Daiwa Motor Transportation Co., Ltd.
9082・Standard Market・Land Transportation
Business
Daiwa Motor Transportation is a long-established transportation operator founded in 1939 and listed on the Tokyo Stock Exchange in 1949. With 14 consolidated subsidiaries, the company is composed of four segments: the Passenger Automobile Transportation Business centered on taxis and hire cars (approximately 75% of revenue), the Real Estate Business operating rental income properties in the Tokyo suburbs and Kyoto, the Sales Business handling fuel, metal products, and other goods, and the Service & Maintenance Business providing cleaning and management services for golf courses and hotels. Its main customers include corporate hire car users, individual taxi users, and rental tenants. The company has a wide-ranging operating base from the special wards of Tokyo and the Buso area to the Tama area, and in December 2024 it expanded its business scale through the acquisition of Daiwa Motor Transportation Fuchu (formerly Jisen Kotsu).
Business Model
In the Passenger Automobile Transportation Business, the company is building up transportation revenue by improving driver utilization rates and leveraging the ride-hailing app "S.RIDE." In the Real Estate Business, the company earns stable rental income from Rental Income Properties (Residential/Commercial) in the Tokyo suburbs and Kyoto, boasting a high profitability with an operating margin of 60.4%. The Sales Business (fuel and metal products) and the Service & Maintenance Business provide complementary earnings, forming a structure that diversifies revenue across the group as a whole.
Company Strengths
The company maintains a wide-area business network spanning from the Tokyo special wards / Musashino-Sanpei area to the Tama area through multiple consolidated subsidiaries (Daiwa Motor Transportation Oji, Koto, Kichijoji, Tachikawa, Kitasenju, Fuchu, etc.). The December 2024 acquisition of Daiwa Motor Transportation Fuchu strengthened its foothold in the Tama area, laying the groundwork to benefit from the fare revision in the Tama area scheduled for March 2026.
The Real Estate Business, centered on rental income properties in the Tokyo suburbs and Shimogyo-ku, Kyoto City, Kyoto Prefecture, recorded net sales of ¥1,050 million and operating income of ¥634 million (margin of 60.4%) in FY2026 (ending March 2026). Construction in progress increased by ¥565 million from the end of the previous fiscal year to ¥624 million, and the foundation for revenue expansion is being established as new properties in Setagaya-ku and Koto-ku, Tokyo, come into operation.
As a long-established operator founded in 1939 and listed on the Tokyo Stock Exchange in 1949, the company has built long-term business relationships with major corporate hire car clients. Sales in the Hire Car Business segment reached ¥2,962 million (up 4.6% year on year), maintaining stable growth and steadily securing profit even amid rising costs. Business alliances with 23 member companies of the Shinwa Business Cooperative Association also support the depth of its dispatch network.
ENVALITH's Perspective
Performance Trend
Revenue grew for five consecutive fiscal years, rising from ¥15,271 million in FY2022 (ended March 2022) to ¥19,907 million in FY2026 (ending March 2026). Operating profit/loss continued to improve after bottoming out at ¥△466 million in FY2024 (ended March 2024), reaching a surplus of ¥384 million in FY2026 (ending March 2026). The increase in revenue was driven by the consolidation of Daiwa Motor Transportation Fuchu as a subsidiary, higher utilization rates resulting from driver recruitment efforts, and the fare revision in the Tama area in March 2026 (an external factor). Meanwhile, extraordinary losses of ¥146 million, including demolition costs associated with real estate redevelopment, were recorded, limiting net income attributable to owners of the parent to ¥222 million. Operating cash flow improved to ¥1,001 million from ¥549 million in the previous fiscal year, but cash and cash equivalents decreased to ¥3,130 million.
Growth Strategy
Under Mid-Term Management Plan 2027, the company is advancing profitability in the passenger transportation business, real estate development, and capital cost-conscious management.
The company aims to raise utilization rates and strengthen profitability in the passenger business through continuous recruitment activities and the acceptance of drivers from partner companies. In FY2026 (ending March 2026), the passenger business achieved an operating profit of ¥350 million, confirming a certain degree of success.
Fare revisions in the Tama area in March 2026 and in the Tokyo special wards/Busan area in April of the same year contributed to unit price improvement. From June 2026, the integration between S.RIDE and Uber is expected to increase usage among inbound travelers.
The acquired property in Setagaya Ward, Tokyo, and the property in Koto Ward completed in April 2026 are being brought into operation sequentially. As indicated by construction in progress of ¥624 million, the company continues development investment to enhance profitability in the Real Estate Business.
Given that profitability fell short of targets under the previous mid-term management plan, Mid-Term Management Plan 2027 focuses on management conscious of capital costs. The equity ratio improved from 30.7% to 32.2%.
Last updated: July 19, 2026