JSH Co., Ltd.

Business Details

A segment that provides Home-Visit Nursing Service in a manner that supports home-visit medical care by physicians. It primarily targets patients with psychiatric disorders, with nursing staff and others visiting patients' homes. Most of the segment's revenue consists of medical treatment fees from the Social Insurance Medical Fee Payment Fund and the National Health Insurance Federations, among others. The segment is expanding its number of locations through an aggressive store-opening strategy, while also leveraging business synergies with the Regional Revitalization Business.

Recent Overview

Aggressive store openings expanded the network to 47 locations, but upfront investment burden pushed the segment into a ¥196 million loss

In FY2026 (ending March 2026), based on an aggressive store-opening strategy aimed at establishing a mid-to-long-term revenue base, the company newly opened 12 offices and 14 branch offices, and converted 10 branch offices into full offices. As a result, the number of locations at fiscal year-end expanded to a total of 47 across 14 prefectures, comprising 39 offices and 8 branch offices. On the other hand, the burden of upfront investment such as personnel recruitment and lease expenses was heavy, and segment profit/loss deteriorated significantly from a profit of ¥165 million in the prior period to a loss of ¥196 million. Net sales also declined slightly year on year to ¥1,445 million. An impairment loss of ¥18 million was also recorded in the Home Care Medicine Business.

Key Products

Growth Drivers

• Expansion of demand for Home-Visit Nursing Service driven by the increasing number of patients with psychiatric disorders and policies promoting the community transition of long-term hospitalized patients
• Strengthened business synergies with the Regional Revitalization Business in connection with the planned increase in the statutory employment rate for persons with disabilities to 2.7% in July 2026
• Realization of sustainable growth through strengthening the revenue base, building on the aggressive store-opening strategy of the prior period (47 locations)
• Acquisition of user referrals through strengthened relationships with medical institutions and others by leveraging the existing regional network
• Improvement in service quality by applying the specialized knowledge and know-how cultivated in the Regional Revitalization Business to the Home Care Medicine Business

Risks

• Risk of expanded short-term losses due to upfront investment (personnel recruitment, lease expenses) associated with the aggressive expansion of locations (a segment loss of ¥196 million was recorded in FY2026 (ending March 2026))
• Risk of sluggish growth in the number of visits and users due to difficulty in recruiting nurses and staff turnover
• Risk of fluctuation in unit prices due to revisions to medical treatment fees (most of the revenue depends on medical treatment fees)
• Risk of revenue concentration in specific institutions (the Tokyo Branch of the Social Insurance Medical Fee Payment Fund is a major customer, with net sales of ¥512 million in FY2026 (ending March 2026))
• Risk of intensified competition due to an increase in competing offices in psychiatric home-visit nursing care
• Risk of continued recognition of impairment losses in the Home Care Medicine Business (¥18 million in FY2026 (ending March 2026), versus ¥2 million in the prior period)