JOYFUL HONDA CO.,LTD.
3191・Prime Market・Retail Trade
Business
Joyful Honda Co., Ltd. was founded in 1975 and is headquartered in Tsuchiura City, Ibaraki Prefecture, operating as a large-format home center and specialty store company focused on the Kanto region. The company operates 17 large-scale retail stores and 10 specialty retail stores across six prefectures: Ibaraki, Saitama, Chiba, Tokyo, Tochigi, and Gunma. Centered on the "Living" category (building materials/professional supplies, interior/living, garden/farm, renovation) and the "Lifestyle" category (daily necessities, pet/leisure), it serves a broad customer base ranging from general consumers to professional customers. Net sales for FY2025 (ended June 2025) were ¥128,980 million. The company listed on the Tokyo Stock Exchange in 2014. It operates as a single reportable segment.
Business Model
The company aggregates a wide range of housing- and living-related products in large-format stores, capturing both general consumers and professional customers. Of net sales of ¥128,980 million, the "Housing" segment accounts for ¥72,776 million (56.4%), and the "Living" segment accounts for ¥56,204 million (43.6%). The company also handles design and construction work for renovations, building a composite earnings model that combines product sales with construction contracting. It aims to diversify its customer base through the rollout of in-shop formats for professionals, such as Hondaya, and specialty retail stores.
Company Strengths
Operates 27 stores in total—17 large-scale retail stores and 10 specialty retail stores—across the six prefectures of Ibaraki, Saitama, Chiba, Tokyo, Tochigi, and Gunma. Since the opening of the Arakawaoki store in 1976, the company has formed a dominant market presence in the Kanto region over 50 years, with a community-based customer base and high brand recognition.
As of the end of the fiscal year ended June 2025, total net assets stood at ¥121,791 million, and the equity ratio against total assets of ¥165,574 million was an extremely high approximately 73.6%. The company obtained an issuer rating of "A-" (Outlook: Stable) from R&I, and also received an "AA" rating from MSCI. The company's financial base stability and external creditworthiness are high.
The company accurately captured the surge in demand for disaster-preparedness food, portable power sources, security cameras, and other items triggered by the Nankai Trough earthquake extraordinary information, resulting in sales in the "Living" category increasing 2.6% year on year to ¥56,204 million. Through the promotion of Hondaya in-shop conversions, professional-use materials and supplies also performed well, increasing 3.5% year on year to ¥24,221 million.
ENVALITH's Perspective
Performance Trend
Over the past five fiscal years, non-consolidated revenue trended in the range of ¥123,000 million to ¥132,000 million, while operating profit peaked at ¥12,238 million in FY2022, declined somewhat to ¥10,568 million in FY2024 and ¥10,748 million in FY2025, and has since remained roughly flat. From FY2026 (ending June 2026), the company transitioned to consolidated accounting for the first time following the consolidation of Honda Co., Ltd. (Subsidiary) as a subsidiary. Cumulative results for the third quarter (nine months) showed revenue of ¥95,937 million, operating profit of ¥7,401 million, ordinary profit of ¥8,303 million, and net profit attributable to owners of the parent of ¥7,703 million. In terms of the external environment, while the retail environment remains challenging amid strengthening consumer frugality and continued price increases for daily necessities, diversifying material procurement needs driven by rising construction costs and a shortage of skilled tradespeople have driven demand for professional-use products (materials and professional supplies: ¥18,220 million). The financial position remains sound, with total assets of ¥166,196 million, net assets of ¥125,435 million, and an equity ratio of 75.5%.
Growth Strategy
Aiming to become the industry leader through three pillars: business integration with Arclands, expansion of specialty store openings, and leveraging subsidiary synergies
A basic agreement was signed on April 14, 2026. A joint holding company will be established through a joint share transfer to pursue synergies such as consolidation of merchandise procurement, integration of customer bases, sharing of store development know-how, and IT system integration. The companies advocate a "specialty-store-cluster home center concept" and are also considering expanding partnerships with other home center companies that share this vision.
New formats have been rolled out successively, including Hondaya (opened its 7th store, the Yashio-Nishibukuro store, in January 2026), Joyful Honda Shizaikan (materials center; opened its 2nd store, the Chiba Hamano-cho store, in March 2026), and Pet's CLOVER (renovation of the pet specialty center at the Arakawaoki store). These efforts aim to drive demand for building materials and professional-use products and to differentiate the company's offerings.
In September 2025, the company acquired all shares of Honda Co., Ltd., making it a wholly owned subsidiary. Sales leveraging Honda's delivery capabilities and corporate customer base have contributed to boosting overall group sales scale. The shift to consolidated accounting has also improved the transparency of financial information. A negative goodwill gain of ¥1,940 million has already been recorded as extraordinary income.
In March 2026, three stores in Gunma Prefecture were selected as power supply recipients under the locally produced, locally consumed PPA "Gunma Model," introducing electricity with "zero greenhouse gas emissions." The company obtained a "B" score, equivalent to management level, in the CDP Climate Change questionnaire. Climate change has been positioned as a key management issue, and efforts toward realizing a circular society are being strengthened.
Last updated: July 17, 2026