SEMBA CORPORATION
6540・Standard Market・Services
Business
SEMBA CORPORATION, founded in 1962, is a specialized interior and space design company operating under a single segment, the Commercial Environment Creation Business. Across a wide range of spatial domains—including commercial facilities (specialty stores, department stores, shopping centers), offices and showrooms, and hotel, education, medical, and infrastructure facilities—the company provides integrated services spanning research and analysis, planning and consulting, design, supervision and construction, and Space Production Leveraging Digital Technology. Domestically, it operates through six locations nationwide (Hokkaido, Tohoku, Kansai, Chubu, Kyushu, and the head office), and overseas it has consolidated subsidiaries in Taiwan, Singapore, China, Vietnam, and Malaysia, giving it construction capabilities across Asia. Its major clients span a wide range, including major distribution and commercial facility operators such as the AEON Group, as well as general corporations undertaking office relocations and renovations.
Business Model
A build-to-order business model in which the company receives orders from clients and handles planning, design, construction, and supervision on an integrated basis. Construction costs are the main cost item, and the company maintains a debt-free financial structure, funding operations from its own capital through the collection of sales proceeds. Market fields are managed under three categories—"Specialty Stores," "Large-Scale Stores & Complex Commercial Facilities," and "Offices and Leisure Facilities, etc."—and the company aims to improve profit margins by capturing high-value-added projects. The operating margin for FY2025 (ending December 2025) reached 7.0%.
Company Strengths
The company has consolidated subsidiaries in Taiwan, Singapore, China, Vietnam, and Malaysia, giving it construction capabilities across Asia. Overseas sales in FY2025 (ending December 2025) were ¥3,944 million (110.9% year-on-year), with a long-term large-scale development project in Taiwan continuing to progress. Since 1987, the company has progressively built a system capable of supporting overseas store openings by domestic companies and capturing large-scale local development projects.
The company has an integrated system covering research and analysis, planning and consulting, design, supervision and construction, and space production leveraging digital technology. Domestically, it operates six locations—Hokkaido, Tohoku, Kansai, Chubu, Kyushu, and the head office—enabling it to handle large-scale nationwide projects. With the addition of urban environment design and landscape design provided by its subsidiary Nonscale Inc., the breadth of its service offerings is a key differentiator from competitors.
As of the end of FY2025 (ending December 2025), the equity ratio stood at 65.9%, with net assets of ¥14,589 million and cash and cash equivalents of ¥9,149 million. The company continues to operate on its own funds without relying on interest-bearing debt, and with an order backlog of ¥8,429 million (up 29.0% year-on-year), it has a stable order base that supports expected revenue recognition in future periods.
ENVALITH's Perspective
Performance Trend
From FY2021 to FY2025, revenue grew from ¥19,271 million to ¥32,832 million, and operating profit grew from ¥463 million to ¥2,305 million, achieving five consecutive years of revenue and profit growth. However, in Q1 FY2026 (January–March 2026), revenue was ¥7,485 million (down 1.5% year-on-year), operating profit was ¥417 million (down 24.4%), ordinary profit was ¥467 million (down 16.0%), and quarterly net profit was ¥311 million (down 17.7%), with all indicators falling below the same period of the previous year. Gross profit rose slightly (¥1,492 million), but the main cause was an increase in SG&A expenses (¥1,074 million, up 14.7% year-on-year) associated with organizational reinforcement and headcount increases. As an external factor, rising labor costs, energy prices, and raw material costs are further squeezing profitability. The full-year earnings forecast (revenue of ¥37,000 million, operating profit of ¥2,350 million) remains unchanged.
Growth Strategy
Advancing five themes under the Medium-Term Management Plan 2025–, focused on human capital, global expansion, and service diversification
Actively strengthening the organizational structure and increasing headcount. The increase in SG&A expenses in Q1 FY2026 (up 14.7% year-on-year) directly reflects this effort, and is positioned as an upfront investment aimed at future order expansion and enhanced proposal capabilities.
Overseas sales are expanding, driven mainly by a large-scale, long-term development project in Taiwan. Overseas sales in Q1 FY2026 grew sharply to ¥997 million (138.3% year-on-year), with project acquisition progressing through the utilization of the network across five Asian countries.
Promoting expansion beyond commercial facilities into offices, hotels, leisure facilities, government facilities, department stores, and large-scale mixed-use facilities. In Q1 FY2026, the company also secured domestic projects in office-related facilities, leisure facilities, government facilities, and department stores.
Strengthening profitability management and stabilizing the supply chain amid an external environment marked by labor shortages and rising energy and raw material costs. Fund efficiency is being maintained through management of accounts payable and utilization of contract liabilities (contract liabilities of ¥1,369 million as of the end of Q1 FY2026).
Aiming to gain enthusiastic supporters through the provision of value to all stakeholders, including clients. Shareholder returns are also being further strengthened, with the annual dividend forecast for FY2026 (ending December 2026) set at ¥78 per share (an increase from ¥76 in the previous fiscal year).
Last updated: July 17, 2026