IDOM Inc.
7599・Prime Market・Wholesale Trade
Business
IDOM Inc., founded in 1994, is a TSE Prime-listed company whose core business is the purchase and sale of used cars under the "Gulliver" brand. Its primary sales channel is retail to general consumers through directly operated stores in Japan, and it also handles wholesale (for auto auctions) and sales of ancillary products. Through subsidiaries, the company also operates a leasing and rental business, software development, and used car trading in the United States. Japan's used car retail market is estimated at approximately ¥3.6 trillion, and the company's market share remains at around 6%, leaving significant room for further expansion. In FY2025 (ended February 2025), the number of vehicles sold at retail through domestic directly operated stores reached a record high of 149,003 units.
Business Model
The company earns revenue by purchasing used cars from consumers and retailing them to general consumers through directly operated stores. Pricing is set without assuming discounts, maintaining gross profit per retail unit while building up revenue through the sale of ancillary products such as warranties and insurance. Surplus inventory is wholesaled through auto auctions. The company is also promoting repeat customer acquisition through the expansion of maintenance and repair shops. Funding is based primarily on long-term borrowings, supporting a capital-intensive model that continuously invests in inventory and store openings.
Company Strengths
Since its founding in 1994, the company has developed used car purchasing and sales operations under the "Gulliver" brand, and was designated to the TSE First Section (now the Prime Market) in 2003. Retail unit sales of 149,003 vehicles at directly operated stores in Japan in FY2025 (ended February 2025) set a new record high. Its customer-drawing power and brand recognition as a major industry player form the foundation of its large-format store rollout strategy.
Through a combination of pricing that does not assume discounting and sales of ancillary products, gross profit per retail unit in FY2025 (ended February 2025) was maintained at a level above initial expectations. The company has set a target of ¥410,000–440,000 in gross profit per unit for FY2027 (ending February 2027), confirming that it is achieving both expansion in unit sales and maintenance of gross profit.
Driven by the maturation of large-format stores opened in the previous fiscal year and the contribution of newly opened large-format stores in the current fiscal year, FY2025 (ended February 2025) revenue reached ¥496,678 million (up 18.3% year on year) and operating profit reached ¥19,890 million (up 23.4% year on year), achieving both revenue and profit growth. Capital expenditure amounted to ¥8,612 million, and the company continues to open new directly operated stores.
ENVALITH's Perspective
Performance Trend
Revenue temporarily declined from ¥459,532 million in FY2022 to ¥416,514 million in FY2023, but has since continued an expansionary trend: ¥419,852 million in FY2024, ¥496,678 million in FY2025, and ¥562,774 million in FY2026. In Q1 of FY2027 (ending February 2027), revenue reached ¥159,614 million (up 15.5% year on year), indicating an accelerating pace of growth. Operating profit bottomed out at ¥16,117 million in FY2024, then recovered to ¥19,890 million in FY2025 and ¥20,209 million in FY2026, with Q1 FY2027 (ending February 2027) reaching ¥4,356 million (up 15.4% year on year). The full-year forecast stands at ¥24,000 million (up 21.7% year on year), pointing to further expansion. As an external factor, supply-demand conditions in the used car market remain firm, and the maturation of large-format store operations is supporting profit growth. On the other hand, it should be noted that a sharp increase in interest expenses (up 94% year on year to ¥468 million) is restraining growth in ordinary profit relative to operating profit.
Growth Strategy
Expanding revenue scale through four pillars: large-format store openings, maintenance shop development, DX investment, and expansion of the U.S. business
A strategy of continuing concentrated openings of large-format stores, expanding profit contribution as store operations mature. Domestic directly-operated retail unit sales in Q1 FY2027 (ending March 2027) reached a record high for a first quarter at 45,558 units, confirming the steady progress of large-format stores.
Strengthening customer touchpoints after purchase through the expansion of maintenance & repair shops, aiming to increase repeat purchases and maintenance revenue. Maintenance revenue in Q1 FY2027 (ending March 2027) steadily expanded to ¥4,976 million (up 18.2% from ¥4,210 million in the same period of the previous year).
Deepening the utilization of customer data through additional investment in CRM development, aiming to improve sales efficiency and maintain or increase gross profit per unit. Costs have been recorded from Q1 FY2027 (ending March 2027) onward, contributing to the increase in SG&A expenses, but medium- to long-term revenue contribution is expected.
Continuing to expand business scale in the U.S. used car market. Net sales in Q1 FY2027 (ending March 2027) maintained high growth at ¥2,716 million (up 61.9% year on year). Operating loss significantly improved to ¥32 million from a loss of ¥102 million in the same period of the previous year, moving closer to break-even.
Last updated: July 17, 2026