Hakuyosha Company, Ltd.
9731・Standard Market・Services
Business
Hakuyosha Co., Ltd. was founded in 1906 and is a hygiene and cleaning services company listed on the Standard Market of the Tokyo Stock Exchange. The group, comprising 7 subsidiaries and 3 affiliated companies, operates four business segments: clothing cleaning services for individual consumers (Cleaning Business), rental of linens and uniforms with cleaning services for corporate customers (Rental Business), real estate leasing and management (Real Estate Business), and sales of cleaning machinery and supplies (Others). Its main customers range from individual consumers to corporations such as hotels, restaurants, food factories, and convenience stores, and it provides services through multiple channels including directly operated and franchise stores nationwide, the CLP pickup and delivery service, and parcel delivery. Consolidated net sales for FY2025 (ending December 2025) were ¥44,625 million.
Business Model
In the cleaning business, the company earns fee income from individual customers through multiple channels including stores, pickup/delivery, and home delivery. The rental business is a stock-type model that continuously supplies linen products and uniforms with cleaning service to corporate clients, achieving net sales of ¥27,055 million and a segment profit margin of 8.9%. The real estate business secures stable, high-margin earnings (segment profit margin of approximately 71%) through the leasing of properties held by the group. The structure is designed to maintain and expand production capacity through capital expenditure (¥1,421 million in FY2025 (ending December 2025)) while absorbing cost increases through price revisions.
Company Strengths
Since its founding in 1906, the company has provided hygiene-related lifestyle services to individuals and corporations for 120 years and is recognized as a leading company in the industry. It listed on the Tokyo Stock Exchange in 1949. It maintains its technology base by owning the Laundry Science Research Institute (Shimomaruko, Ota-ku, Tokyo) and continuing to invest ¥56 million in R&D expenses.
The rental business achieved net sales of ¥27,055 million (up 4.5% year on year) and segment profit of ¥2,402 million (up 12.5% year on year) in FY2025 (ending December 2025). Backed by the government's tourism-oriented national policy, expanding inbound demand drove strong performance in linen supply for hotels, and price revisions were also implemented to absorb cost increases.
The equity ratio at the end of FY2025 (ending December 2025) stood at 36.1%, achieving the medium-term management plan's (2024–2026) target of 30% or higher. Total net assets were ¥12,890 million (up ¥2,345 million year on year). Operating cash flow secured ¥2,954 million, funding capital expenditures of ¥1,421 million while increasing the cash balance to ¥1,543 million, up 17.3% year on year.
ENVALITH's Perspective
Performance Trend
Revenue grew for five consecutive fiscal years, from ¥35,131 million in FY2021 to ¥44,625 million in FY2025. Operating profit recovered from an operating loss of ¥2,907 million in FY2021 to operating profit of ¥2,397 million in FY2025, achieving profitability for four consecutive fiscal years. For the first quarter of FY2026 (ending December 2026) (January–March), revenue was ¥10,108 million (up 6.1% year on year), with an operating loss of ¥167 million (an improvement from a loss of ¥233 million in the same quarter of the previous year). The operating loss for the off-peak quarter was the smallest on record. As an external factor, expanding inbound demand driven by an increase in foreign visitors to Japan is driving the rental business. The full-year forecast remains unchanged, with revenue of ¥45,800 million, operating profit of ¥2,500 million, and net income of ¥2,450 million (up 14.8% year on year).
Growth Strategy
In FY2026 (ending December 2026), the final year of the medium-term management plan, the company aims to establish a sustainable growth trajectory through the completion of structural reform and improved profitability.
Promoting improvement of the cost structure through closure, relocation, and consolidation of unprofitable stores, along with a resource shift toward the CLP pickup and delivery channel. Combined with the effect of the April 2025 price revision, the segment loss for Q1 FY2026 was ¥410 million, an improvement of ¥79 million year on year. The trend of narrowing losses during the off-peak season is continuing.
In the linen supply division, the company is promoting thorough factory cost management, strengthening collaboration with operational partner companies, and negotiating price revisions with client hotels. In the uniform rental division, differentiation is being pursued through the use of ISO22000 certification and the establishment of a circular recycling scheme. Segment profit for Q1 FY2026 was strong at ¥770 million (up 17.1% year on year).
Against the backdrop of steady growth in app adoption rates, the company is promoting the expansion of customer touchpoints and improvement of profitability through digital channels. In the uniform rental division, new customer acquisition through digital marketing is also being advanced. This initiative simultaneously enhances customer convenience and guides customers toward higher-profitability channels.
Through the sale of owned fixed assets (a gain on sale of fixed assets of ¥1,179 million was recorded in Q1 FY2026) and the utilization of stable income from the real estate leasing business, the company aims to improve asset efficiency and strengthen its financial base. The equity ratio improved from 36.1% at the end of 2025 to 37.9% at the end of Q1 FY2026.
Last updated: July 17, 2026