TOSNETCORPORATION (4754) Stock Price

Tosnet is a security company with traffic control services as its core business. The company provides various security services centered on traffic direction, facility management, and temporary power supply for events.

Tosnet's primary operations focus on traffic control security, with additional emphasis on large-scale crowd management at events and railway monitoring services. The company serves major clients including construction sites, shopping centers, event organizers, railway operators, office and factory managers, and television stations. Revenue is generated through both ongoing contracts for on-site and patrol services, as well as spot contracts for individual events.

The business is divided into three main segments: security services, building maintenance services, and power supply services. Within security services, traffic control, facility security, and railway monitoring are the primary business lines. The company sold its mailing services subsidiary on July 1, 2025, and excluded it from consolidated operations as of that date.

The company has designated the latter half of its medium-term management plan "VISION for 50" (fiscal year ending September 2024 through September 2026) as a critical period. It aims to further expand its core security services business while strengthening its profit base. For consolidated results, the company has set targets for the fiscal year ending September 2026 of 12,260 million yen in sales, 880 million yen in operating profit, a 7.18% operating margin, and 990 million yen in ordinary profit. The fiscal year ending September 2025 is already exceeding these targets. The company plans to improve gross profit margin by increasing high-value-added orders while simultaneously strengthening cost management to transition to a stable profit structure.

Priority investment areas are human resources and high-value-added sales. The company aims to enhance the quality of security personnel through strengthened education and training programs and promotion of professional qualifications, with a target of 80% of all security staff holding relevant certifications. To address rising prices and labor costs, the company will conduct ongoing contract price negotiations with clients. For recruitment, it will continue active hiring efforts through employment agencies, school visits, and appropriate job placement media.

The company plans to expand its business scale through mergers and acquisitions (M&A) and geographic expansion of operational bases. It will respond promptly to projects with expected synergies within the group, focusing on traffic control and facility security while expanding into underserved areas and enhancing training and sales systems for its original road staff services. Each subsidiary will focus on its specialized fields—such as train monitoring, large-scale event security, in-store security, and building maintenance—to create new business opportunities through group synergies.

Regarding technological innovation, the company is promoting digitalization across the entire group to improve operational efficiency and productivity. Specifically, new security operations systems, human resources and payroll systems, and accounting systems are currently operational in 8 of the group's 17 companies, with plans for full rollout. This will streamline on-site deployment, attendance management, and accounting processes while enabling data utilization and enhanced sales capabilities necessary for high-value-added solution proposals.