IPS Tightens Governance After IP Phone Number Misused in Caller ID Scam

IPS, Inc. ( (JP:4390) ) just unveiled an announcement.

IPS, Inc. disclosed that an IP phone number provided by its subsidiary IPS Pro, Inc. to a Hong Kong-based client was fraudulently used for caller ID spoofing in early 2025, making scam calls appear to originate from Japanese police stations and other authorities. After detecting the suspicious activity in March, IPS Pro swiftly reconfigured its systems to block fraudulent display of the affected number and terminated service to the client, while an internal review found no other transactions with similar risks. The company is using the incident to tighten regulatory compliance and governance, including disabling caller ID functions for non-IPSPRO numbers where appropriate, revising systems and overseas contract structures, strengthening training on telecom laws and industry guidelines, and overhauling its management structure by January 2026 with external telecom experts and director changes. Directors involved have voluntarily agreed to return part of their remuneration, and the company emphasized that the financial impact is limited and its domestic telecom earnings forecast remains unchanged, as it seeks to restore trust and reinforce its social responsibility as a telecommunications provider.

The most recent analyst rating on (JP:4390) stock is a Buy with a Yen4198.00 price target. To see the full list of analyst forecasts on IPS, Inc. stock, see the JP:4390 Stock Forecast page.

More about IPS, Inc.

IPS, Inc. is a Japan-based telecommunications company whose consolidated subsidiary IPS Pro, Inc. (IPSPRO) provides IP phone and international telecommunications services, leveraging long-standing relationships with overseas carriers and a focus on domestic and cross-border connectivity solutions.

Average Trading Volume: 120,093

Technical Sentiment Signal: Buy

Current Market Cap: Yen39.16B

See more data about 4390 stock on TipRanks’ Stock Analysis page.