Legacy system refers to systems that were built with old technology and systems. • Legacy systems are causing problems for
Slide 54: New 2025 IT Crisis Solutions
New 2025 IT Crisis Solutions • This solution requires a high level of confidentiality, as it involves analyzing source code and specifications using LLM. Therefore, we have decided to develop a solution based on the ultra- lightweight, fully local cooperative operation LLM, Magatama.AI as the base s
Slide 55: Magatama.AI
Ultra-lightweight, Fully Local Collaborative Operation LLM Magatama.AI Completely Local Confidential documents Confidential documents are are kept kept safe. safe. Embedding model It has extremely tight security due to the use of API without any external services. Furthermore, being in a local envir
Slide 56: Message to Stakeholders
Message to Stakeholders During FY2025 we are establishing the framework for the future expansion of our business. We are actively enhancing our current services and products, and unveiling new business models. We strengthened our marketing department in Q1, our AI Business Promotion Office, sales te
Slide 57: About This Document
About This Document • This document has been prepared solely for the purpose of disclosing relevant information about our company and its subsidiaries, and does not constitute an offer or solicitation for the purchase of our shares or any other securities, whether domestic or international. • This d
Slide 58: ©2025 Prime Strategy Co., Ltd.
©2025 Prime Strategy Co., Ltd.