(E04196) Stock Price

Tateyama Kurobe Kanko is a company that operates transportation infrastructure and hotel businesses on the "Tateyama Kurobe Alpine Route," one of Japan's premier mountain tourism destinations. The company provides transportation services using specialized vehicles such as cable cars and ropeway systems through the Northern Alps at elevations around 3,000 meters, and operates mountain hotels.

The company's primary customers are domestic and international tourists visiting the Tateyama Kurobe Alpine Route. Revenue is generated primarily from transportation fares and hotel accommodations. During the peak tourism season from spring through autumn, the route attracts large numbers of visitors seeking attractions such as the Snow Valley and Kurobe Dam, creating important revenue opportunities for the company.

The business is organized into three segments: transportation, hotels, and other operations. The transportation division operates cable cars, ropeways, trolleybuses (scheduled to transition to electric buses in April 2025), bus routes, and trains within the Tateyama Kurobe Alpine Route. The hotel division manages Hotel Tateyama in Murodo and Midagahara Hotel, and also operates retail shops at various stations along the route to serve tourists' accommodation and shopping needs.

Tateyama Kurobe Kanko operates based on the Tateyama Kurobe Alpine Route, a world-renowned mountain tourism destination, and is advancing a sustainable growth strategy. The company has set operating profit as its key management indicator and achieved a return to profitability in the previous fiscal year. Following this, the company realized increased revenue and profit driven by recovering travel demand and the extension of the Shinkansen line to Tsuruga in the Hokuriku region. Going forward, the company plans to develop its second medium-term management plan and build concrete growth strategies that include large-scale facility renovations and capital investments.

The company's priority investment areas are the renewal of aging infrastructure and the adoption of environmentally responsive technologies. In fiscal 2025, the company will begin renovation work on the Murodo Terminal Building and plans facility improvements and major repair projects for transportation infrastructure. Notably, the company will introduce electric buses in the Tateyama Tunnel to replace the conventional trolleybuses, positioning this as part of its efforts to reduce environmental impact toward achieving carbon neutrality. The buses will feature wrapping designs from the animated film "Wolf Children," creating new tourism appeal.

In sales strategy, the company is pursuing a multifaceted approach to attract domestic and international tourists. Domestically, the company is implementing seasonal events including the popular "Snow Valley Walk," while promoting digital convenience through services such as "Reservation Web Tickets" for individual travelers and "Early Discount 10" for advance bookings. In overseas markets, the company is continuing to attract visitors from East Asian markets including Taiwan, South Korea, and Hong Kong, while strengthening information outreach to Southeast Asian countries. The company plans to expand sales to global markets, including Europe and North America, leveraging the Osaka-Kansai Expo as an opportunity.

In technology innovation, the company prioritizes digital transformation for operational efficiency and improved customer service. Enhanced Wi-Fi infrastructure, digital signage for operational information, and updated directional signage at each station improve tourist convenience. In food services, the introduction of cloud-based POS systems enables diverse payment methods and reduces wait times, enhancing the quality of the tourism experience. Through these initiatives, the company is committed to passing on the "Tateyama Kurobe" brand as a sustainable tourism destination to future generations.