KeePer Technical Laboratory Co., Ltd. (6036) Stock Price

KeePer Technologies specializes in products and services designed to maintain a car's appearance. The company develops and outsources manufacturing of chemicals for its KeePer Coating brand, along with dedicated tools and equipment, which it sells to service shops and its own KeePer LABO locations. These locations provide coating and car washing services with professional application expertise.

The company's primary customers are car aftermarket businesses centered on gas stations, new car dealers, and automakers. KeePer Technologies generates revenue through three pillars: product sales, service delivery, and technical training. Stable revenue comes from ongoing wholesale product sales to partners, combined with service income from company-operated stores and training program fees.

The business is divided into two main segments: "KeePer Products and Related Business" and "KeePer LABO Operations." The company has built a nationwide network of 6,661 KeePer Pro Shops through professional-grade chemicals and training programs, while expanding its product lineup with premium offerings like EX KeePer. Its 137 company-operated LABO locations serve general consumers with high-quality coating services, hand car washing, and interior cleaning. Customer preference data from these locations informs product development.

The company aims to establish and expand the KeeP brand, with projections for the fiscal year ending June 2026 of 26.3 billion yen in revenue (up 13.9% year-over-year), 8.0 billion yen in operating profit (up 12.7%), and 7.2 billion yen in net income (up 47.3%). Growth is driven by three pillars: proprietary product sales, installation services through company-operated KeeP LABOs, and technical training. The company is expanding revenue based on its existing network of approximately 6,661 KeeP Pro Shops and 137 company-operated LABOs.

Key investment areas are store network expansion and facility upgrades. The company plans to open 44 new stores next fiscal year—25 company-operated and 19 franchised—targeting approximately 200 LABO locations overall. At existing stores, the company will continue capital investments including TREX booth expansion, added revenue functions, heat mitigation measures, and separate restroom facilities to improve service quality and customer spending. For staffing, the company aims to hire 220 employees (including part-time workers) and 95 new graduates.

New market development focuses on two strategies: expanding original equipment adoption with new car dealers and automakers, and entering non-automotive industries. The company will strengthen proposals to dealerships of Subaru, Toyota, Honda, Mitsubishi, and Volvo—which already use its products—while expanding into home appliances, sporting goods, railways, marine, and wheel sectors. To offset declining aftermarket gas stations, the company will increase per-location sales and convert gas station operators to LABOs, while ensuring the Singapore KeeP LABO launch succeeds and strengthening sales to overseas distributors.

For technological innovation, the company is developing proprietary coating products and outsourcing specialized equipment manufacturing, standardizing application methods and incorporating customer data into product improvements. Through technical training and competitions, the company emphasizes raising field expertise and prioritizes quality assurance via talent development. These efforts pursue differentiation by integrating product development, field capabilities, and store experience, targeting sustained revenue growth.