(3496) Stock Price

Azoom operates in real estate and IT, focusing on idle asset utilization and visualization services. The company's core business is a parking space referral service through "CarParking," a portal specialized in monthly parking spaces, and a sublease service where it leases parking spaces from owners in bulk and re-leases them to users on a monthly basis. Subsidiary services include rent guarantees and reservation systems for rental spaces.

Primary customers include parking space owners, individuals and companies seeking monthly parking, and building managers. Revenue is generated primarily through referral fees, sublease margin income, and guarantee fees. The company creates revenue opportunities starting from portal inquiries and secures stable monthly rental income through subleasing. In the visualization business, it sells 3D CG and VR services to real estate developers, construction companies, and display industries, generating contract production revenue.

Business segments are divided into idle asset utilization and visualization. The former includes monthly parking space referrals, subleasing, rent guarantees, the "Smart Space Reservation" web booking system, and portal operations for hourly parking and outdoor advertising. The company is expanding sublease operations by region, with increasing inquiry volumes and leased units, characterized by high occupancy rates. The latter is primarily operated by consolidated subsidiaries, providing 3D CG data production and spatial design services using VR.

The company aims for sustainable growth with two core pillars—real estate and IT—focusing on idle asset utilization and visualization services. While prioritizing revenue, operating profit, and growth rates, the company has established key performance indicators including inquiry volume and listed properties on its monthly parking portal "CarParking," as well as master lease units and sublet occupancy rates. By increasing these metrics, the company seeks to balance commission income (variable revenue) with rental income (recurring revenue) to establish a stable earnings foundation. While specific numerical targets for sales and profit are not disclosed at this time, the company uses indicator improvements as a measure of growth.

Priority investment areas include strengthening the data infrastructure for parking services and enhancing owner-focused features. Specifically, the company is focusing on database expansion, promoting adoption of the owner management system "CarParking One," and expanding rental guarantee services through a subsidiary. This deepens owner relationships, advances property exclusivity, and secures stable income through subleasing. Additionally, the company is developing alternative revenue streams beyond parking through a web reservation system for rental spaces called "Smart Space Reservation" and a staffing business. The company differentiates itself from competitors through IT-driven user convenience and added value such as rental guarantees.

Market expansion and business growth are pursued in two directions: geographic expansion and business diversification. While maintaining the Kanto region as its primary market, the company operates bases in Fukuoka, Osaka, Nagoya, and Sapporo, with plans to establish presence in underdeveloped regions to increase master lease units and sublet occupancy. Additionally, the company plans to expand its client base by optimizing idle spaces such as rental meeting rooms, gyms, and studios, and by offering non-face-to-face solutions through its visualization business, building a revenue foundation capable of stable growth even in challenging economic conditions.

Technology innovation initiatives include service development using 3D CG and VR, and expanding contracts for the generative AI-powered rendering service "MyRenderer." Operationally, the company continues to invest in system infrastructure strengthening, including engineer recruitment and development, server equipment upgrades, load balancing implementation, and security audits to ensure stability and safety as access increases. Additionally, offshore production through a Vietnamese subsidiary improves cost efficiency, enabling the company to balance technology investment with profitability.