teno.Holdings Company Limited
7037・Standard Market・Services
Business
TENO.Holdings Co., Ltd. is a pure holding company with the Purpose of "creating a society at ease through the warmth of hands." In its core Childcare Business, it operates 66 licensed nurseries, 129 contracted nurseries, and 79 after-school childcare centers nationwide, while its Nursing Care Business runs 27 facilities covering elderly care and welfare for people with disabilities. As part of its Life Support Business, it also operates 55 cooking classes and a small-amount, short-term insurance business, bringing the group's total to 396 facilities under operation. Under its management philosophy of "supporting women's life stages," the group operates as a comprehensive household services group that provides childcare, nursing care, and household support in an integrated manner.
Business Model
In the Childcare Business, which accounts for approximately 75% of revenue, the business is structured around two pillars: licensed nurseries, whose main income comes from public pricing (subsidies) from municipalities and fees borne by parents, and contracted childcare/after-school childcare centers, which earn operation fees from companies, hospitals, and municipalities. The Nursing Care Business generates revenue from nursing care fees and facility usage fees. By accumulating the number of facilities, the company has built a stable, stock-type revenue base, with facility expansion through a combination of M&A and new openings serving as the main driver of sales growth.
Company Strengths
As of the end of December 2025, the company operated a total of 396 facilities, comprising 314 childcare facilities, 27 nursing care facilities, and 55 cooking schools. Operations are dispersed across the Greater Tokyo, Kyushu, and Kansai/Tokai areas, with after-school childcare centers expanding rapidly by 32 facilities in the current period to a cumulative 79 facilities. The accumulation of facilities is forming a stock-type revenue base.
In FY2025 (ended December 2025), Childcare Business sales were ¥13,624 million (up 11.6% year on year), and segment profit was ¥1,236 million (up 48.3% year on year). The revision of the officially set price for licensed nurseries directly boosted revenue, resulting in profit growth that exceeded the increase in cost of sales. The segment profit margin reached approximately 9.1%.
The company has pursued aggressive M&A, including making Hisho Aishokai Co., Ltd. a subsidiary in January 2025. Nursing Care Business sales expanded rapidly to ¥1,963 million (up 72.8% year on year), and segment profit/loss turned positive to ¥51 million from a loss of ¥65 million in the previous period. The effort to build a "second pillar" of business has begun to show concrete results.
ENVALITH's Perspective
Performance Trend
Revenue rose for five consecutive years, from ¥11,455 million in FY2021 to ¥18,129 million in FY2025. Operating profit remained sluggish at ¥154 million in FY2022, ¥187 million in FY2023, and ¥196 million in FY2024, before staging a V-shaped recovery to ¥631 million in FY2025. In Q1 of the fiscal year ending December 2026, the company posted a strong start with revenue of ¥4,584 million (+4.5% YoY), operating profit of ¥225 million (+80.4% YoY), and EBITDA of ¥348 million (+41.9% YoY). However, this includes a temporary factor from the earlier-than-usual timing of the government-set price settlement in the Childcare Business. Full-year guidance remains unchanged at revenue of ¥19,500 million (+7.6% YoY) and operating profit of ¥645 million (+2.2% YoY). On the external environment front, rising prices, surging energy costs, and higher labor costs are creating cost-side headwinds, while the treatment improvement allowance associated with the revision of government-set prices is providing a tailwind on the revenue side.
Growth Strategy
Aiming for sustainable growth through improved childcare quality, establishing nursing care as a second pillar, and promoting AI/DX under tenoVISION2030
The formulation of the company's proprietary "childcare method" is largely complete, and efforts are underway to establish a framework for disseminating it across all 311 childcare facilities. In parallel, preparations are being made to establish an acceptance system for the full-scale implementation of the "Childcare System for All Children" (Kodomo Daredemo Tsuen Seido) in April 2026. The company aims to strengthen its revenue base through improved occupancy rates and unit price improvements.
A DX project has been launched to address the chronic labor shortage in the labor-intensive childcare and nursing care industries. Through accelerated ICT utilization at childcare sites and the introduction of technologies such as nursing care robots and monitoring sensors, the company aims to achieve both operational efficiency and improved service quality.
With the aim of securing and retaining human resources, which are the source of sustainable growth, the group has formulated its own "credo." The company is promoting the development of an organizational culture in which frontline staff can experience a sense of fulfillment at work, aiming to address chronic labor shortages and reduce recruitment costs by lowering turnover rates.
Nursing care business revenue is on an upward trend, driven by improved occupancy rates at newly opened facilities (the Hopper no Ie series) and the effect of the business transfer of disability welfare facilities. The acquisition of shares in Kodomo First Japan Co., Ltd. has been postponed from the originally planned acquisition date of April 1, 2026, due to unfulfilled procedural requirements on the seller's side. The company plans to announce a new acquisition date once determined.
In preparation for the Employment for Skill Development System (a new system that abolishes and progressively replaces the former Technical Intern Training Program), scheduled to begin in April 2027, the company is advancing preparations to establish a system for accepting foreign workers in the nursing care business. The aim is to secure a long-term workforce at nursing care sites facing severe labor shortages.
Last updated: July 17, 2026