Nagoya Railroad Co., Ltd.
9048・Prime Market・Land Transportation
Transportation Business
Core segment of the Meitetsu Group. Operates railways, buses, and taxis
| Period | Current | Previous | Change |
|---|---|---|---|
| Operating revenue (segment total) | ¥178,272 million | ¥159,825 million | ↑ |
| Operating income | ¥21,803 million | ¥19,602 million | ↑ |
| Segment assets | ¥614,540 million | ¥573,396 million | ↑ |
| Depreciation and amortization | ¥21,054 million | ¥18,666 million | ↑ |
| Increase in property, plant and equipment and intangible assets (capital expenditure) | ¥44,418 million | ¥35,504 million | ↑ |
| Railway Business operating revenue | ¥101,450 million | ¥97,910 million | ↑ |
| Railway Business operating income | ¥15,296 million | ¥15,418 million | ↓ |
| Bus Business operating revenue | ¥55,476 million | ¥42,120 million | ↑ |
| Bus Business operating income | ¥5,136 million | ¥3,550 million | ↑ |
| Taxi Business operating revenue | ¥23,506 million | ¥21,936 million | ↑ |
| Taxi Business operating income | ¥1,118 million | ¥492 million | ↑ |
Business Details
Comprises Nagoya Railroad Co., Ltd. (railway), Toyohashi Railroad Co., Ltd., bus companies under Meitetsu Group Bus Holdings Co., Ltd. (including the Miyagi Kotsu Group), and taxi companies under Meitetsu Taxi Holdings Co., Ltd. Provides a public transportation network centered on Aichi, Gifu, and Miyagi, serving as the foundational segment that supports the enhancement of value along the Group's rail lines. External customer operating revenue for FY2026 (ending March 2026) was ¥175,331 million, the largest among all segments.
Recent Overview
Achieved higher revenue and profit driven by the Miyagi Kotsu Group contribution and increased railway ridership
In the Transportation Business for FY2026 (ending March 2026), the full-year contribution of revenue from the Miyagi Kotsu Group, consolidated in the prior period, in the Bus Business, combined with increased railway ridership, drove operating revenue to ¥178,272 million (up 11.5% year on year) and operating income to ¥21,803 million (up 11.2% year on year), representing higher revenue and profit. Although personnel expenses and depreciation increased, this was offset by the revenue increase. The Railway Business alone saw a slight decline in operating income (¥15,296 million, down 0.8% year on year) due to increased depreciation and other factors. Capital expenditure rose 25% year on year to ¥44,418 million, with large-scale investments such as elevated railway construction and new rolling stock continuing. From FY2027 (ending March 2027), the segment classification will be reorganized from 7 segments to 5 segments, with the Transportation Business continuing to be maintained as an independent segment.
Key Products
Growth Drivers
- Revenue expansion from increased railway ridership
- Expansion of business scale through consolidation of the Miyagi Kotsu Group (substantial increase in Bus Business revenue)
- Improved profitability in the Taxi Business (operating income up 127.2% year on year)
- Revenue diversification through new businesses such as the start of contracted operation of Nagoya City's SRT
- Demand development through the high-value-added bus tour brand "Yusan"
- Improved convenience and demand stimulation through digitalization, including expanded functions of the MaaS app "CentX" and introduction of new ticket vending machines
Risks
- Cost increase pressure from rising personnel expenses and depreciation (Railway Business operating income declined slightly)
- Continued and expanding financial burden from large-scale capital expenditure such as elevated railway construction (¥44,418 million)
- Long-term risk of declining transportation demand due to population decline and aging society with fewer children
- Labor shortage risk in securing drivers and other personnel in the Bus and Taxi Businesses
- Risk of rising operating costs, including fuel costs, due to surging resource prices and inflation
- Risk of demand downside due to unstable international conditions and insufficient recovery in personal consumption
Last updated: June 24, 2026