Nagano Electric Railway Co.,Ltd (E04099) Stock Price

Nagano Electric Railway is a comprehensive transportation service company based in Nagano Prefecture, with railway operations as its core business. The company operates the Nagano Line connecting Nagano City and Yudanaka Hot Spring, serving a wide range of transportation needs from daily commuting for local residents to travel for tourists. The group oversees 11 subsidiaries and pursues diversified business operations centered on transportation services.

The company's primary customers consist of local residents using the railway for commuting and school travel, as well as tourists visiting destinations such as Shiga Kogen and Yudanaka Hot Spring. The revenue structure is based on mobility operations centered on railway business, supplemented by income from diverse operations including real estate leasing, hotels, and construction, creating a stable management foundation. The group companies also collaborate through facility leasing and outsourced operations, generating synergies.

Business segments are divided into four categories: "Mobility," "Life," "Town Development," and "Tourism." The Mobility division operates bus and taxi services in addition to railways. The Life division handles insurance agency, automobile sales, and care services. The Town Development division contributes to regional growth through real estate development, leasing, and construction. The Tourism division provides comprehensive tourism services including travel agencies, hotel operations, and management of Jigokudani Monkey Park.

Nagano Electric Railway Group has established "Pursuit of Sustainable Profitability" as its core strategy under the "7th Medium-Term Management Plan" covering the three-year period through fiscal year 2027. The company aims to build a business revenue structure that enables continuous growth. It will expand its business foundation through new initiatives and strengthened collaboration across group companies. The company targets improved profitability and efficient operations by maximizing revenue through appropriate pricing management and advancing low-cost operations.

The company prioritizes digital transformation (DX) to address customer needs and labor shortages as key investment areas. To rebuild the "Nagaden Brand," it is strengthening products and services from a customer perspective and differentiating itself from competitors through enhanced customer service mindset. The company has positioned SDGs and decarbonization at the core of its management strategy, advancing sustainable business practices through active environmental initiatives. Organizationally, it is focusing on talent development reflecting diversity and workplace improvements to strengthen corporate competitiveness through increased employee satisfaction.

In new market development, capturing growing tourism demand is the top priority. In its Mobility business, the company is expanding services for tourists including inbound visitors and pursuing new revenue sources while fulfilling its role as social infrastructure through diverse partnerships with local communities. In its Life business, it is strengthening its foundation by stabilizing operations of the adult day service facility "Day Tre Center Rival Nagano" and conducting major renovations of "Nagaden Swimming School Nagano." In its Urban Development business, it plans to expand operations through acquiring new residential land and increasing construction contract orders.

Regarding technological innovation, the company prioritizes business process improvement and productivity enhancement through DX. To address labor shortages and changing customer needs, it is actively investing in operational efficiency through digital technology and creating new services. Through employee work style reform and corporate culture transformation, the company aims to foster "a corporate culture of proactive challenge" and build organizational structures for innovation. Through these initiatives, the company seeks to achieve sustainable growth while contributing to regional development.