This article introduces recently IPO-listed companies in Japan while highlighting key challenges, business opportunities, industry trends, and unique business models in the Japanese market.
L is B, headquartered in Tokyo, Japan, is a technology company focused on driving digital transformation (DX) at physical worksites across industries. Since its founding in 2010, the company has aimed to enhance communication and operational efficiency for frontline workers by offering a suite of IT service solutions tailored to on-site business needs. At the heart of its offerings is “direct”, a proprietary business communication platform designed specifically for field environments.
In sectors where digitalization faces unique barriers—such as construction, logistics, public infrastructure, and utilities—L is B empowers companies to overcome analog limitations. Its flagship service “direct” supports real-time chat, video calls, file sharing, task management, and bot integration, all optimized for mobile use. It has been adopted by over 5,500 companies, including major construction firms and local governments, and is also provided as an OEM solution to financial institutions and municipalities (e.g., “LoGo Chat” and “shinkin direct”).
Against the backdrop of Japan’s aging population and chronic labor shortages—especially in construction and infrastructure-related sectors—L is B’s user-friendly, mobile-first solutions have gained traction as essential tools for improving on-site productivity and communication.
As of FY2024, the company recorded consolidated revenue of ¥1.594 billion, representing a 24.5% year-over-year increase. Recurring revenue plays a significant role, with Annual Recurring Revenue (ARR) growing 21.8% YoY, driven largely by expansion within the existing customer base (Net Revenue Retention: 114.5%). The company achieved ¥47 million in operating profit, and despite falling short of earnings forecasts due to delays in new service features and project timing, profitability improved significantly.
For FY2025, L is B projects consolidated revenue of ¥2.08 billion, a 30.5% increase year-over-year, with operating profit expected to triple to ¥154 million. Growth will be led by expanded adoption of “direct” within the construction industry and other sectors, as well as upselling linked applications such as TagShot, TagAlbum, and AI-driven knowledge video services. The consolidation of System M’s operations (acquired in late FY2024) will further strengthen the company’s development capabilities.
Looking ahead, L is B is committed to sustained innovation through continuous service updates (9-week release cycles), investment in generative AI solutions, and strategic M&A. By evolving from a messaging tool to a comprehensive frontline DX platform, the company seeks to address labor shortages, long working hours, and aging infrastructure through smart, connected solutions that enhance real-world productivity.
| Company Name | L is B Corporation |
| Headquarters | 3-11-11 Iwamoto-cho, Chiyoda-ku, Tokyo |
| Website | https://l-is-b.com/ja/ |
| Year of Establishment | 2010/9/19 |
| Listing Date | 2024/3/26 |
| Industry | Information and communication industry |
| Business Overview | Develop and provide digital transformation (DX) solutions for frontline operations, centered around the business chat platform ‘direct’ for field workers.” |
| Representative (CEO) | Taisuke Yokoi |
| Number of Employees | 88 (as of 2024/1/31) |
| Stock Exchange | Tokyo Stock Exchange Growth |
| Auditor | Gyosei |
| Lead Underwriter | Nomura Securities |
| Market capitalization (at opening price) | 7,695 million yen |
| PER (at opening price) | -20.39 |
| Major shareholders (Top 3) | •Well Side Corporation (33.43%) •Taisuke Yokoi (14.08%) •Internet Initiative Japan Inc. (6.86%) |
This document has been prepared based on information available at the time of the research. While we strive for accuracy, we do not guarantee the completeness or correctness of the information provided. This document is for informational purposes only and does not constitute investment advice or a recommendation. Readers are encouraged to conduct their own verification and due diligence before making any decisions.
Source: Tokyo IPO, Official Website, Yahoo! Finance
