TOHO CO.,LTD.
9602・Prime Market・Information & Communication
Business
Toho Co., Ltd. is a comprehensive entertainment company founded in 1932. It comprises four segments: the Movie Business (film distribution, theater operations, and visual content), the Theatrical Business (production and presentation centered on the Imperial Theater), the Real Estate Business (leasing, roads, and maintenance/management), and Others. The group operates through 47 consolidated subsidiaries and 4 equity-method affiliates, with principal revenue sources including film exhibition across 717 screens nationwide through TOHO Cinemas, IP development of animation through the TOHO animation label, theatrical production centered on the Imperial Theater, and real estate leasing in prime urban locations. Its main customers range from general consumers of movies and theater to real estate tenant companies and public institutions.
Business Model
The company plans and produces its own content IP in movies, animation, and theatrical productions, maximizing revenue through a multi-stage model spanning theatrical release → streaming/licensing rights → package and merchandise sales. While the Movie Business's operating profit of ¥50,807 million accounts for roughly 74% of the company's total, the Real Estate Business (operating profit of ¥16,826 million) functions as a stable earnings base less susceptible to economic fluctuations, complementing the volatility risk of the content business.
Company Strengths
In calendar year 2024, cumulative annual box office revenue for TOHO-distributed films exceeded ¥90 billion for the first time, achieving the highest-ever domestic market share of nearly 45%. The company's planning and distribution capability, continuously supplying around 30 films per year including major hits such as "Detective Conan: The Million-dollar Pentagram" and "Kingdom: The Flame of Destiny," is a key differentiator from competitors.
The company holds popular titles such as "Jujutsu Kaisen," "Haikyu!!," "My Hero Academia," "Frieren: Beyond Journey's End," "The Apothecary Diaries," and "Kaiju No. 8." Revenue from anime content licensing reached ¥33,881 million (up 16.1% year on year), monetized across multiple channels including domestic and overseas streaming, merchandising rights, and games. The company is well positioned to directly capture the growth phase in which the overseas market for Japanese anime has, for the first time, surpassed the domestic market.
As of the end of February 2025, the equity ratio stood at 73.3%, with net assets of ¥494,815 million. Interest-bearing debt (including lease liabilities) totaled ¥3,014 million, against cash and cash equivalents of ¥76,608 million, maintaining effectively debt-free management. The company has obtained an "AA-" rating from R&I, and sufficient funding capacity is secured relative to the approximately ¥160.0 billion in growth investment planned under the Medium-Term Management Plan 2028.
ENVALITH's Perspective
Performance Trend
Operating revenue grew for five consecutive periods, from ¥228,367 million (FY2022) to ¥360,663 million (FY2026), while operating profit also expanded from ¥39,948 million to ¥67,889 million. However, in Q1 of FY2027 (ending February 2027) (March–May 2026), while operating revenue increased to ¥88,742 million (up 4.6% year-on-year), operating profit fell sharply to ¥13,869 million (down 28.3% YoY), ordinary profit to ¥13,743 million (down 27.4% YoY), and profit attributable to owners of parent to ¥8,196 million (down 29.1% YoY), with all profit line items declining significantly. The main cause was a sharp drop in operating profit in the IP & Animation Business, which plunged 91.8% YoY to ¥520 million. The video-related business also saw operating profit decline 61.4% due to a reaction from a large-scale project in the same period of the previous year. The full-year forecast remains unchanged, but a recovery in the second half is essential. Comprehensive income also shrank significantly to ¥9,538 million (down 44.2% YoY).
Growth Strategy
Pursuing long-term growth centered on anime, overseas expansion, and digital under the Medium-Term Management Plan 2028
Effective March 1, 2026, TOHO CO., LTD. transferred its overseas licensing business for its film works and content to TOHO Global Co., Ltd. through a corporate split. The company is building a dedicated overseas operations framework to maximize revenue from global IP such as "Godzilla" and "Jujutsu Kaisen." The consolidation of Anime Limited (newly consolidated as one subsidiary) will further accelerate overseas expansion.
"TOHO Cinemas Oimachi" (8 screens) opened on March 28, 2026, expanding the nationwide screen count to 725 screens. Through new openings and renovations of existing theaters, the company will continue to pursue growth in moviegoer numbers (12,005 thousand in Q1, up 9.4% year on year) and expansion of box office revenue.
The company will continue production investment in popular anime IP such as "My Hero Academia," "Jujutsu Kaisen," and "Frieren: Beyond Journey's End," generating diversified revenue through domestic and overseas streaming, merchandising rights, and theatrical films. It is also promoting new product lines such as the "Godzilla Card Game" and expanding direct sales channels such as "Godzilla Store Hakata" (opened April 6, 2026).
Based on the "Medium-Term Management Plan 2028" formulated in April 2025, the company aims to expand earnings across its Movie, IP, Theatrical, and Real Estate businesses. The full-year forecast for FY2027 (ending February 2027) projects operating revenue of ¥345,000 million and operating income of ¥62,000 million (down 8.7% year on year), reflecting a temporary decline in profit, while aiming for long-term achievement of operating income of ¥75.0–100.0 billion by FY2032.
Last updated: July 17, 2026