Expansion of Store Openings and Profitability Improvement in the Store Consignment Business

「In the Store Assets & Solutions Business, we will acquire well-located properties and make them available to store operators, working toward a target of more than 1,300 operating stores by the end of March 2027.」

「As a result of these activities, the number of stores under store leasing transactions increased by a net 4 from the end of the previous consolidated fiscal year to 849.」

「As a result, the number of stores under store leasing transactions increased by a net 17 from the end of the previous consolidated fiscal year to 846.」

「As a result, the number of stores under store leasing transactions increased by a net 19 from the end of the previous consolidated fiscal year to 829.」

「As a result, the number of stores under store leasing transactions increased to 825.」

「Store Ryutsu Net Co., Ltd. reached 818 stores under store leasing transactions by accurately identifying expanding niche demand in response to the needs of restaurant and other operators and increasing the number of operating stores.」

「In a case involving the basement of a building in the Kawasaki Station-front shopping district that opened in May, we began with information from the building owner, for whom we provide building management services, about an existing tenant scheduled to vacate. We then identified a prospective store operator interested in opening a location from among our extensive leads, worked to introduce the operating staff sought by the operator, and accelerated and realized the opening through a contract structure that provided financial support for investment in store equipment. The number of stores under store leasing transactions, the source of recurring revenue, reached 811.」

「We continued to accelerate store openings by providing integrated solutions covering people, properties, funding and information, including recruitment services, information on well-located properties, our proprietary store-opening financing support system and marketing information. The number of stores under store leasing transactions increased to 810, and cumulative store-opening support since the company was founded exceeded 3,900 stores.」

「Store Ryutsu Net Co., Ltd., which has supported the opening of more than 3,800 stores since its establishment, mainly restaurants, provides various solutions, including recruitment services, information on well-located properties, including confidential information on planned closures, its proprietary store-opening financing support system and marketing support. Under an integrated system providing the people, properties, funding and information needed to accelerate store openings by operators, the number of stores under store leasing transactions increased to 805, expanding recurring revenue.」

「To clearly express that we provide solutions relating to food, stores and the personnel supporting them, including store leasing for restaurant and other operators, we changed the segment name from the Store Outsourcing Business to the Store Leasing & Solutions Business. Store Ryutsu Net Co., Ltd., which has supported the opening of more than 3,700 stores since its establishment, increased the number of stores under store leasing transactions from 757 to 798 and expanded recurring revenue.」

「For restaurants, 2021 remained a difficult year amid the COVID-19 pandemic. Even under these conditions, the number of stores in transactions in the store leasing business remained broadly flat. We worked to improve profit margins by reviewing vacancy rates on a property-by-property basis and bringing temporarily distorted levels back to appropriate levels.」

「Following the easing of restrictions from October, inquiries from high-quality customers seeking to actively open new stores expanded sharply, and the number of business discussions approached pre-COVID-19 levels, giving us growing confidence in a market recovery. We also continued to thoroughly limit vacant stores as a key initiative, working to transform the business into a more resilient model, implement the cash-flow-focused management advocated by the business, and improve resilience to changes in the external environment.」

「Nevertheless, we worked to minimize these effects by further improving business efficiency, including by strengthening efforts to limit vacant stores. In addition, looking ahead to the end of the COVID-19 pandemic, we aimed for healthier management by strategically acquiring well-located properties, preparing to support the opening of leased stores, and emphasizing cash flow.」

「Looking ahead to the end of the COVID-19 pandemic, we worked to achieve healthier management by strategically acquiring well-located properties, preparing to support the opening of leased stores, emphasizing cash flow, and reducing the balance of trade receivables related to the store leasing business.」

「Most individually operated stores in suburban areas avoided closure with the support of government assistance, including grants and subsidies, making this a year in which we reconfirmed the strength of individually operated stores rooted in their local communities. We expect this trend to continue after the COVID-19 situation settles, and will actively expand not only our existing city-center stores but also suburban-type stores located somewhat farther from city centers.」

「To mitigate this impact, we continued to stabilize the business by closely coordinating with leased-store operators and building owners to limit vacancies, improving property occupancy rates by replacing low-profitability stores, and emphasizing cash flow.」

「The store leasing business continued to be affected by COVID-19 in the first quarter, resulting in lower sales at leased stores, mainly restaurants. Although we avoided the sharp decline in sales seen in April and May, the impact remained significant compared with normal conditions. To mitigate this impact, we continued efforts from the first quarter to stabilize the business by closely coordinating with leased-store operators and building owners to limit vacancies and improve property occupancy rates by replacing low-profitability stores.」

「The voluntary suspension of business operations due to COVID-19 had a significant impact on sales at leased stores, mainly restaurants. Under these circumstances, we worked to stabilize the business by closely coordinating with each leased-store operator and building owner, limiting vacancies and improving property occupancy rates by replacing low-profitability stores, thereby increasing earnings.」

「We actively acquired high-quality properties, mainly in the three major metropolitan areas, while working to improve occupancy through the termination of low-profitability stores and to increase profits. As a result, the cumulative number of store contracts since founding exceeded 3,200, and the number of operating stores exceeded 820. We are continuing to work toward operating 1,000 stores.」

「As of August in Reiwa 1, the number of monthly users viewing our website had exceeded 500,000, and we were steadily increasing awareness of our brand. We also actively acquired high-quality properties, mainly in the three major metropolitan areas, while working to improve occupancy through the termination of low-profitability stores and to increase profits.」

「In the store outsourcing business, we worked through our company-operated website 店通 (Tentuu) to increase awareness of our brand in the store industry and confidence in our services, accurately identifying tenant owners' needs and seeking to enhance corporate value. We also actively acquired high-quality properties, mainly in the three major metropolitan areas, while working to improve occupancy through the termination of low-profitability stores and to increase profits. In addition, we promoted improvements in property asset value through the conversion of existing buildings into store buildings and the master leasing of newly built properties. As a result, the store outsourcing business generated revenue of ¥6.472 billion, up 4.1% year on year, and operating profit of ¥230 million, up 26.6%.」

「We actively acquired high-quality properties, mainly in the three major metropolitan areas, while working to improve occupancy through the termination of low-profitability stores and to increase profits. We also promoted improvements in property asset value through the conversion of existing buildings into store buildings and the master leasing of newly built properties. As a result, the store outsourcing business generated revenue of ¥24.208 billion, up 1.5% year on year, and operating profit of ¥714 million, up 44.6%.」

「We actively acquired high-quality properties, mainly in the three major metropolitan areas, while working to improve occupancy through the termination of low-profitability stores and to increase profits. We also promoted improvements in property asset value through the conversion of existing buildings into food-service buildings and the master leasing of newly built properties. As a result, the store outsourcing business generated revenue of ¥18.023 billion, up 1.9% year on year, and operating profit of ¥529 million, up 37.4%.」

「We actively acquired high-quality properties, mainly in the three major metropolitan areas, while working to improve occupancy through the termination of unprofitable stores and to increase profits. We also promoted improvements in asset value through the conversion of existing buildings into food-service buildings and the master leasing of newly built properties. As a result, revenue from the store outsourcing business increased with the growth in the number of stores under contract to ¥12.155 billion, up 2.2% year on year, and operating profit was ¥357 million, up 47.1%.」

「In the store outsourcing business, we accurately identified the needs of tenant owners and, to enhance corporate value, worked through our company-operated website 店通 (Tentuu) to increase awareness of our brand in the store industry and confidence in our services. At the same time, we actively acquired high-quality properties, mainly in the three major metropolitan areas, and worked to improve occupancy through the termination of unprofitable stores, thereby improving profits. We also promoted improvements in asset value through the conversion of existing buildings into food-service buildings and the master leasing of newly built properties. As a result, revenue from the store outsourcing business was ¥6.215 billion, up 2.9% year on year, and operating profit was ¥181 million, up 44.1%.」

「In the store outsourcing business, we used our company-operated information website 店通 (Tentuu) to increase awareness of our brand and improve its image in the food-service industry, while actively acquiring high-quality properties and working to improve occupancy through the termination of unprofitable stores, thereby improving profit margins. As a further initiative, we worked to increase property value through the conversion of existing buildings into food-service buildings and the master leasing of newly built properties. As a result, revenue from the store outsourcing business was ¥17.694 billion, up 2.9% year on year, and operating profit was ¥385 million, up 6.4%.」

「In the store outsourcing business, we worked to improve profit margins by actively acquiring high-quality properties and increasing occupancy through the termination of unprofitable stores. We also promoted new initiatives to increase property value, including converting existing buildings into food-service buildings and master-leasing newly built properties. As a result, revenue from the store outsourcing business was ¥11.893 billion, up 3.5% year on year, and operating profit was ¥242 million, up 1.5%.」

「In the store outsourcing business, we sought to strengthen earnings by actively acquiring high-quality properties and maximise profits by improving occupancy through the termination or closure of unprofitable properties. As a new initiative, we also promoted the securing of high-quality properties by converting existing buildings into food-service buildings. In addition, we continued to improve confidence in our services through promotional activities using media such as our company-operated website 店通 (Tentuu). As a result, revenue from the store outsourcing business was ¥6.039 billion, up 3.3% year on year, and operating profit was ¥126 million, up 15.4%.」

「In the store outsourcing business, amid concerns about cost increases caused by economic conditions and labour shortages, we strengthened our earnings base by actively acquiring high-quality properties. We also worked to improve profit margins by increasing occupancy through the elimination of non-operating stores and the termination or closure of unprofitable stores. As a result, revenue from the store outsourcing business was ¥23.186 billion, up 1.8% year on year, and operating profit was ¥494 million, up 42.2%.」

「In the store outsourcing business, as awareness of our brand among those in the food-service industry grew through the use of our proprietary website 店通 (Tentuu), we actively acquired high-quality properties, seeking to improve confidence in our services and maximise profits.」

「In the store outsourcing business, we used media including our proprietary website 店通 (Tentuu) to increase awareness and improve the image of our brand among those in the food-service industry, while seeking to acquire high-quality properties and maximise trust and profits.」

「In the store outsourcing business, we worked to improve revenue and profit margins by acquiring high-quality properties and terminating leases or withdrawing from unprofitable stores. In the store management business, we sought to secure stable revenue.」

「We accelerated new store openings by strengthening promotional activities, including the launch of the specialist website 店通 (Tentuu). As in the previous fiscal year, we worked to improve profit margins by reducing rent on vacant stores through the elimination of non-operating stores, actively acquiring high-quality properties, and terminating or closing unprofitable stores.」