Temairazu, Inc.JP:2477Stock Price

Market cap
¥18B
P/E ratio
15.7x
Temairazu provides hotel booking management software that helps accommodation providers manage reservations across multiple booking sites, plus operates Kakaku.com comparison shopping platform.

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Business Overview

Temairazu operates two core business pillars: a reservation management system for accommodation facilities and internet media. The company's flagship service is the "TEMAIRAZU" series of hotel booking site controllers, which provides a unified system for managing inventory and pricing across multiple booking sites and the company's own reservation engine.

The primary customers are accommodation providers such as hotels and inns, as well as companies that drive customer acquisition and advertising through comparison information services. The company's revenue from reservation management services consists of monthly base fees, optional charges, and variable fees based on booking volume. Media business revenue comes from monthly advertising fees and performance-based advertising commissions.

The business is divided into two main segments. The application services segment provides implementation support and additional features centered on inventory and pricing management. The internet media segment operates "Kakaku.com," which organizes and displays comparison information for shopping, travel, asset management, and other categories, generating advertiser results through customer inquiry, quotation, application, and booking flows.

Management Policy

The company has set management targets of revenue growth and maintaining high operating profit margins. Specifically, over the next three years, it aims to grow revenue at an average annual rate of approximately 15% and maintain or improve its operating profit margin from current levels to secure roughly double-digit percentages. To achieve this, the company will prioritize investments in sales capabilities and product strength, allocating human resources and development investments in a balanced manner within the range of 10-15% of revenue, while pursuing growth while avoiding sharp declines in profit margins.

Priority investment areas are two pillars: "TEMAIRAZU," a reservation management system for accommodation facilities, and internet media centered on comparison sites. The company differentiates itself by strengthening TEMAIRAZU's functionality for unified management of multiple booking sites and direct bookings, integration with sales channels, and implementation support. Specific measures include releasing new features quarterly and establishing comprehensive support from implementation through operation to improve customer retention and achieve an annual increase in new installations of approximately 30% year-over-year.

For new market development and business expansion, the company will advance into domestic regional markets and overseas expansion centered on Asia, capitalizing on the recovery in accommodation demand and inbound tourism. Specifically, it plans to partner with local partners in Southeast Asia for local implementation and increase overseas revenue to approximately 20% of total revenue within three years. In the media business, the company aims to expand revenue by increasing visitor numbers at an annual rate of approximately 20% and advertising revenue at approximately 25% through category expansion, content enrichment, search engine optimization, and mobile improvements.

The company also actively invests in technological innovation and risk management, advancing IT infrastructure stabilization and security enhancement. It secures annual development investment at approximately 8-12% of revenue, conducts external vulnerability assessments and penetration testing twice annually, and implements information literacy training for employees twice yearly. Additionally, the company is establishing backup systems to shorten recovery time objectives during disasters, aiming to build long-term competitive advantage through providing services customers can use with confidence.