LEOPALACE21CORPORATION (8848) Stock Price

Leopalace21 operates a diverse range of businesses centered primarily on rental operations. In its rental business, the company engages in leasing and managing its own properties, leasing apartments through bulk lease agreements on properties it has constructed, apartment maintenance and repair work, rental-related services, broadband services, and apartment construction contracting.

Its subsidiary Leopalace Leasing handles corporate housing services and real estate brokerage, while Plaza Rental Management Guarantee provides rent payment guarantees. Leopalace Power operates solar power generation projects through rooftop leasing arrangements, and Asuka Micro Insurance sells household property insurance for apartment residents.

Internationally, Leopalace21 Business Consulting (Shanghai) Co., Ltd. and Leopalace21 Singapore Pte. Ltd. provide consulting services. Additionally, Leopalace21 operates in the senior care business, running care facilities called "Azumi-en" together with its subsidiary Az Life Care.

In other business areas, Leopalace21 operates a finance division. Its overseas subsidiary Leopalace Guam Corporation operates Leopalace Resort Guam, which runs golf courses and hotels on the island of Guam. Leopalace Smile provides administrative support services for group companies.

Chidori Godo Kaisha owns 26.0% of Leopalace21's voting rights but has no direct relationship with the company's operations. Through these businesses, Leopalace21 pursues diversified operations and business expansion both domestically and internationally.

Leopalace21 has formulated a three-year medium-term management plan called "New Growth 2028" covering the fiscal years ending March 2026 through March 2028. The plan aims to continue providing innovative and sustainable services centered on rental housing. Specifically, the company is strengthening its business foundation with rental operations and development operations as core pillars, while pursuing four strategies to achieve both economic and social value.

Against the backdrop of increasing single-person households, Leopalace21 expects sustained strong demand for rental housing targeting single occupants. The company believes this external environment will continue to support sustainable growth in its rental operations. Additionally, expanded demand for company dormitories and corporate housing from corporate clients is anticipated, with improved occupancy rates expected.

As a growth strategy, Leopalace21 is resuming full-scale development operations. The company aims to secure high-margin managed properties and establish new business foundations, actively pursuing the renovation of aging properties and supply of new properties. Through the supply of ZEH (net-zero energy house) properties, the company is also advancing its contribution to a decarbonized society.

Furthermore, Leopalace21 is strengthening digital transformation through technology utilization and human capital management, advancing the establishment of a sustainable organizational structure. The company is focusing on building the foundation for data-driven management and cultivating digital talent, aiming to become an organization where employees are the central focus.

Leopalace21 operates with awareness of capital costs and stock price, positioning ROE and ROIC as key management indicators. The company targets ROE of 20% and ROIC of 18% by the fiscal year ending March 2028, aiming for further enhancement of corporate value.