Chuo Warehouse Co.,Ltd.

Business Details

Operates Warehousing (cargo storage, receiving/shipping, distribution processing, temperature/humidity-controlled storage, hazardous materials storage, trunk room services, etc.) and Transportation (freight forwarding and motor truck transportation). Serves diverse shippers centered on textile industry products and chemical industrial products, promoting expanded handling of recycled PET resin and other items, and strengthening the Mechanical & Engineering Services (Transport-related Operations) field (transport and installation of large/precision machinery). Affiliated companies participating include Chuo Warehouse Works Co., Ltd., UCS Co., Ltd., and Chusoh Rikuun Co., Ltd.

Recent Overview

Revenue increased slightly, but profit declined 1.1% year on year due to higher personnel and outsourcing costs, while investment in new facilities accelerated

Full-year segment operating revenue for FY2026 (ending March 2026) was ¥22,516 million (up 0.1% year on year), a marginal increase. Warehousing saw increased revenue of ¥7,872 million (up 0.4% year on year) due to pricing appropriateness measures. Meanwhile, Transportation handling volume fell to 2,096 thousand tons (down 5.3% year on year) due to decreased cargo movement and lower demand for recycled PET resin, with revenue of ¥14,446 million (down 0.0% year on year). Segment profit was ¥2,533 million (down 1.1% year on year) due to increased personnel costs from starting salary increases and base pay raises, as well as higher outsourcing expenses. Construction progress on the new warehouse in Ama City, Aichi Prefecture led to a substantial increase in construction in progress, with capital expenditure of ¥3,024 million, up approximately 35% year on year.

Key Products

Growth Drivers

• Continued expansion of handling volume for chemical industrial raw materials such as recycled PET resin, and expanded handling of imports such as general-purpose resins
• Strengthening of the Mechanical & Engineering Services division (transport and installation of large/precision machinery) through the new Mechanical & Engineering Section at the Shiga Branch, and increasing project volume
• Expansion of the logistics network through construction of a new logistics facility (under construction) in Ama City, Aichi Prefecture
• Expansion of domestic sales areas through the opening of the Nagoya Sales Office (scheduled to begin operations in February 2027) and expansion of Kyushu facilities
• Improved profitability through pricing appropriateness measures and increased cargo volume through new sales development

Risks

• Continued rise in personnel costs due to starting salary increases, base pay raises, and other factors
• Pressure on profitability from persistently high business costs such as fuel prices
• Decline in truck handling volume due to spending restraint and reduced cargo movement (down 5.3% year on year in FY2026, ending March 2026)
• Worsening shortage of truck drivers and warehouse workers, and increased costs to address this
• Increased upfront costs and depreciation associated with the start of operations at the new logistics facility (Ama City) and the opening of the Nagoya Sales Office
• Risk of fluctuation in demand for recycled PET resin (demand decline in the current period affected the Transportation business)