Tokyo Century Corporation
8439・Prime Market・Other Financing Business
Domestic Lease Business
Core domestic leasing and finance business covering a diverse range of equipment types
| Period | Current | Previous | Change |
|---|---|---|---|
| Revenue (full year) | ¥462,066 million | ¥449,116 million | ↑ |
| Segment profit (full year) | ¥22,810 million | ¥22,836 million | — |
| Segment assets | ¥1,308,493 million | ¥1,274,955 million | ↑ |
| Depreciation expense (full year) | ¥18,912 million | ¥17,595 million | ↑ |
| Equity in earnings of affiliates | ¥10,410 million | ¥7,408 million | ↑ |
| ROA (segment profit ÷ segment assets) | 1.7% | 1.8% | ↓ |
Business Details
Provides leasing and finance (loans and equity investments) and ancillary services for information and communication equipment, office equipment, industrial machine tools, transportation equipment, and commercial/service industry facilities, among others. The company is enhancing profitability by adding maintenance, communication, and other services to improve convenience, and is also developing a joint investment business with partners, centered on NTT Finance Lease Co., Ltd. (NTL), a joint venture with the NTT Group. Segment assets remain stable at approximately ¥1,308.5 billion, underpinning a solid business foundation.
Recent Overview
NTL achieved record profit; equity in earnings of affiliates surged 40.5% year on year
In FY2026 (ending March 2026), Domestic Lease Business revenue increased ¥12,950 million (2.9%) year on year to ¥462,066 million, while segment profit was nearly flat, decreasing ¥26 million (0.1%) year on year to ¥22,810 million. NTT Finance Lease Co., Ltd. (NTL) offset the increase in funding costs from rising yen interest rates and achieved record profit, with equity in earnings of affiliates rising significantly to ¥10,410 million (versus ¥7,408 million in the prior period). New initiatives in the decarbonization solutions field also progressed, including the conclusion of a "Collaboration Agreement for Realizing Regional Decarbonization" with Higashihiroshima City, Hiroshima Prefecture. Segment assets increased ¥33,538 million (2.6%) from the prior fiscal year-end to ¥1,308,493 million.
Key Products
Growth Drivers
- Expansion of equity in earnings of affiliates through strengthening NTT Group-related businesses, such as financing for overseas data centers, at NTT Finance Lease Co., Ltd. (NTL)
- Expansion into growth fields through enhanced co-creation and partner collaboration between the company and NTL in the environment, real estate, and education fields
- Improving profitability trend through the addition of maintenance, communication, and other services
- Capturing customer DX demand through the "Modernization Finance Service" with Fujitsu and FLCS
- Acquiring new renewable energy-related demand through the "FIT Power Sales Guarantee Service" with Omron FE
- Providing regional decarbonization solutions through collaboration with local governments and partner companies (e.g., collaboration agreement with Higashihiroshima City)
Risks
- Increased funding cost burden due to rising yen interest rates (impacting the leasing business overall, including NTL)
- Increased personnel expenses due to wage increases
- Risk of the disappearance of one-time gains at NTT Finance Lease Co., Ltd.
- Risk of fluctuation in allowance for doubtful accounts (uncertainty in receivables valuation)
- Risk of fluctuation in capital expenditure demand as digitalization and labor-saving investments plateau
- Risk of narrowing spreads due to intensifying price competition with competitors
Last updated: June 19, 2026