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• Core Business Positioning: eWeLL operates as a home healthcare platformer centered on its core electronic medical record product iBow for visiting nursing stations, positioning itself to address Japan's 2040 super-aging society challenge. The company's long-term vision is to become essential social infrastructure for Japanese home healthcare by 2040.
• 2025 Fiscal Year Core Operational Highlights:
  • Total contracted stations reached 3,501, beating target; full-year new contracted stations hit 670, a 5.8% year-over-year increase.
  • Full-year revenue churn rate was 0.17%, down from the prior year, hitting a new low, with customer satisfaction improvement initiatives delivering steady results.
  • Market share reached 18.7%, up 1.2 percentage points year-over-year, approaching 20% market penetration.
  • Actual average customer per unit price was 88,800 yen (vs target 90,300 yen), as the 2,100 yen per unit contribution expected from AI Visit Schedule & Route was shifted to 2026 due to the delayed billing start; even with this shift, per unit price grew 9.2% year-over-year driven by strong performance of AI Visiting Nursing Plan/Report and BPaaS.
  • Operating profit hit 1.537 billion yen, beating guidance by 2.9%, with an operating margin of 45.3% – the first time the company exceeded the 45% threshold since listing, maintaining over 40% operating margin consistently since the 2022 December fiscal year.
  • The company achieved 7 consecutive years of revenue growth since 2018, and 5 consecutive years of profit growth since turning profitable in 2020 December.
• Review of the 2023-2025 Base Strengthening Period:
  • Accelerated multi-product strategy expansion starting from the iBow customer base, expanded the product portfolio to cover AI services and the regional comprehensive care platform Kealogutto, and grew headcount by 46 people compared to the end of 2022 to support service expansion.
  • The company has now entered a new phase targeting to increase upsell/cross-sell ratio to 40%, as the multi-product strategy has matured and revenue leverage is beginning to take full effect.
• 2026-2028 Business Expansion Phase Strategic Priorities:
  1. Further upsell centered on AI services: The company's AI services are tightly integrated with products, rely on unique in-house medical data, cannot be replaced by general-purpose AI agents, and align with national policy goals to improve home healthcare productivity and sustainability.
  2. New AI service development leveraging emerging technologies.
  3. Penetration and monetization of the platform business.
• Upcoming New Product Pipeline:
  1. iBow Board: A management dashboard for visiting nursing operators that leverages daily operational data to let owners intuitively grasp business conditions and inform strategic actions.
  2. Kaedoki: A free healthcare worker job matching platform addressing the industry problem of high fee, high turnover paid recruitment services. It matches visiting nursing station data with healthcare worker data to reduce mismatches, and drives growth of iBow as growing stations increase their usage and revenue for eWeLL.
  3. AI Assessment (working title): Developed combining external knowledge such as the Omaha System (a US-origin visiting nursing assessment framework) with eWeLL's in-house service expertise, planned for free release, and will be used as a customer acquisition hook for iBow.
• Kealogutto Platform Strengthening:
  • Kealogutto is the company's core platform to connect hospitals and home healthcare, addressing the structural problem of on-premise hospital electronic medical records being unable to share information externally. The service leverages eWeLL's cloud infrastructure that meets strict Japanese Ministry of Health, Labour and Welfare security standards to safely connect hospitals, visiting nursing stations, and clinics.
  • Phased rollout plan: 2026 Phase 1 builds functionality to support discharge/entry management, and helps hospitals correctly claim the 2,400 point (24,000 yen) discharge support medical fee that most hospitals currently do not claim; 2027 Phase 2 adds functionality to improve home return rates and support multi-professional conference recording; 2028 Phase 3 delivers end-to-end post-discharge support and regional collaboration visibility.
• Human Capital Investment: The company maintains a small elite organization, focused on hiring personnel with a strong commitment to supporting home healthcare. It will invest in employee engagement, individual growth, and organizational structure to maintain the small elite model while expanding the business.
• Capital Allocation: Over the 3-year medium-term plan, the company expects to generate approximately 5 billion yen in total operating cash flow (already accounting for hiring, human capital investment, and marketing expenses for development base strengthening). It will prioritize growth investment, maintain a continuous dividend policy, target building net assets of over 5 billion yen to strengthen the financial base, and reserve capacity for M&A or large-scale partnerships to enable non-continuous growth if opportunities arise.

• 2026 December Fiscal Year Dividend Guidance: The company guidance a 5 yen increase to 21 yen per share, a 31.3% increase from the 2025 fiscal year dividend of 16 yen, with an expected payout ratio of 24.1%. This increase reflects management's confidence in the 2026 fiscal year performance.
• Medium-Term (2028 December Fiscal Year) Targets:
  • Target total revenue of 6.149 billion yen, maintaining operating margin in the 45% range.
  • Target total contracted stations of 4,882, targeting growth by capturing new station openings and switching from competitor products.
  • Target average customer per unit price of 110,300 yen, driven by monetization of AI services and BPaaS penetration.
  • Target revenue churn rate of 0.13%, continuing customer satisfaction improvement initiatives.
  • Target to grow headcount to 151 people in 2026, increase the number of core products to 9, and expand the service coverage from point solutions to a full platform.
• AI Visit Schedule & Route Billing: The company formally set the billing start date for AI Visit Schedule & Route to July 2026, after completing 7 product updates, 33 feature additions/improvements, and 3 rounds of AI accuracy improvements based on customer feedback. As of January 2026, free trial sign-ups exceeded 1,295, and management expects a paid conversion rate of 10% to 15% in 2026. The company will focus on full-scale promotion and conversion after July 2026.
• Shareholder Return: The company targets a long-term dividend payout ratio of 20%, and will continue to consider various shareholder return initiatives centered on dividends going forward.

eWeLL's total revenue for the 2025 December fiscal year is 3.392 billion yen, with a 31.9% year-over-year increase, exceeding the initial full-year guidance by 1.3%. 1. Cloud Service: Revenue reached 793 million yen, a 27.1% year-over-year increase, accounting for approximately 23.4% of total revenue. The full-year gross margin for cloud services was 80.2%, with a Q4 standalone gross margin of 78.0% (the temporary decline was driven by increased maintenance costs, continued development investment, and one-time expenses for preparing 2026 new services). 2. BPaaS Service: Revenue reached 123 million yen, a 49.3% year-over-year increase (approximately 1.5x the prior year), accounting for approximately 3.6% of total revenue. The full-year gross margin for BPaaS was 64.4%, and the company targets maintaining a gross margin of approximately 60% going forward. In 2025, BPaaS contributed 10.7% of total gross profit, and is targeted to contribute 12.2% of total gross profit in 2026.

• For the 2026 (Reiwa 8) medical fee revision, facility-based in-facility visiting nursing and hospice business models face stricter operational standards, and may see no significant point increases or even revenue reduction if they continue existing operations; the company noted it will continue to wait for further details on the revision, though existing contract terms for these customers do not expose eWeLL to revenue downside from reduced visiting volumes.
• While overall medical fee revisions are net positive for eWeLL, they create system modification work and incremental costs for the company, though management notes this also acts as a barrier to entry for competitors and increases demand for BPaaS support.
• Personnel cost inflation is ongoing, but management notes this is expected, and has implemented three countermeasures: growing revenue via high-value-added low labor dependency services such as AI and BPaaS to outpace cost increases; improving productivity via internal DX and AI utilization to maintain a small elite model and avoid over-reliance on headcount growth; frontloading hiring and training to support future growth, which acts as a base for medium-term profit growth.
• The majority of customer churn is driven by station closures, which has been increasing in recent years; the second largest driver is switching to cheaper competitor systems for smaller stations. The company is working to improve customer satisfaction to reduce churn via improved service communication and regular third-party capture of customer feedback.
• If the company achieves very high market share, there is a potential question of anti-monopoly law compliance; management notes that anti-monopoly law prohibits anti-competitive abuse of market position, not high market share itself, and eWeLL has always maintained a fair competitive environment with no exclusionary practices, so there is no current risk of violation, and the company will continue to comply with regulations going forward.
• General AI agent advancement creates market concern that general AI could replace eWeLL's services; management notes that visiting nursing requires in-person care, and eWeLL's unique aggregated chronic care data cannot be replicated by third parties, so the business cannot be replaced by general AI, and the company will actually leverage AI progress to improve its own services.
• Cybersecurity risks such as ransomware: eWeLL uses domestic cloud data centers that comply with Japanese government security guidelines, maintains multiple standby data centers and full backups to avoid data loss, and has an ISO/IEC 27001 certified information security management system to protect patient data.

Q: Some visiting nursing operators are expected to see negative impacts from the 2026 medical fee revision; what is your assessment of the impact on eWeLL?

A: At this point the revision is still only a directional announcement, but overall it is a positive revision for visiting nursing as a whole. While some operators such as those in same-facility locations will see negative impacts, this will not reduce eWeLL's revenue. For hospice and facility-based visiting nursing we already have individual contracts aligned with the business model, and the contract terms mean eWeLL's performance is not impacted if visiting volumes fall, so we do not expect any revenue reduction at this time.

Q: What are the positive and negative impacts of medical fee revisions on eWeLL's business overall?

A: Visiting nursing is affected by both medical and care fee revisions, meaning there is some form of legal revision almost every year. The more complex and precise the system becomes, the more it benefits eWeLL, because our core strength is helping medical professionals reduce indirect work and implement the system correctly without errors. The only minor negative is that revisions create system modification work and incremental costs, but this actually becomes a competitive advantage for us, as many competitors cannot keep up with the detailed requirements, expanding the addressable market that only eWeLL can serve. It also increases demand for direct support via services like BPaaS, so overall revisions are net positive.

Q: What is the current free trial sign-up volume for AI Visit Schedule & Route, and what is your expected paid conversion rate?

A: As of January 2026, free sign-ups are 1,295 and still growing. We expect a paid conversion rate of 10% to 15% in 2026. Unlike AI Visiting Nursing Plan/Report, this service impacts the entire operation of the visiting nursing station and requires initial setup on the customer side, so we are focusing on providing sufficient support to drive full adoption, and we expect high retention after conversion because it delivers deep value to visiting nursing operations.

Q: Why was billing for AI Visit Schedule & Route delayed to July 2026, and will you be ready to start billing at that date? Does the delay mean you need more development to get enough customers?

A: This is not a delay, we were carefully evaluating the right timing for billing from a sales strategy perspective. We have been using feedback from current free users to improve UI/UX, which will drive higher satisfaction and retention. We have now had almost a year of free use since the initial release, so we will start billing in July 2026 as planned, and are targeting 10% to 15% conversion of contracted stations.

Q: What has driven 7 consecutive years of record profit for eWeLL?

A: First, we are fully specialized in visiting nursing, the market is growing with increasing numbers of stations, and the industry is strongly demanding DX and work style reform to improve efficiency, creating strong tailwinds that have driven steady growth in contracted stations. Second, we avoid unnecessary price competition, and provide one-stop truly useful services for home healthcare that customers value, so we have higher average per unit pricing and lower churn than competitors, leading to stable sustained growth.

Q: What drives your very high 45% operating margin, and can you maintain this level going forward?

A: The main driver is that our development and sales organizations are much more compact than other SaaS companies, which enables high profitability, and we believe we can maintain this level going forward. For development, we have a small in-house core development management team, and outsource most design and coding, which converts fixed costs to variable costs, lets us control resources easily, and eliminates the need for large in-house engineering management overhead. For sales, as an industry-specialized SaaS we have high conversion rates due to our product advantage and limited competition, so we can achieve high growth with a small sales team, keeping the organization very compact. This compact organizational structure while delivering high growth is what enables our high profitability.

Q: How confident are you in the revenue growth target in the new medium-term plan?

A: We have beaten every annual plan and upgraded the medium-term plan with upside since listing, and we believe we will achieve this new plan as well. The plan was increased because upsell products such as AI Visiting Nursing Plan/Report and BPaaS performed better than expected in 2025, so we incorporated that existing positive trend into the plan, it is not an unrealistic target. The entire company is focused on delivering the plan including the growth from AI Visit Schedule & Route.

Q: Do you expect to acquire large-scale visiting nursing operators?

A: We cannot announce any specific information at this point, but we continue to approach large operators. The stricter operational requirements from the latest revision actually mean iBow is particularly well-suited for large operators, so this creates a strong tailwind for our acquisition efforts.

Q: What is your expected gross profit contribution from BPaaS this year and next?

A: In 2025, BPaaS contributed 10.7% of total gross profit, and we expect it to contribute 12.2% in 2026. Our plan is to target a little over 10% of gross profit from BPaaS going forward.

Q: What is your priority for allocate generated cash, and what is your target payout ratio?

A: As we disclosed in the capital allocation plan, we prioritize growth investment in this medium-term plan. Most growth investment is recorded as cost of goods sold or SG&A, so we plan to maintain high operating margin even while investing. We will balance growth, dividends, and financial base strengthening by maintaining a certain level of shareholder return while strengthening our financial foundation, and we target a dividend payout ratio of 20%.

Q: Are you considering entering any new business areas?

A: As we mentioned in our growth strategy, we are working to expand our service coverage to hospitals, clinics, pharmacies, and dental clinics, by connecting the entire home healthcare sector via our platform to achieve overall optimization of home healthcare and protect Japan's limited workforce and universal insurance system, so that is our current focus for new challenge.

Q: When do you expect data business to become a meaningful source of revenue, and what is the current progress of data structuring?

A: We believe that leveraging data in the home healthcare area to create new revenue opportunities such as the Kealogutto platform has high social value, beyond just selling anonymized real-world data like other companies. We are steadily preparing for commercialization of PHR (Personal Health Record) alongside the development of Kealogutto, and we are watching policy trends such as My Number and medical DX closely to identify the right value to deliver. We are already strengthening our infrastructure to enable pharmaceutical companies to access medical data in our electronic records, and we will continue to update the market on progress regularly.

Q: Is overseas expansion a possibility for eWeLL?

A: Right now we are focused entirely on addressing the challenges of home healthcare in Japan, and contributing to Japanese society. That said, Japan's medical system draws on international examples, and many other countries including European nations and Asian countries such as South Korea are facing aging populations similar to Japan, so there is good alignment between our business and international markets, and potential for expansion in the future. When we do consider expansion we will evaluate countries based on similarity to the Japanese medical system, national policy, cultural similarity, ICT progress for chronic care, and data utilization and security. We also already have discussions with Japanese visiting nursing operators that are considering overseas expansion to explore potential collaboration.

Q: What is your stance on M&A, and do you have any ongoing deals?

A: We flexibly consider M&A as a tool to add missing capabilities needed to start new businesses. We do not have any specific ongoing deals at this point, and we are not looking for large-scale M&A; we are focused on small to mid-sized deals in the tens of billions of yen range, specifically in healthcare areas that can create synergy with our existing business such as companies already serving hospitals.

Q: What is your outlook for headcount going forward?

A: We plan to increase headcount from 107 at the end of 2025 to 151 in 2026. We need to grow headcount to support new product development, upsell, and deeper penetration of the platform such as Kealogutto, but we will continue to evaluate business conditions carefully and expand the organization without damaging our existing high efficiency and profitability. We are also strengthening our employment branding to communicate the social purpose and long-term vision of the company, and building systems that prioritize hiring, training, and retention.

Q: What is the impact of rising personnel costs, and how do you plan to address it?

A: Personnel costs are increasing due to stronger hiring and base pay increases, but this is all within our expectations, and revenue growth has absorbed the increased cost; in 2025 we maintained a 45.3% operating margin even after frontloading growth investment in the second half, so it is under control. We have three main countermeasures: first, grow revenue via high-value-added services such as AI and BPaaS that have relatively low labor dependency and higher pricing, so revenue growth outpaces personnel cost increases; second, improve productivity via a small elite model and internal DX/AI utilization to increase revenue and value per employee, so we do not rely on raw headcount growth; third, we view personnel investment as a strategic long-term investment – while it increases costs in the short term, it builds the base for future multi-product expansion and upsell growth, and will contribute to profit growth in the medium term. Overall, personnel costs are strategic investment for growth, and we will continue to control them appropriately while balancing revenue growth and high profitability.

Q: How do you educate specialized talent, and what qualifications do your employees hold?

A: We operate in a highly specialized area, so we focus on institutionalizing education to avoid over-reliance on specific individuals. We have a structured program for new hires that covers basic visiting nursing knowledge, understanding of our services and processes, and role-specific specialized skills, so employees can build skills gradually alongside practical work. We also have internal knowledge sharing mechanisms that do not rely only on OJT, so we can maintain service quality even as headcount grows. We have employees with medical experience and nursing licenses, as well as employees with IT information processing qualifications; we also incentivize and support all employees to get IT Passport certification to improve company-wide IT literacy. This combination of visiting nursing expertise and IT/business knowledge, plus our education framework, is the base for our service quality and competitiveness.

Q: What is the share of female managers and female directors?

A: As of the end of the term, 33% of managers and 25% of directors are female, we have added 2 new female managers since last term, increasing the ratio. Around 80% of our total employees are female, and we have received the 3-star Eruboshi certification for women's active participation, so we will continue to promote education and promotion of female employees going forward.

Q: The number of home care offices is declining, does that hurt the home healthcare outlook?

A: We expect demand to grow for both in-home and facility-based care going forward. By 2040, depopulated areas will have fewer social resources, making in-home care more difficult, so there will be demand for facility-based services. But enabling patients to live in their familiar communities is a core principle of regional comprehensive care, so we expect demand to grow for both models. Either way, visiting nursing that can serve both in-home and facility settings will see growing demand.

Q: What impact does widespread hospital deficit have on your performance, and what is your solution?

A: Our current core customers are visiting nursing stations, not hospitals, so there is no direct impact on our performance right now. But hospital deficit is a major problem for Japanese healthcare, so we are developing the Kealogutto regional comprehensive care platform to enable seamless collaboration between hospitals and home healthcare that reduces workforce waste, and we aim to contribute to improved hospital profitability and address this problem ahead of 2040's aging population peak.

Q: What is the definition of home healthcare, and what services does it include?

A: Home healthcare is medical service provided by specialized professionals such as doctors, nurses, and pharmacists who visit patients at their home (or senior facilities) when the patient cannot travel to the hospital. Traditionally medical care was centered on hospitals and clinics, but going forward to 2040 there is growing demand for support from multiple services including visiting nursing and care, and the expected role of visiting nursing stations (our core customers that use iBow) grows with every medical fee revision.

Q: What is your competitive advantage in speed of response to medical fee revisions compared to competitors?

A: Our advantage in speed comes more from our business model than pure technical capability. We are fully specialized in visiting nursing, while competitors cover many different care services or handle visiting nursing as one small part of a broader medical business, so there are big differences in industry understanding, strategic priority, and existing product functionality. On the technical side, we continuously refactor our system to the latest cloud architecture to reduce technical debt, so we have advantages in speed of service and information security compared to legacy competitor systems.

Q: Could advances in AI agents displace your services or reduce your growth potential?

A: We believe we are very well positioned in the current environment where SaaS valuations are under pressure from AI advancement. The main concerns hurting SaaS valuations are that AI will eliminate the need for human operation and reduce ID-based revenue growth, and that AI makes it easy to build competing services. But our business serves visiting nursing, which requires in-person care that cannot be replaced by AI, and the chronic care data we aggregate is unique and inaccessible to other companies, so this is an irreplaceable market. Our pricing model is pay per visit, so even if AI improves efficiency it has no impact on our revenue. Our business relies on complex regulatory compliance, patents, customer support, and BPaaS (human-assisted support) all bundled together, so even if someone can build a simple recording tool with AI it cannot compete with our full offering. Actually, we are evolving as an AI-native system that leverages our accumulated data, so we will grow further as AI advances.

Q: Who can use the Kaedoki service?

A: We intend Kaedoki to be open to all healthcare professionals, but visiting nursing stations that already use iBow will have richer real-time data available for their profiles, which enables better matching and fewer mismatches, so that will be a benefit for existing customers.

Q: If you achieve very high market share, could you violate anti-monopoly law?

A: We understand that anti-monopoly law does not ban high market share itself, it bans unfair exclusion of competition via abuse of market position. We have achieved our current market share by being consistently selected by customers based on our functionality and convenience, not via customer lock-in, and the market has continuous new entry and customer switching between providers. We do not use any unfair terms such as tying or restricting customer use of competitor products, so there is no current risk of violation, and we will continue to comply with regulations and maintain strong governance even if our share grows further.

Q: What are the main reasons for customer churn?

A: Churn has two main causes: the most common is station closure, which accounted for around 50% of churn in 2025, and it has grown alongside the increasing trend of station closures in recent years. The second is switching to cheaper competitor receipt systems, mostly smaller stations switching to lower-priced alternatives. We plan to continue improving customer satisfaction via better communication of our AI and platform services, and regular third-party collection of customer feedback to address unmet needs to reduce churn.

Q: How do you address cybersecurity risks such as ransomware?

A: Our system uses domestic cloud data centers, and complies with all guidelines set by the Ministry of Health, Labour and Welfare, Ministry of Internal Affairs and Communications, and Ministry of Economy, Trade and Industry, so we deliver secure stable operation. We maintain multiple standby cloud data centers and full backups to avoid system slowdown or data loss. We also have an ISO/IEC 27001 certified information security management system for all information assets we handle, and we continuously work to maintain and improve our security standards.

Q: Why is your dividend payout relatively low despite no debt and strong growth?

A: We target a 20% payout ratio, which is not low compared to peer companies. We believe that strengthening the financial base and enabling flexible funding to drive business growth maximizes long-term shareholder value. Our dividend on equity (DOE) is already higher than the average for the Prime Market, so we balance dividend and growth effectively compared to the broader market.

Q: Will you adopt a progressive dividend policy?

A: Our current target of 20% payout ratio already delivers a progressive dividend in line with business growth. However, as a company listed on the Tokyo Stock Exchange Growth market that is expected to deliver high growth, if we have attractive investment opportunities that increase corporate value, we believe it is better to invest in business growth rather than pay dividends, so we have not adopted a progressive dividend policy because it could constrain growth. We will reconsider this flexibly if our financial base becomes stronger and we have more diverse funding options in the future.

Q: What is your policy on shareholder benefits?

A: We are not considering shareholder benefits at this point. We are a B2B company serving a limited market of visiting nursing providers, so it is hard to implement shareholder benefits that would generate advertising effects or increase retail investor demand. Shareholder benefits also create cost burdens, so we need to consider carefully based on trading volume, foreign investor ownership, and other factors. However, we have seen more cases where shareholder benefits improve corporate value after the introduction of the new NISA in Japan, so we will continue to consider various shareholder return initiatives that maximize corporate value, taking into account market trends and trading conditions.

Q: How did you get the original business idea?

A: Our founder (CEO Nakano) was previously a professional jet ski racer. He had an accident during practice, and after the accident a nurse noticed he looked unwell and insisted he rest, and he lost consciousness a few minutes later – the nurse's quick action saved his life. After retiring from racing, he wanted to contribute to society and repay the debt he owed to nurses, so he started looking for problems he could solve, and found that there were no dedicated electronic medical record systems for visiting nursing at the time, so he founded the company to create that product and improve efficiency for the whole industry.

Q: What do you expect the company to look like in 5 and 10 years?

A: In 10 years, we aim to be more than just a system provider – we aim to be the home healthcare platformer that is essential social infrastructure for Japanese home healthcare to function. We will center our core product iBow, connect all services via data, and solve the complex challenges of operations, management, and regional collaboration comprehensively as a platform instead of individual point solutions. By building this platform, we will enable sustainable home healthcare in Japan, and become a central player that protects Japanese home healthcare and contributes to society.

Q: What is the meaning of the company name eWeLL?

A: It is a combination of "energy" and "wellness". When we founded the company in 2012, 4G was starting to spread and the market was shifting to smartphones and tablets, so we took the combination of uppercase and lowercase letters as a symbolic string representing new technology, inspired by the iPad.