Adding New Growth Pillars

「On 30 March 2026, we acquired an additional 48.3% of the shares of BEACH TOWN, making it a wholly owned subsidiary. We have also decided to acquire, effective 1 July 2026, a total of 8 facilities, including comprehensive sports clubs, operated by Tokyu Sports System Co., Ltd., a wholly owned subsidiary of TOKYU CORPORATION.」

「We are considering measures to expand the nursing care and rehabilitation business, including M&A.」

「On 1 April 2025, our Group merged with OASIS. Going forward, as the “New Renaissance,” we aim to achieve discontinuous growth under a new management structure.」

「The Company positions expanding the number of sports club facilities through active M&A and business succession as part of its expansion strategy. As previously announced, on 31 March 2024 we plan to acquire all shares of TOKYU SPORTS OASIS held by Tokyu Land Corporation, and on 2 October 2023 we announced the acquisition of the business and fixed assets (trust beneficiary rights) of KSC wellness Fitness Club Kanamachi and Kanamachi Swimming Club as part of our efforts to succeed businesses and facilities. Through these initiatives, our Group is expected to become the largest in the fitness industry by revenue in the fiscal year ending March 2025.」

「In developing and producing original health content to address the health issues faced by various companies and customers, Square Enix approached us for assistance. We helped produce Eorzea Exercise, an original exercise video commemorating the 10th anniversary of the reboot of the online RPG Final Fantasy XIV (hereinafter, “FF14”). The video was released on the official FF14 YouTube channel in late July and was well received.」

「In the nursing care and rehabilitation business, we strengthened our sales and support structure to expand franchise locations for the rehabilitation-focused day service Genki Gym, and opened 4 new facilities during the consolidated fiscal year, including Renaissance Genki Gym Obihiro Jiyugaoka, the first in Hokkaido.」

「Following this capital participation, the combined business of the new TOKYU SPORTS OASIS and the Company will form a corporate group with approximately 140 directly operated locations in Japan, making it one of the largest groups in the fitness industry by revenue. Going forward, we will mutually utilize the resources and expertise of both companies to contribute to renewed business growth and the development of the industry.」

「Our Group is also actively pursuing business acquisitions and other transactions from companies in the same industry, and since 1991 has successfully completed 18 M&A transactions and business acquisitions involving 43 facilities.」

「During the consolidated fiscal year, we strengthened our sales and support structure to expand “Genki Gym” franchise locations and opened a new facility, Renaissance Genki Gym Oizumi-Gakuen, in April. We also plan to open additional franchise facilities after the second quarter of the consolidated fiscal year.」

「In public-private partnership projects for public facilities and other assets (PPP), we became able to propose new private finance initiative projects (PFI) in collaboration with BEACH TOWN, which became a consolidated subsidiary in April.」

「In the B2G business for local governments, during the nine-month consolidated cumulative period, we dispatched employees to 17 local governments using, among other programs, the Regional Revitalization Entrepreneur system supported by the Ministry of Internal Affairs and Communications.」

「In our B2B business for companies and health insurance societies and our B2G business for local governments, we began dispatching employees to multiple companies, schools and local governments under the “External Secondment Program for Business Development,” announced on 18 March 2021, with the aim of developing new businesses.」

「On 1 April, we acquired a majority of the shares of BEACH TOWN. Going forward, we will leverage synergies between the company’s strength in outdoor fitness and our businesses to expand opportunities for health promotion in various regions.」

「For long-term business growth, we are considering business collaboration with Sompo Holdings,Inc. in the provision of services that contribute to maintaining and improving health and in the use of related data. We will also work to create businesses through collaboration among companies.」

「In response to these circumstances, in June we began providing sports club members with an online lesson-program streaming service as an initiative that does not rely solely on visits to facilities. Going forward, we plan to offer online programs to companies, health insurers and local governments, and develop new businesses by providing services that create opportunities for more people to exercise.」

「We developed a new sports club format with a footprint of approximately 150–200 tsubo, limited initial investment and the ability to roll out multiple locations rapidly, and opened the first location, Gym & Studio Renaissance Ayase (Adachi-ku, Tokyo), in April 2020.」

「To achieve growth in these businesses, we will actively allocate management resources to areas expected to grow and to the creation of new businesses.」

「As part of future business development, in March 2020 we will open the first gym and studio-focused new-format facility, Gym & Studio, in Tokyo, with the aim of developing new customer segments. This project is the second project under the new business and new business format proposal system.」

「Regarding the creation of new businesses, Genki Gym Junior, the first project already opened, specializing in exercise and rehabilitation, achieved profitability on a monthly basis four months after opening, and is steadily advancing toward commercialization.」

「In the nursing care and rehabilitation business, operations expanded steadily through the opening of new directly operated facilities, the rollout of the franchise business and the development of new business formats. As a result, during the consolidated fiscal year, we opened Genki Gym Junior Higashi-Totsuka (Totsuka-ku, Yokohama) in December as the first new business project, a child development support and after-school day service specializing in exercise and rehabilitation.」

「As a new initiative for creating new businesses, we established a system under which ideas leading to numerous “seeds of business,” unconstrained by conventional thinking, are solicited from all employees and can be submitted as new business proposals. As the first project under the system, we opened Genki Gym Junior Higashi-Totsuka in December, a child development support and after-school day service specializing in exercise and rehabilitation.」

「As a new initiative for creating new businesses, we established a system for soliciting proposals for new businesses from all employees, creating an environment that generates numerous “seeds of business” unconstrained by conventional thinking, and began pursuing new commercialization projects.」

「To create new businesses, we also began soliciting ideas from all employees as part of efforts to establish an environment that generates numerous “seeds of business” unconstrained by conventional thinking. We will promote the development of an internal support structure for commercialization to encourage active investment in and challenges in new fields.」

「In January, we invested in Link and Communication Inc., the developer of the health solution apps Karada Kawaru Navi and Karada Kawaru Navi for Sports Clubs. As the health-related app market is expected to expand further, we plan to strengthen our collaboration, with a view to creating new businesses by using the health-related lifelog database together with our membership database.」

「As part of efforts to establish additional growth pillars, CYCLE & STUDIO R Shibuya (Shibuya-ku, Tokyo), the boutique studio that opened in March, has received a strong response to “VR Cycle,” an immersive cycle tour using virtual reality. In November, we held a BICORE event featuring “BICORE,” a core exercise program currently attracting attention that covers the benefits of Pilates, yoga and fitness for women seeking beautiful hip lines, with 12 BICORE instructors in total, including Erika Yamaguchi (山口絵里加), who is active across various media outlets.」

「As part of efforts to establish additional growth pillars, CYCLE & STUDIO R Shibuya (Shibuya-ku, Tokyo), a boutique studio that opened in March and focuses primarily on cycle exercise using virtual reality, the first of its kind in Japan, has steadily increased its membership and attracted considerable media coverage, demonstrating strong activity. In May, we entered into a business partnership with OHKI HEALTHCARE HOLDINGS CO.,LTD., an intermediate distributor focused mainly on over-the-counter medicines, as part of efforts to promote Synapsology®, a brain-activation program developed by the Company.」

「Regarding the new business format, in March we signed a partnership agreement with Les Mills Japan LLC, the Japanese distributor of Les Mills International Ltd., which delivers advanced programs worldwide, and opened the boutique studio CYCLE & STUDIO R, focused primarily on cycle exercise using virtual reality, the first of its kind in Japan.」

「Regarding initiatives to add new pillars of growth, we are developing new business formats and promoting collaboration with national and local governments and companies in other industries, with the aim of establishing future earnings pillars as businesses in markets expected to grow. Following the ICT-based health solutions service Karada Kawaru Navi launched in June, we began offering Karada no Kimochi Yoga, a program developed with ドコモ・ヘルスケア株式会社 to accommodate physical changes associated with women's menstrual cycles, at Deux Renaissance in October. We also held the Health Management Conference in Tokyo and Yokohama, sponsored by the Ministry of Economy, Trade and Industry and the Ministry of Health, Labour and Welfare, as an initiative making a significant contribution to extending healthy life expectancy, a goal identified in the growth strategy of the Japan Revitalization Strategy. The company supported the conference as the secretariat of the Health Management Conference Executive Committee.」

「In the Genki Gym business, we opened Genki Gym Sendai Arai in Wakabayashi-ku, Sendai, in September as the first franchise facility. To help address the challenges of a rapidly aging society, we will promote the business through franchises as well as company-operated facilities.」

「In June, we invested in 株式会社コミュニティネット, which provides housing for seniors with support services and with which we have had a business alliance since the previous fiscal year. We also began working with 株式会社リンクアンドコミュニケーション, which primarily provides dietary guidance online, to roll out Karada Kawaru Navi, an ICT-based health solutions service delivered by nutrition and exercise specialists to companies and health insurance societies nationwide.」

「We are promoting initiatives to establish future earnings pillars as businesses in markets expected to grow, including developing new business formats and collaborating with national and local governments and companies in other industries.」