(276A) Stock Price

Kukreve Advisors provides one-stop solutions for corporate real estate assets—such as offices, factories, and warehouses—by leveraging AI-powered real estate technology. The company handles a comprehensive range of services including real estate strategy planning for corporations, fund formation, property sales and rental brokerage, development, and project management.

The company's primary customers are corporate management and finance departments, as well as real estate players including real estate companies, asset management firms, financial institutions, and construction companies. Revenue streams are diversified, comprising fixed and success-based consulting fees, subscription-based system usage fees, brokerage commissions, rental income, and fund management fees and dividends. By business segment, CRE Solutions accounts for the majority of sales, while subscription revenue from real estate technology drives growth (currently, CRE Solutions represents approximately 90% of revenue).

The company operates two main business divisions: "CRE Solutions" and "Real Estate Tech." CRE Solutions provides location strategy proposals tailored to individual corporations and handles practical services such as asset monetization and property acquisition or leasing using balance sheet optimization. Real Estate Tech offers subscription and spot-based services including an AI system that visualizes corporate real estate needs, a matching platform for commercial properties, and information portals for corporations to support operational efficiency.

The company is pursuing a platformer strategy in the corporate real estate (CRE) sector in line with its medium-term management plan "FY2026–FY2028 'A Tech-Driven Platform Strategy'" (starting October 2025). The target market encompasses all privately-held real estate, valued at approximately 524 trillion yen, with the company focusing on the "Compact CRE" segment, estimated at around 60 trillion yen. The plan is to expand market presence in this segment to increase revenue while maintaining a stable operating profit margin. Key performance indicators include revenue and operating profit margin, with system user numbers and registered information count set as KPIs.

The company's core differentiation lies in converting years of accumulated CRE experience and data into a real estate technology database, aiming to eliminate industry-specific inefficiencies and information asymmetries through business digitalization. Specifically, it develops and provides sales support system "CCReB AI," matching system "CCReB CREMa," and B2B portal "CCReB GATEWAY," enabling even less experienced staff to deliver high-quality proposals. Currently, the company derives most revenue from CRE-focused operations while building stability through fixed income streams such as subscription-based tech revenue and monthly advisory fees.

For new market development and business expansion, the company plans to broaden its network starting from the matching platform. As of August 2025, the matching system achieved 502 users (up 54.5% year-over-year) and 6,867 registered properties (up 25.4%), with plans to expand the user base primarily among financial institutions such as regional banks and leasing companies to uncover potential deals. Business growth will be supported through strategic alliances, service enhancements, and CRE-related M&A, while also pursuing large-scale revenue from fund formation and property acquisitions and sales.

On technological innovation, the company is advancing platform and data consolidation to improve profit margins through reduced operational workload. The matching system transitioned to a subscription model in September 2023, and since December 2023, the company has operated an in-house proposal support chatbot "CCChat" incorporating generative AI. Going forward, the company plans to continue investing in real estate technology enhancements and partnerships or M&A with tech companies, while advancing talent recruitment and retention (including equity-linked incentive programs introduced in October 2025) to build competitive advantages that are difficult to replicate through technology and talent.