Expansion from telematics to a mobility IoT platform

「During the consolidated fiscal year, the number of units under contract management for Kuruma Base reached 1,000, against a backdrop of increased contracts resulting from unmanned construction-equipment rental.」

「During the six-month interim consolidated accounting period, the Company benefited from special demand for merchandise sales arising from the replacement of in-vehicle devices following the shutdown of 3G services, and implemented cost reductions and operating-efficiency measures to improve profitability. As a result, the cost ratio improved and both sales and profit increased. Segment net sales were ¥627.614 million, up 7.0% year on year, and segment profit was ¥131.582 million, up 29.4%.」

「Specifically, to address labor shortages stemming from the 2024 issue in industries such as transportation and construction, we are promoting the nationwide rollout of unmanned and labor-saving solutions for construction equipment and rental cars. We will also continue to provide telematics services steadily to address challenges in company vehicle management, including preventing traffic accidents, optimizing the number of corporate vehicles and improving the efficiency of alcohol-check inspections.」

「During the six-month interim consolidated accounting period, the Company eliminated a loss-making business by transferring its merchandise sales business for leased vehicles in the car solutions business on 31 July 2024. It also implemented cost reductions and operating-efficiency measures to improve profitability, resulting in a substantial improvement in the profit margin and higher profit despite lower sales.」

「Going forward, we aim to enhance our proprietary services using the mobility IoT technologies we have refined, including unmanned construction-equipment rental through Kuruma Base, initiatives addressing the 2024 issue in the mobility industry, corporate vehicle management and entry into the commercial vehicle market. We will also work to expand the business through business alliances with major customers.」

「Interest in the new key-management service released for Kuruma Base and the unmanned construction-equipment rental system developed with major construction-equipment rental company アクティオ社 has progressed steadily. We will continue strengthening our solutions while pursuing revenue generation and further operating-efficiency improvements.」

「Interest in the new key-management service released for Kuruma Base has progressed steadily. We will continue strengthening our solutions while pursuing revenue generation and further operating-efficiency improvements. As a result, segment net sales were ¥764.231 million, down 0.4% year on year, and segment profit was ¥100.901 million, down 31.0%.」

「During the three-month period ended the first quarter, orders increased beyond expectations as the new-vehicle market recovered, and the Company implemented cost reductions and operating-efficiency measures to improve profitability. However, the result was higher sales but lower profit. Segment net sales were ¥363.280 million, up 4.6% year on year, while segment profit was ¥49.800 million, down 7.6%.」

「A platform service provided by the Company that integrates the conversion of cars into connected vehicles through their conversion into services.」

「During the nine-month period ended the third quarter, although the Company was affected by a decline in corporate use of company vehicles amid restrictions on movement, it worked to expand projects in the commercial vehicle market, including trucks, and to have its platform adopted for the development of innovative mobility services by established major operators in the mobility field.」

「During the six-month period ended the second quarter, although the Company was affected by a decline in corporate use of company vehicles amid restrictions on movement, it worked to expand projects in the commercial vehicle market, including trucks, and to have its platform adopted for the development of innovative mobility services by established major operators in the mobility field.」

「During the nine-month period ended the first quarter, although the Company was affected by a decline in corporate use of company vehicles amid restrictions on movement, it worked to expand projects in the commercial vehicle market, including trucks.」

「In particular, we believe that the launch of a platform for EV car sharing using Tesla vehicles has enabled us to begin providing a product with potential for future Mobility Services.」

「During the six-month period ended the second quarter, corporate use of company vehicles declined due to restrictions on movement. However, in the car-sharing field using Kuruma Base, we worked to strengthen our solutions against the backdrop of trends changing the concept of automobile ownership from ownership to sharing and the wave of EV adoption driven by carbon neutrality (Note 8). We also contained cost of sales through lower depreciation and other factors, and worked to contain selling, general and administrative expenses through greater operating efficiency. As a result, segment net sales were ¥803.078 million, down 1.1% year on year, while segment profit was ¥111.536 million, compared with a segment loss of ¥63.468 million in the prior-year period.」

「In the car-sharing field using Kuruma Base, many companies have already expressed interest in response to the trend significantly changing the concept of automobile ownership from ownership to sharing. We are accumulating expertise and strengthening our solutions while advancing the conversion of cars into services against the backdrop of the spread of EV adoption driven by the move toward carbon neutrality (Note 8) and the expansion of the sharing economy.」

「We are also accumulating expertise and strengthening our solutions while advancing the conversion of cars into services, including through platform provision for unmanned rental cars, against the backdrop of the spread of EV adoption driven by the move toward carbon neutrality and the expansion of the sharing economy.」

「In the car-sharing field using Kuruma Base, many companies have already expressed interest in response to the trend significantly changing the concept of automobile ownership from ownership to shared use. We are steadily strengthening our solutions while advancing the conversion of cars into services against the backdrop of the spread of EV adoption driven by the move toward carbon neutrality (Note 9), the expansion of unmanned rental cars and the growth of the sharing economy.」

「Going forward, the number of businesses considering the use of our connected and sharing platforms is increasing as digital transformation accelerates across the mobility industry, including during the COVID-19 pandemic. In particular, we plan to focus on automobile dealers and automotive repair businesses, where the Company has built a strong track record, and will invest actively in this field to promote the execution of our business plan.」

「In addition, provision of platforms centered on data utilization and contract development has attracted substantial interest from companies against the backdrop of the spread of EV adoption driven by the move toward carbon neutrality (Note 9) and the expansion of the sharing economy. We will continue to invest actively in areas expected to grow and promote the execution of our business plan.」

「We also launched the Kuruma Base platform service supporting the conversion of cars into services, including car sharing.」

「In Mobility Services, sales in the car solutions field, which handles safe-driving support equipment, were sluggish as intensifying competition drove the overall market toward lower prices. In the IoT field, including telematics services (Note 8), sales volume for the mobility IoT service CiEMS 3G grew substantially and contract numbers built steadily. Provision of platforms centered on data utilization and contract development also significantly exceeded the prior year against the backdrop of the expansion of MaaS (Note 9) and EVs (Note 10), resulting in net sales of ¥1,227.169 million.」

「Sales volume for the mobility IoT service CiEMS 3G continued to build, while provision of platforms centered on data utilization and contract development grew substantially against the backdrop of the expansion of MaaS and EVs, resulting in net sales of ¥719.308 million.」

「In addition, centered on data utilization, we will create value by developing new social systems and services in the mobility field, including innovative services in non-life insurance, car sharing (Note 2) and “C.A.S.E” (Note 3).」

「In Mobility Services, the IoT field (Note 5), a growth area for the Company, saw steady growth in sales of the telematics service CiEMS 3G. We also began developing and conducting demonstration testing of the sharing platform Kuruma Base, resulting in net sales of ¥1,880.013 million.」

「In Mobility Services, both car solutions handling safe-driving support equipment and the IoT field, including telematics services, performed well. Against the backdrop of an expanding and increasingly active MaaS market (Note 6), sales of CiEMS 3G and contract development projects continued to build steadily. As a result, the IoT field alone grew to 231.2% of the prior-year level, while total Mobility Services net sales were ¥1,250.051 million, up 37.2% year on year.」

「In Mobility Services, both car solutions handling safe-driving support equipment and the IoT field, including telematics services, grew. The IoT field grew particularly strongly, with sales volume for the mobility IoT service CiEMS 3G building steadily. Provision of platforms centered on data utilization and contract development also remained firm against the backdrop of the expansion of MaaS (Note 6) and EVs (Note 7), resulting in net sales of ¥603.939 million, up 29.1% year on year.」

「In Mobility Services, car solutions handling safe-driving support equipment grew substantially through new customer development and expansion of existing projects. In the IoT field, sales of the mobility IoT service CiEMS Report built steadily, helped by the release of the vehicle management app CiEMS Report. In addition, acquisition of new contract projects, including through the business alliance with AIG General Insurance Company, Ltd., progressed steadily. As a result, net sales were ¥2,154.222 million, up 38.6% year on year.」

「In Mobility Services, car solutions handling safe-driving support equipment continued to perform well. Sales of the mobility IoT service CiEMS 3G also built steadily, and we promoted the acquisition of new contract projects, including a business alliance with AIG General Insurance Company, Ltd. for the joint development and provision of new IoT services for automobiles. As a result, net sales were ¥1,562.009 million, up 40.3% year on year.」

「In Mobility Services, sales of car solutions handling safe-driving support equipment such as car navigation systems and drive recorders continued to grow year on year. In the IoT field (Note 5), expansion of distribution channels for the mobility IoT service CiEMS 3G and the acquisition of contract development projects also progressed well, resulting in net sales of ¥911.121 million, up 31.2% year on year.」

「In Mobility Services, sales of car solutions featuring safe-driving support equipment such as car navigation systems and drive recorders continued to perform well. In the IoT field (Note 5), orders and OEM expansion for the mobility IoT service CiEMS 3G also made significant progress, resulting in net sales of ¥467.752 million, up 44.1% year on year.」

「In Mobility Services, sales of car solutions featuring safe-driving support equipment such as car navigation systems and drive recorders grew steadily. In addition, sales and the contracted base of the mobility IoT service CiEMS 3G continued to build, and we steadily won contract development projects using the Company’s IoT technologies and platforms. As a result, net sales were ¥1,554.625 million, up 9.3% year on year.」

「In Mobility Services, sales of the all-in-one telematics service for corporate customers, CiEMS 3G (Note 6, pronounced “seems three-G”), grew, while contract development projects using M2M/IoT-related technologies and platforms also performed well. As a result, net sales were ¥1,113.231 million, up 1.1% year on year.」

「In Mobility Services, sales of the all-in-one telematics service for corporate customers, CiEMS 3G (Note 7), continued to build, and contract development projects using M2M/IoT-related technologies and platforms also performed well. However, sales of safe-driving support equipment such as car navigation systems and drive recorders declined, resulting in net sales of ¥694.424 million, down 1.0% year on year.」

「In Mobility Services, sales in the M2M/IoT field grew steadily, including the all-in-one telematics service for corporate customers, CiEMS 3G (Note 7). Contract development projects using M2M/IoT-related technologies and platforms also performed well, resulting in net sales of ¥324.490 million, up 0.5% year on year.」

「Rather than remaining limited to telematics services, we are evolving into a business that seeks to address a diverse range of challenges by developing a broadly defined mobility-focused IoT platform business, including fleet management, safe-driving support and assistance in calculating non-life insurance premiums for rental cars, car sharing, ride sharing, public transport and construction machinery.」