Hiroshima Tourism Promoting Co., Ltd. (E04119) Stock Price

Hiroshima Kanko Kaihatsu is a tourism infrastructure company operating a ropeway business on Miyajima Island in Hiroshima Prefecture. The company operates a ropeway line that transports tourists from Momiji Valley Park to the summit area of Mount Misen. It serves as the primary access route to the mountaintop of Miyajima, a UNESCO World Heritage Site, and plays a crucial role in the island's tourism infrastructure.

The company's primary customers are tourists visiting Miyajima, with ropeway fares serving as the main revenue source. Since Miyajima is a popular tourist destination attracting numerous domestic and international visitors year-round, the business maintains a stable passenger base. The company also operates shops at the summit station, generating supplementary revenue.

The operation consists of two sections: the first section runs from Momiji Valley Station to Kayatani Station using 22 eight-passenger cabins, while the second section runs from Kayatani Station to Shishiiwa Station using two large 30-passenger cabins. This system efficiently transports tourists from an elevation of 60 meters to the summit station at 435 meters.

Hiroshima Kanko Development operates tourism infrastructure centered on a ropeway business at Miyajima, a UNESCO World Heritage site, with a management strategy that prioritizes safety above all else. The company has set medium to long-term numerical targets of achieving "zero accidents and incidents" and "zero workplace injuries"—the top priorities for aerial tramway operators—and has positioned the assurance of safe transportation as an absolute management principle. This safety-first approach forms the foundation for enhancing the credibility of the Miyajima Ropeway, which has over 60 years of operational history, and for sustained business development.

The company's primary investment focus is equipment renewal and strengthened safety measures. To address the aging infrastructure of the Miyajima Ropeway, which has been in operation for over 60 years, the company has formulated a medium to long-term capital investment plan and is implementing systematic equipment upgrades and repairs. This initiative goes beyond routine maintenance and is positioned as a strategic investment that introduces the latest safety technologies to differentiate the company from competitors. Enhanced safety directly improves customer satisfaction and serves as a key differentiator in acquiring repeat customers and attracting new customers through word-of-mouth.

The company also leverages its geographic advantages through a distinctive market strategy. Miyajima is home to Itsukushima Shrine, a UNESCO World Heritage site, and is located in a rare global tourism region where two World Heritage sites—the shrine and the nearby Hiroshima Peace Memorial (Genbaku Dome)—are in close proximity. Building on these exceptional tourism resources, the company has established a business foundation capable of attracting both domestic and international visitors on a stable basis. By combining Miyajima's pristine natural environment and the brand power of its World Heritage designation, the company delivers unique value that other tourist destinations cannot provide.

To strengthen its management foundation, the company is focusing on enhancing its internal control systems. Operating under the corporate philosophy of "unity of purpose, sincerity, and openness," the company pursues a management approach aimed at maximizing corporate value and recognizes the proper functioning of corporate governance as a critical priority. Through workforce expansion and enhanced training, the company is improving organizational capability and building internal management systems aligned with actual business operations, thereby establishing long-term business continuity and growth foundations.