THERMAE-YU HOLDINGS CO.,LTD. (3521) Stock Price

Econac Holdings operates primarily through two business segments: the operation of hot spring bath facilities and real estate sales and leasing. These operations are conducted by the company and its two consolidated subsidiaries.

In the hot spring bath business, Therme Yu Co., Ltd. operates hot spring bath facilities, while Elena Co., Ltd. operates integrated facilities that combine hot spring baths with accommodation. These facilities provide hot spring bath services, food and beverage services, and massage services, while the accommodation facilities offer lodging services.

In the real estate business, Econac Holdings conducts the sale and leasing of real estate properties. This business segment serves as one of the company's primary revenue sources.

Econac Holdings is pursuing operational efficiency centered on its bathing facility business, and aims to expand sales and profits in conjunction with its real estate operations. The company is also exploring business diversification and M&A opportunities to develop new revenue streams. Through these efforts, the company prioritizes returning profits to shareholders and seeks to secure distributable earnings.

The company has adopted a medium to long-term strategy to develop new revenue sources through business diversification and M&A. It aims to achieve sustainable corporate growth by expanding revenues from both its bathing facility and real estate businesses. In particular, the company is strengthening its corporate structure with a focus on achieving SDG targets.

Econac Holdings, which has achieved profitability in its bathing facility business and eliminated accumulated losses, faces the challenge of maintaining sound financial health. The company aims to increase overall group profits through sales expansion and positions investment in human capital—including ensuring diversity—as a critical priority in realizing human capital management.