ENVALITH
クリアル株式会社 logo

CREAL Inc.

2998・Growth Market・Real Estate

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クリアル株式会社 logo
CREAL Inc.2998

Business

CREAL Inc. has adopted the mission of "transforming real estate investment, transforming society," and operates an asset management platform business utilizing DX (digital transformation) as a single segment. Its core services consist of three pillars: the real estate crowdfunding platform "CREAL," which allows investment from ¥10,000; "CREAL PRO," targeted at institutional investors and ultra-high-net-worth individuals; and "CREAL PB," a physical real estate investment service for individuals. The company listed on the Tokyo Stock Exchange Growth Market in April 2022, and as of the end of March 2026, the number of registered CREAL investor members exceeded 138,000, with cumulative investment amounts surpassing ¥104.7 billion. Aiming to democratize real estate investment and achieve financial inclusion, the company also serves as an intermediary for capital in the ESG real estate and regional revitalization domains.

Business Model

In CREAL's fee structure, the company has adopted a multi-stage fee model consisting of an upfront fee at fund formation, an asset management fee during the operation period, an exit fee upon sale, and profit share on excess returns. This is an EC-type model in which growth in GMV (gross merchandise value) translates directly into various fee revenues, and a high repeat investment rate (90.4% as of the end of March 2026) underpins stable, cumulative earnings. With the acquisition of Type 3 and Type 4 licenses under the Act on Specified Joint Real Estate Ventures, the company has shifted to off-balance-sheet operations utilizing SPCs, transitioning to a structure that expands the business while improving capital efficiency.

Company Strengths

Since service launch through the end of March 2026, the company has structured 143 funds, of which 118 have already been redeemed, with zero cases of principal loss or distribution delays. The repeat investment rate reached 90.4% in the most recent quarter, underscoring the stability of the accumulation-type revenue model supported by a highly loyal investor base.

In June 2025, the company obtained Type 3 and Type 4 licenses under the Act on Specified Joint Real Estate Ventures, enabling off-balance-sheet fund management through the use of SPCs. As a result, real estate for sale decreased by ¥10,401 million and deposits received for anonymous partnership contributions decreased by ¥23,562 million. The equity ratio improved significantly from 9.8% to 25.5%, and the gross profit margin also rose from 13.5% to 20.6%.

The company has formed partnerships with Japan Airlines, V Point Marketing, Odakyu Electric Railway, SBJ Bank, NTT Docomo, ORIX Bank, and Rakuten Securities, achieving customer referrals to CREAL through each partner's membership base. In December 2025, the company also conducted a third-party allotment of new shares to five companies including SBI Holdings, strengthening relationships on both the capital and business fronts.

ENVALITH's Perspective

Revenue for FY2026 (ending March 2026) declined to ¥37,795 million (down 9.6% year on year), but gross profit rose sharply to ¥7,799 million (up 37.6% year on year). The gross margin improved dramatically from 13.5% to 20.6%. This reflects the reversal of an irregular large-scale property sale that utilized the company's own balance sheet in the prior period, and indicates progress in the shift toward an off-balance-sheet, fee-income-centered model driven by the acquisition of Type 3 and Type 4 licenses under the Act on Specified Joint Real Estate Ventures. The policy change from FY2027 (ending March 2027) onward to stop disclosing revenue and instead treat gross profit as the primary KPI also reflects this transformation in the earnings structure. Investors need to evaluate the company based on the trend in gross profit rather than revenue.

Selling, general and administrative expenses for FY2026 (ending March 2026) increased significantly to ¥4,857 million (up 31.3% year on year). In particular, salaries and allowances rose 57% from ¥1,029 million to ¥1,615 million, mainly due to staff expansion accompanying business growth. Since the growth rate of gross profit (37.6%) exceeded that of SG&A expenses (31.3%), operating profit increased 49.5% to ¥2,942 million. However, for the FY2027 (ending March 2027) forecast, the profit growth rate is expected to slow, with gross profit up 14.0% against operating profit up 11.8%. Continued upfront investment in advertising and development expenses, among others, is indicated, and the balance between cost control and growth investment will be a key focus going forward.

Cash flow from operating activities for FY2026 (ending March 2026) turned to an outflow of ¥9,414 million, a significant deterioration from the ¥10,021 million inflow in the prior period. The main cause was a ¥23,562 million decrease in deposits received under silent partnership contributions (a transitional impact from the shift to an off-balance-sheet model following the acquisition of Type 3 and Type 4 licenses under the Act on Specified Joint Real Estate Ventures), reflecting a structural change in the business. Cash flow from financing activities secured an inflow of ¥8,077 million through ¥9,850 million in long-term borrowings and ¥4,332 million in third-party allotment capital increases, maintaining a period-end cash balance of ¥13,494 million. As an external factor, attention should also be paid to the risk of rising borrowing costs due to the Bank of Japan's interest rate hikes (in January and December 2025); interest expense increased from ¥94 million to ¥142 million.

Growth Strategy

Pursuing gross profit growth through a three-pronged strategy of expanding CREAL membership, promoting off-balance-sheet operations, and expanding CREAL PB

Leveraging the Real Estate Specified Joint Enterprise Act Type 3/4 licenses (including electronic transaction operations) obtained in June 2025, the company is actively expanding off-balance-sheet fund formation through SPCs. This achieves both balance sheet slimming and GMV expansion, accelerating the transition to a stable, fee-income-centered revenue model. The first deal began operation in September 2025.

The company is promoting new investor acquisition through various marketing initiatives, including business alliances. Leveraging its partnership foundation with major players such as JAL and NTT Docomo, it is capturing individual asset management demand driven by the new NISA system and the government's "Doubling Asset-Based Income Plan." As of end-March 2026, investor membership surpassed 138,000 and cumulative investment amount surpassed ¥104.7 billion.

Through the expansion of CREAL's GMV, the company is expanding its handling of large-scale real estate deals and strengthening cross-selling to private fund formation for institutional investors and others (CREAL PRO). This diversifies the revenue base through stable recognition of asset management fees. In the current period, there were no property sales utilizing the balance sheet, but AM fees were steadily recognized.

The company is promoting cross-selling to investors within the CREAL member base who seek to invest in physical real estate, expanding the number of used studio apartment sales. It is leveraging the tailwind of continued rising condominium prices in the greater Tokyo metropolitan area, while achieving efficient customer acquisition by utilizing its touchpoints with CREAL members. Sales volume increased during the current period.

Using the growth investment funds obtained through the third-party allotment of new shares to five companies (approximately ¥4,300 million) implemented in December 2025, the company continues to make upfront investments in IT platform development, talent recruitment, advertising, and promotion. It improved its capital adequacy ratio from 9.8% to 25.5%, strengthening its financial foundation as it transitions to the next growth phase.

Last updated: July 19, 2026