For Individual Investors
Leopalace21's Business Model
Leopalace21 comprises three business segments, the Leasing Business, which focuses on apartment leasing, management as well as apartment construction, the Elderly Care Business, which mainly operates fee-based nursing homes, and the Other Businesses including the operation of the resort facilities in Guam.
After our announcement of the drastic business strategy reconstruction in 2020, Leopalace21 made our Leasing Business to be the core business. Now, the Leasing Business accounts for 90% of our sales.
History of Leopalace21
Leopalace21 has continued to evolve the Leasing Business to reflect the change of the rental housing market by launching original services like our master lease system and "Monthly Leopalace" with furniture and home appliances. As an initiative to improve our services, Real Estate Tech, such as online contracts and smart lock installation, has recently been promoted.
Strengths and Competitive Advantage
The rental housing service of Leopalace21 is used by many customers because of our 3 strengths and competitive advantage as below:
１．Managing approximately 560,000 apartment units specialized in studio type equipped with furniture and home appliances nationwide
２．Being used by Approximately 80% of listed companies because of reducing the burden of our customers
３．Unparalleled and original leasing business expertise upgraded in accordance with changing times
Changes of the environment for leasing market will change demands for rental housings. Because of Leoplace21's housing features of specialization in studio type apartments, corporate customers account for approximately 60% of the total tenants, and tenants from various countries, the numbers like single-person households, the ratio of job openings to job applicants, foreign nationals entering Japan could be used as our Leasing Business indicators.
We posted a net loss for three years starting in FY2018 due to the revealing of construction defects problem and the COVID-19 pandemic broke out. However, by steadily implementing fundamental structural reforms, occupancy rates have begun to recover and we were able to record positive net income in FY2021 and FY2022. In FY2023, we will continue to deepen our focus on improving occupancy rates and aim to achieve net income for three consecutive fiscal years.
We have regrettably decided not to pay dividends since FY2019.
In addition to strengthening capital by recording net income, the Company starts to consider implementing shareholder return such as payment of dividends and share buybacks.
Leopalace21's IR information (Japanese only) is sent to the registered e-mail address.
Leopalace21 is working to solve a wide variety of social issues with the aim of creating a sustainable society under the sustainability vision of "We go on creating new value for society today and in the future."