Polaris Holdings Co., Ltd.
3010・Standard Market・Services
Business
Polaris Holdings Co., Ltd. is a hotel operation-focused group comprising the Company and 18 subsidiaries. In its core Hotel Operation Business, the Company conducts three business formats: direct management of self-owned and leased properties (Management Business), operation of properties entrusted by real estate owners (Operation Business), and franchise affiliation operations such as Best Western (Franchise Business). Following its business integration with Minacia in December 2024, the Company has significantly expanded its business scale and is promoting integration under the "KOKO HOTELS" brand. It also has overseas operations in the Philippines. Its main customers are inbound travelers (inbound ratio of 51.7%) and domestic travelers. The Company also operates a Hotel Investment Business sponsored by the Star Asia Group.
Business Model
The majority of revenue comes from the hotel operations business (revenue of ¥48,435 million), which is based on an asset-light operating-contract and lease model that minimizes ownership of proprietary real estate. Leveraging the real estate investment expertise of sponsor Star Asia Group, the company secures a pipeline of hotel properties while expanding its operational scale. The structure builds up revenue through maximizing RevPAR (occupancy rate of 90.2%, ADR of ¥12,954) and continued new store openings. The hotel investment business, though small in scale, plays a complementary role by generating dividend income through co-investments.
Company Strengths
In FY2026 (ending March 2026), the company achieved an occupancy rate of 90.2%, ADR of ¥12,954, and RevPAR of ¥11,682. RevPAR increased 11.3% year on year, demonstrating that sophisticated revenue management has enabled higher room rates while maintaining high occupancy. The inbound ratio also rose 4.0 percentage points year on year to 51.7%, reflecting ongoing diversification of demand structure.
Based on a business alliance agreement concluded in 2018, the company leverages the Star Asia Group's real estate investment expertise and human resources. Under a comprehensive support agreement with Star Asia Investment Corporation (concluded in May 2024), the two parties have established a framework for mutual provision of hotel transaction information. In May 2025, the company opened "KOKO HOTEL Osaka Namba Sennichimae" through joint investment, among other achievements in securing properties.
The business integration with Minachia (via share exchange) in December 2024 significantly expanded the scale of operations, with net sales for FY2026 (ending March 2026) reaching ¥48,469 million, up 73.8% year on year. Following the integration, the company completed brand consolidation under KOKO HOTELS, organizational restructuring, and office relocation, and in January 2026 also carried out the absorption-type merger of three subsidiaries. The company opened 8 hotels during FY2026 (ending March 2026) and secured 11 new projects, demonstrating strong execution capability in store openings.
ENVALITH's Perspective
Performance Trend
Revenue expanded from ¥3,712 million in FY2022 (ended March 2022) to ¥48,469 million in FY2026 (ending March 2026), more than a 13-fold increase over five fiscal periods. FY2026 growth accelerated to +73.8% year on year. Operating profit reached ¥4,042 million (+44.1% YoY), and ordinary profit came to ¥2,896 million (+53.0% YoY). Net income attributable to owners of parent was ¥4,596 million (+76.1% YoY), although ¥1,857 million of this reflects a one-off tax effect from the recognition of deferred tax assets. As an external factor, the sustained high level of inbound visitors to Japan pushed up ADR and occupancy rates, while the full-year contribution from the Minacia integration drove the expansion in scale. The equity ratio improved to 46.5%, and operating cash flow was stable at ¥5,806 million. It should be noted that goodwill amortization expense of ¥1,304 million is compressing underlying earnings power.
Growth Strategy
Under the new medium-term management plan, the company is driving further expansion of its hotel operating platform.
The company is integrating multiple brands acquired through the Minacia integration into "KOKO HOTELS," aiming to enhance brand recognition, concentrate reservations, and improve marketing efficiency. Rebranding is underway during FY2026 (ending March 2026), and the resulting increase in brand value is expected to contribute to a long-term rise in ADR and a reduction in customer acquisition costs.
During FY2026 (ending March 2026), the company newly opened 8 hotels (KOKO HOTEL Numazu Inter, Numazu Ekimae, Osaka Namba Sennichimae, Tokyo Nishikasai, Yokohama Tsurumi, Hotel Futari Komorebi, yugen kyoto shijo, and Compass Hotel Nagoya). In FY2027 (ending March 2027), the company will continue to expand the number of hotels under operation, targeting net sales of ¥54,500 million (+12.4%).
The company continues to invest in newly built and existing hotel properties by leveraging a co-investment scheme with the Star Asia Group. In FY2026 (ending March 2026), it acquired ¥1,500 million in investment securities, expanding the hotel investment business segment assets to ¥1,537 million. The collaboration between operations and investment aims to secure a stable pipeline of hotel properties.
Under the new medium-term management plan announced on May 13, 2026, the company aims for steady growth in adjusted operating profit—excluding goodwill amortization and income tax adjustments—from ¥5,346 million in FY2026 (ending March 2026) to a projected ¥5,504 million in FY2027 (ending March 2027) (+3.0%). The company is pursuing both the sophistication of revenue management and improved operating cost efficiency in parallel.
Last updated: July 19, 2026