MELDIA CO.,LTD. (E04059) Stock Price

Meldia is a comprehensive real estate company primarily operating in the Greater Tokyo and Kansai regions. Its core business is the development and sales of single-family homes and condominiums for sale. Under the concept of "We don't build the same house twice," the company provides distinctive, non-standardized housing. Meldia has established an integrated system that handles everything in-house—from land acquisition and design through construction to sales—prioritizing the delivery of reliable homes to customers.

The company's primary customers are individual homebuyers and real estate investors. In its residential sales business, it sells single-family homes and condominiums to individuals, while its real estate sales business supplies investment properties to investors. Revenue is primarily generated from property sales. Through a locally-focused business model with operations divisions across five areas in the Greater Tokyo region and the Chubu region, the company develops products tailored to each area's characteristics.

The business is divided into four segments: the "Real Estate Sales Business," which is the main revenue driver; the "Real Estate Sales Business," which acquires, operates, and sells investment properties; the "Real Estate Construction Business," which handles custom homes and construction contracts; and the "Rental Income Business," which generates rental income from owned properties. The company also operates in the Kansai region and the United States, expanding its business areas through consolidated subsidiaries.

Under its medium-term management plan "MELDIA ACTION PLAN2023," Meldia aims to achieve revenue of 180 billion yen and operating profit of 12.6 billion yen in fiscal year 2023. The company's growth strategy centers on expanding market share in the three major metropolitan areas through its core detached house sales business. Under the corporate message "We never build the same house twice," the company differentiates itself through its planning, design, and construction capabilities for wooden three-story residential buildings in urban areas, with the goal of providing high-value-added housing at appropriate prices.

The company's priority investment areas are strengthening supply in urban areas of the three major metropolitan areas and improving profit margins through construction cost reduction. It is working to enhance productivity through operational efficiency and system development, and to increase brand awareness of Meldia custom homes through showroom expansion. Additionally, by expanding its subsidiary Meldia Realty, the company aims to improve profitability by increasing the proportion of sales within its own group. Under the new management structure, the company has set new financial targets of a shareholders' equity ratio of 40% or higher and ROE of 25% or higher.

In terms of business expansion, beyond detached house sales, the company also aims for growth in custom home construction, construction contracting, investment operations, overseas business, and hotel operations. In investment operations, the company is strengthening fund formation and risk management systems; in overseas business, it is building risk management frameworks. The company is also focusing on strengthening the management structure of subsidiary Meldia DC, which handles construction contracting, and acquiring new customers for sustained growth, as well as executing subsidiary strategies that create group synergies.

Regarding technological innovation, the company is promoting total customer support, operational efficiency, and group synergy creation through strengthened IT strategy. By incorporating new lifestyles and needs in the with-COVID and post-COVID era into product planning and design, the company is advancing housing development that responds to changing market conditions. The company is also considering M&A of companies with expected business synergies in the Greater Tokyo, Chubu, and Kansai regions, with the aim of expanding group-related businesses such as detached house sales companies and custom home builders.