KAPPA.CREATE CO.,LTD. (7421) Stock Price

Kappa Create operates two main business segments: a conveyor belt sushi business and a delicatessen business. These operations are run by the company and its four subsidiaries. Kappa Create is part of the Colowide Group, which consists of its parent company Colowide Co., Ltd. and 103 subsidiaries.

In the conveyor belt sushi business, Kappa Create operates a chain of company-owned sushi restaurants domestically and internationally. This business aims to provide consumers with fresh, affordable sushi. The restaurants are popular with a wide range of customers, particularly families and young people.

The delicatessen business is primarily operated by Japan Fresh Co., Ltd. in the Honshu region. This segment manufactures and sells sushi and prepared bread products to convenience stores and supermarkets. Through this business, the company provides food products that consumers can easily enjoy on a daily basis.

Kappa Create is pursuing several growth strategies to achieve sustainable growth and enhance corporate value. First, the company is focusing on strengthening existing stores and improving customer experience. Specifically, it is maximizing customer touchpoints through mass media and social media, and increasing store visit frequency by actively introducing new products and services.

As a growth investment, the company is optimizing store locations. In particular, it is strengthening its presence in prime station-front locations in the three major metropolitan areas and expanding into new markets, while closing or relocating underperforming stores. Through these efforts, the company aims to adapt to demographic changes and improve profitability.

Cost optimization is another key strategy. To address rising raw material and labor costs, the company is implementing equipment to improve productivity and working to reduce food waste. Additionally, by leveraging synergies with the Colowide Group and developing menus, the company is reducing costs and promoting SDGs initiatives to decrease food loss.

Furthermore, the company is strengthening its ESG (Environmental, Social, and Governance) initiatives. Through reducing environmental impact, supporting community activities, promoting diversity, and enhancing governance, the company aims for long-term sustainable growth. This approach allows the company to fulfill social responsibility while enhancing corporate value.

Finally, the company is prioritizing compliance strengthening. In response to past legal issues, the company is implementing thorough compliance training, including trade secret management, to enhance corporate credibility. Through these efforts, the company is building a corporate foundation that supports sustainable growth.