Toell Co.,Ltd.

Business Details

In addition to LP gas and related equipment retail, wholesale, piping construction, safety management, and customer service, the company operates a Home Service business. Its strengths lie in cost competitiveness through a proprietary logistics system and customer relationships built through in-house delivery, pursuing a strategy of concentrating its customer base in the Kanto region to increase supply density. The company also promotes customer acquisition and expanded transactions through bundled sales of gas, water, electricity, and telecommunications under the "TOELL Lifeline Package." Amid the full enforcement of the revised ministerial ordinance aimed at correcting LP gas business practices, the company continues to provide stable supply at appropriate prices.

Recent Overview

Achieved profit growth despite lower revenue, as increased customer count offset the decline in selling prices caused by lower LP gas import prices

For the full year of FY2026 (ending April 2026), sales volume exceeded the prior period due to increased wholesale and comprehensive management transactions and strengthened bundle discount campaigns under the "TOELL Lifeline Package," with increased unit consumption from lower average winter temperatures also contributing. On the other hand, revenue was ¥20,279 million (down 1.8% year on year) due to lower selling prices resulting from LP gas import prices falling below the prior period level for the full year. In terms of profit, despite cost increases such as higher depreciation expenses from promoting ultrasonic meter installation for LP gas and acquiring large tanker trucks, segment profit increased to ¥2,169 million (up 8.1% year on year) due to an increase in the number of customers resulting from strengthened sales efforts.

Key Products

Growth Drivers

• Expansion of customer count and sales volume through increased wholesale and comprehensive management transactions and strengthened "TOELL Lifeline Package" bundle discount campaigns
• Improved logistics density and further efficiency through the introduction of large tanker trucks, etc. (next fiscal year revenue is projected at ¥22,530 million, up 11.1% year on year)
• Capturing disaster-preparedness demand through strengthened proposals for self-sustaining power source GHP air conditioners and LP gas emergency generators
• Cost competitiveness through a proprietary logistics system and strengthened customer relationships through in-house delivery
• Improvement of the competitive environment within the industry through sales at appropriate prices, against the backdrop of the full enforcement of the revised ministerial ordinance aimed at correcting LP gas business practices

Risks

• Risk of fluctuation in LP gas import prices: affected by international crude oil prices, Middle East geopolitical risk, and exchange rates, with the time lag in price revisions potentially affecting earnings
• Intensifying competition due to energy liberalization: rising customer acquisition costs due to excessive price-cutting competition including electricity and city gas
• Structural stagnation in gas demand due to population decline and the spread of energy-saving equipment
• Risk of rising logistics costs: increased depreciation expenses and personnel costs associated with capital investment such as the acquisition of large tanker trucks
• Climate change risk: rising average temperatures may reduce unit consumption, potentially affecting sales volume and earnings