Mullion Co., Ltd.
3494・Standard Market・Real Estate
Business
Marion Co., Ltd. was founded in 1986 and owns and operates residential rental properties for single-person households in major cities centered on the greater Tokyo area, including Sapporo, Nagoya, and Kyoto. The business consists of a single segment comprising three services: (1) Real Estate Leasing Services (net sales of ¥1,195 million), (2) Real Estate Securitization Services (net sales of ¥347 million), and (3) Real Estate Sales (net sales of ¥1,701 million). The company obtained a license under the Act on Specified Joint Real Estate Ventures in 2004, and has progressively evolved its securitization products from Mullion Bond and Salaryman Bond to i-Bond. As of the end of September 2025, the company owned and managed 751 residential rental units in the greater Tokyo area, and is dually listed on the Standard Market of the Tokyo Stock Exchange, the Fukuoka Stock Exchange, and the Nagoya Stock Exchange.
Business Model
The company builds a stock-type revenue base by acquiring and holding rental real estate to earn rental income, while converting unrealized gains on held properties into flow income through timely disposals (Real Estate Sales). In addition, it raises funds from investors through anonymous partnership agreements based on the Act on Specified Joint Real Estate Ventures (balance of ¥4,953 million as of end-September 2025, 35.3% of total liabilities), and operates securitization services that distribute rental income to investors. This enables independent fundraising even in situations where financial institution loans are difficult to obtain, forming a circular business model that builds and maintains the real estate portfolio.
Company Strengths
As of the end of September 2025, 36.1% (271 units) of the 751 residential units leased in the greater Tokyo area were leased to Tokyo offices of local governments and similar entities. This has formed a customer base with excellent creditworthiness and stability, and relationships are maintained through value-added services such as lending household appliances and providing transportation to workplaces.
Since obtaining the Real Estate Specified Joint Enterprise Act license in 2004, the company has evolved its securitization products through Mullion Bond, Salaryman Bond, and i-Bond, securing an anonymous partnership deposit balance of ¥4,953 million (35.3% of total liabilities) as of the end of September 2025. This gives the company a proprietary funding base that enables real estate acquisitions even in situations where financial institution lending is difficult to obtain.
Revenue expanded approximately 1.8-fold, from ¥1,841 million in FY2021 to ¥3,254 million in FY2025. Operating profit grew approximately 3-fold over the same period, from ¥294 million to ¥874 million. In FY2025, the ordinary profit margin on revenue reached 20.4% (up 2.3 percentage points year on year), reflecting continued improvement in profitability.
ENVALITH's Perspective
Performance Trend
Financial trends over the past five fiscal periods showed sustained revenue growth, from ¥1,841 million (FY2021) to ¥3,254 million (FY2025), but the full-year forecast for FY2026 (ending September 2026) calls for revenue of ¥2,600 million (down 20.1% year on year), marking the first projected revenue decline. Results for the first half of FY2026 (ending September 2026) showed revenue of ¥787 million (up 1.7% year on year), operating profit of ¥181 million (up 12.2%), and net income for the interim period of ¥49 million (up 6.1%), securing both revenue and profit growth on a standalone first-half basis. While a decrease in cost of sales (from ¥372 million to ¥359 million year on year) improved the gross profit margin, an increase in selling, general and administrative expenses (from ¥239 million to ¥246 million) and higher interest expense (from ¥63 million to ¥77 million) held back growth in ordinary profit. As external factors, rising long-term interest rates, surging material costs, and higher real estate acquisition costs continue to pressure the earnings environment.
Growth Strategy
Maximizing occupancy rates of existing properties and enhancing securitization services through response to the Real Estate Specified Joint Enterprise Act Security Token framework
While carefully restraining new property acquisitions, management resources are concentrated on maintaining and improving occupancy rates of owned, subleased, and entrusted properties. In the first half of FY2026 (ending September 2026), Real Estate Leasing Services revenue of ¥563 million was recorded, maintaining a stable revenue base.
In response to the amended Financial Instruments and Exchange Act enforced in November 2024, the company is promoting security tokenization of i-Bond. The balance of anonymous partnership deposits expanded to ¥5,207 million as of the end of the first half of FY2026 (ending September 2026), advancing the strengthening of its proprietary fundraising base.
Pursuant to a resolution of the Board of Directors on May 12, 2026, 4 properties currently held and leased as fixed assets are scheduled to be reclassified as real estate for sale (current assets) effective September 30, 2026. The aim is to qualitatively improve the overall fixed-asset portfolio and enhance earning power, with contributions to performance expected from FY2027 (ending September 2027) onward.
Last updated: July 17, 2026