ENVALITH
南総通運株式会社 logo

NANSO Transport Co.,Ltd.

9034・Standard Market・Land Transportation

Official website
南総通運株式会社 logo
NANSO Transport Co.,Ltd.9034

Business

Nanso Transportation Co., Ltd. is a comprehensive logistics company founded in 1942 and headquartered in Togane City, Chiba Prefecture. The group comprises four companies including three subsidiaries: Nanso Sogyo, Nanso Construction, and Nanso Taxi. It operates a total logistics business built on three pillars: Motor Truck Transportation Business (operating revenue of ¥7,056 million), Warehousing Business (¥4,579 million), and Ancillary Business (¥3,685 million), while also engaging in Real Estate Business, Construction Business, passenger transportation, and Insurance Agency Business. Its major customers are food and manufacturing companies, led by Japan Foods Co., Ltd. (10.8% of sales). Listed on the TSE Standard Market.

Business Model

The company adopts a total logistics model that undertakes freight transportation, warehousing, and in-warehouse contract work (Ancillary Business) as an integrated package, starting from customers' factories and distribution centers. Leasing of self-owned real estate (operating margin of 66.4%) and the Warehousing Business (operating margin of 33.7%) function as high-profit sources, complementing the low margins of the transportation business, resulting in a multi-layered earnings structure. The in-house Construction Business within the Group also enhances cost efficiency by internalizing logistics infrastructure development.

Company Strengths

Warehousing Business's operating margin of 33.7% (segment profit of ¥1,541 million) and Real Estate Business's 66.4% (¥483 million) function as high-profitability revenue sources. The consolidated operating margin for FY2026 (ending March 2026) reached 12.2%, maintaining a stable profit level in the logistics industry amid ongoing increases in fuel and labor costs.

Through a total logistics strategy providing freight transportation, warehousing, and ancillary work on a one-stop basis, the company comprehensively undertakes customers' logistics operations. Transactions with Japan Foods expanded from ¥1,751 million in the previous fiscal year to ¥1,779 million in the current fiscal year, confirming ongoing deepening of relationships with major customers as a demonstrated track record.

The company holds fixed assets of ¥28,027 million (up 2.3% year on year), and during the current fiscal year newly acquired logistics land in Inashiki City, Ibaraki Prefecture, and a warehouse in Chosei Town, Chiba Prefecture. Rental income from company-owned real estate functions as a stable, fixed source of revenue, and long-term deposits received also increased from ¥398 million in the previous fiscal year to ¥433 million in the current fiscal year, confirming the maintenance of the customer base.

ENVALITH's Perspective

Operating profit for FY2026 (ending March 2026) is projected at ¥2,018 million, a mere 0.0% increase year on year, continuing the substantial flatness seen since FY2025 (ending March 2025) (which grew 3.1%). Operating expenses rose by ¥391 million to ¥13,569 million (from ¥13,178 million in the previous period), as elevated fuel costs and personnel expenses have remained high and constrained profit expansion. Against the target ordinary profit margin of 8%, the current period's figure of 12.3% (on an operating revenue basis) numerically exceeds the target; however, with crude oil prices and wage increases continuing as external factors, progress in price pass-through and maintaining warehouse utilization rates will be key to future profit growth.

Profit attributable to owners of parent for FY2026 (ending March 2026) is ¥1,352 million (versus ¥1,371 million in the previous period, down 1.3% year on year). The main causes of the profit decline are the disappearance of the ¥70 million gain on sale of investment securities (extraordinary income) recorded in the previous period, and an increase in total income taxes from ¥639 million to ¥663 million. Ordinary profit rose slightly to ¥2,028 million (up 0.1% year on year), indicating that the core business's earning power has been maintained. Impairment losses also decreased significantly, from ¥86 million to ¥13 million, suggesting that the decline in net income is attributable to one-time factors.

The company's forecast for FY2027 (ending March 2027) calls for operating revenue of ¥17,697 million (up 7.3% year on year), operating profit of ¥2,144 million (up 6.2%), and net income of ¥1,379 million (up 2.0%). While the full-year outlook anticipates both higher revenue and higher profit, the forecast for cumulative second-quarter operating profit is ¥1,114 million (down 4.9% year on year), indicating a projected decline in profit for the first half. With external factors such as rising crude oil prices due to conditions in the Middle East and risks from U.S. trade policy continuing, higher personnel costs stemming from the logistics industry's '2024 Problem' may put pressure on first-half profit. It should be noted that achieving the full-year targets is premised on a recovery in the second half.

Growth Strategy

Pursuing sustainable growth through expanded total logistics sales, DX promotion, and investment in logistics facilities.

Strengthening customer retention through the integrated provision of freight transportation, warehousing, and ancillary services. In the current fiscal year, Motor Truck Transportation Business (+7.4% revenue growth) and Warehousing Business (+4.2% revenue growth) expanded steadily. Operating revenue from Japan Foods also increased to ¥1,779 million, indicating progress in deepening relationships with key customers.

Logistics land was acquired during the current fiscal year, increasing the land balance to ¥16,697 million. Expenditure on acquisition of property, plant and equipment expanded to ¥1,777 million (¥1,463 million in the previous fiscal year). Construction in progress remains at ¥1,250 million, and revenue contribution is expected from the operation of new sites from the next fiscal year onward.

The company is promoting improved customer satisfaction and enhanced operational execution capability (on-site capability) through digitalization. Specific numerical disclosures are limited, but efforts to improve efficiency of in-warehouse operations appear to have contributed to the improvement in the profit margin of the Warehousing Business (from 33.4% in the previous fiscal year to 33.7% in the current fiscal year).

In response to rising personnel expenses and persistently high fuel costs associated with the logistics 2024 issue, the company is promoting price pass-through in freight rates and energy-saving measures such as thorough implementation of eco-driving and idling stop. In the current fiscal year, the effect of increased revenue absorbed the rise in costs, maintaining operating profit, but operating profit for the first half of FY2027 (ending March 2027) is forecast to decline 4.9% year-on-year, and this remains an ongoing challenge.

The annual dividend for FY2026 (ending March 2026) is ¥70 per share (a 40% increase from ¥50 in the previous fiscal year), with a payout ratio of 48.9%. For FY2027 (ending March 2027), the company plans a further increase to ¥80 per share (up 14%), with an expected payout ratio of 54.8%. The dividend-to-net-assets ratio has also risen to 2.9%, reflecting the concrete implementation of a policy that positions shareholder returns as an important priority.

Last updated: July 19, 2026