ENVALITH
株式会社トライアイズ logo

TriIs Incorporated

4840・Standard Market・Services

Official website
株式会社トライアイズ logo
TriIs Incorporated4840

Business

TryIZ Corporation originated as a software company founded in 1995 and is now a pure holding company overseeing four subsidiaries. Its main businesses consist of three pillars: (1) the Construction Consulting Business (for public institutions), handled by Crearia Co., Ltd., centered on water-related infrastructure such as dams and rivers; (2) the Fashion Brand Business, centered on licensing of the CLATHAS brand; and (3) the domestic real estate purchase & resale and development business (including Okinawa villa development). In FY2025 (ending December 2025), net sales were ¥1,424 million, with the Real Estate Investment Business accounting for 65% and growing into the group's largest segment. The company is listed on the Standard Market of the Tokyo Stock Exchange.

Business Model

The Construction Consulting Business earns order-based revenue from national and local government entities (order backlog of ¥404 million); the Fashion Brand Business earns license fee income from the CLATHAS brand (an asset-light model with segment assets close to zero); and the Real Estate Investment Business generates income through a purchase-and-resale cycle in which income-producing properties are acquired, value-enhanced over 6 months to 1 year, and then sold. Of the ¥926 million in real estate sales in FY2025 (ending December 2025), ¥822 million (88.9%) was sold to a single customer, Open House Real Estate Co., Ltd., indicating high customer concentration.

Company Strengths

Crearia Inc. specializes in dam life-extension planning and the disaster prevention & mitigation / erosion control fields, recording sales of ¥333 million (up 16.5% year on year) and an order backlog of ¥404 million for FY2025 (fiscal year ended December 2025). The company has secured highly recurring maintenance and renewal work as its core order base, while also accumulating a track record through its participation in Noto Peninsula earthquake recovery support.

Following the October 2025 sale of all shares in Hamano Leather Craft Co., Ltd., which cut off an unprofitable business, segment assets in the Fashion Brand Business fell to nearly zero, while operating profit improved to ¥25 million (up 67.1% year on year). The company has completed its transition to a high asset-efficiency model focused on licensing of the CLATHAS brand.

Cash and deposits at the end of FY2025 (fiscal year ended December 2025) stood at ¥3,293 million, accounting for 66.2% of total assets of ¥4,969 million. Even as operating cash flow showed an outflow of ¥849 million, proceeds from the sale of fixed assets of ¥919 million and new borrowings of ¥464 million led to an increase in cash and cash equivalents of ¥432 million year on year (to ¥3,257 million), maintaining a high level of on-hand liquidity.

ENVALITH's Perspective

Revenue for Q1 of FY2026 (ending December 2026) reached ¥174 million (up 148.0% year on year), marking substantial revenue growth. However, gross profit came to only ¥26 million (down 22.1% year on year), as gross profit on income-producing properties fell short of initial expectations and a provision for loss on construction contracts was recorded in the Construction Consulting Business. The cost of sales ratio reached approximately 85%, highlighting a structural challenge in which expanding revenue scale does not directly translate into improved profitability.

Since FY2021 (ended December 2021), operating losses and negative operating cash flow have occurred intermittently, and the full-year forecast for FY2026 (ending December 2026) also anticipates an operating loss of ¥22 million. While the company acknowledges the existence of conditions that raise doubt about its going-concern assumption, it has judged that no material uncertainty exists, citing cash and deposits of ¥3,571 million as grounds. Nevertheless, the structure in which increases in inventory assets from real estate investment activities squeeze operating cash flow remains unchanged, and investors need to continue monitoring the pace of cash consumption.

In the same period of the previous fiscal year, a foreign exchange gain of ¥152 million associated with a paid-in capital reduction at an overseas consolidated subsidiary was the main driver behind ordinary profit of ¥95 million. In the current Q1, however, the scale of the paid-in capital reduction shrank, limiting the foreign exchange gain to ¥46 million, resulting in an ordinary loss of ¥39 million. Should external factors such as continued yen appreciation or the depletion of overseas subsidiaries' capacity for further paid-in capital reductions materialize, this non-operating income buffer would disappear, risking a further deterioration in ordinary profit/loss. Achieving the full-year earnings forecast (ordinary loss of ¥5 million) hinges on the recognition of a ¥145 million gain from the transfer of CLATHAS trademark rights from Q2 onward, meaning the feasibility of the forecast depends heavily on subsequent events.

Growth Strategy

Aiming for operating profitability through expansion of the real estate purchase & resale business, utilization of gains from trademark rights transfer, and strengthening of construction consulting personnel

Policy of concentrating management resources from overseas investment to domestic investment, narrowing focus to projects expected to generate investment returns exceeding the cost of capital. In Q1 of FY2026 (ending December 2026), recorded net sales of ¥149 million and operating profit of ¥26 million, achieving substantial increases in both revenue and profit year on year. Improvement in operating cash flow through reduction of inventory assets is also being pursued in parallel.

Board resolution on May 14, 2026; contract expected to be concluded on May 15; trademark rights transfer scheduled for June 30. A transfer price of ¥150 million and transfer gain of ¥145 million are scheduled to be recorded as extraordinary income in Q2. Following the trademark rights transfer, the company will specialize in acquiring new sales channels, while Fungrees will handle digital content creation and licensee support, aiming to enhance brand value through this division of roles.

Against the backdrop of growing social demand in the fields of disaster prevention & mitigation and national resilience, the company is promoting the acquisition of highly recurring work centered on maintenance and equipment renewal operations in the dam, river, and erosion control sectors. In Q1, net sales rose sharply to ¥16 million (up 612.9% year on year), but the operating loss widened to ¥33 million due to factors including the recording of provisions for losses on contracts. Monetization through project completion from Q2 onward remains a challenge.

Board resolution on May 14, 2026; issuance of 5,054 units (covering 505,400 shares) to two directors. Exercise conditions set high performance targets, including consolidated net sales of ¥10 billion or more, operating profit turning positive (for two or more periods), annual dividends of ¥100 million or more (for two or more periods), and market capitalization of ¥25 billion or more (sustained for six consecutive months), clearly demonstrating commitment to medium- to long-term corporate value enhancement.

Last updated: July 17, 2026