GOLF DO CO.,LTD. (3032) Stock Price

Golf Do is a company that primarily operates in the purchase and retail of used golf equipment. The company runs its own Golf Do! reuse shops as physical retail locations, and also sells and purchases used clubs and apparel through its own e-commerce site and online marketplaces such as Rakuten and Mercari. The apparel business ended on March 31, 2025.

The company's main customers are individual golfers, retail shops dealing in used goods, and franchise partners. Revenue is centered on product sales from physical stores and e-commerce, with additional income from franchise fees, royalties, and wholesale transactions for corporate clients.

The company's operations are organized into four divisions: direct operations, franchise operations, sales operations, and apparel operations (now closed). The direct operations division manages physical stores and the company's own e-commerce platform. The franchise division operates as a chain headquarters, providing support to franchisees and managing the brand. The sales operations division handles wholesale and online marketplace sales to supply corporate clients and alternative sales channels.

Under its "New Medium-Term Management Plan Breakthrough2028 (fiscal year ending March 2026 through March 2028)," the company aims to establish a "Golf Do! Economic Ecosystem" centered on its Golf Do! brand. The plan identifies four priority initiatives: further expansion of store networks, promotion of omnichannel strategy, expansion of golf-related product offerings, and rapid growth of indoor golf practice facilities. The company positions the first year as a preparation phase, with significant growth targeted over the remaining two years. Performance is evaluated based on revenue, operating profit, ordinary profit, and net income attributable to parent company shareholders, with improvements in these metrics driving achievement of medium-term targets.

Investment priorities focus on complementary integration of physical stores and e-commerce, along with enhanced customer experience value. Physical stores are primarily large-format roadside locations in suburban areas. As of March 31, 2025, the company operates 24 stores (including franchise locations operated by subsidiaries), with in-store visits as a core pillar. Differentiation is achieved through "Golf Do! STUDIO Lesson & Fitting," which offers club fitting services integrated with instruction. On the e-commerce side, the company renovated its proprietary online shop in 2024 and expanded operations across three e-commerce platforms including Rakuten and Mercari. Investment is being directed toward strengthening sales and inventory management linking physical and online channels, as well as enhancing customer touchpoints.

New market development and business expansion are driven by franchise deployment and new business formats. The franchise network currently operates 45 locations as of March 31, 2025, with plans to increase affiliated stores by prioritizing underpenetrated regions such as Osaka. As a new venture, the company launched "DODO GOLF," an unmanned indoor golf practice facility, to diversify revenue streams and reduce reliance on merchandise sales. The wholesale and sales division plans to expand product lines and distribution channels through increased handling of direct U.S. imports and strengthened retail operations within the United States.

The company is also advancing technological innovation and internal management strengthening. E-commerce platform upgrades enable omnichannel inventory coordination and customer data utilization, while equipment and software deployment at unmanned facilities and fitting services enhance operational efficiency. Given the business's used-goods focus, which creates cash flow pressures from inventory adjustments and seasonal fluctuations, the company plans to fund system development and store opening costs through retained earnings and borrowing. Risk management infrastructure is being reinforced through enhanced compliance and internal audit functions, along with coordination with audit firms and external legal counsel.