SHINGAKUKAI HOLDINGS CO., LTD.
9760・Standard Market・Services
Business
Shingakukai Holdings Co., Ltd. is a Hokkaido-based holding company established in 1976 (its predecessor, Hokudai Gakuryoku Zoshinkai, was founded in 1972). In its core education-related business, Shingakukai Co., Ltd. and Hama Shingakukai Co., Ltd. operate group and individual instruction cram schools centered on public high school entrance exam preparation. In the sports business, the company operates Sports Club Zip across three facilities in Sapporo City. The real estate business handles condominium leasing and sales as well as classroom facility management, while in the fund management business, SG Soken Co., Ltd. conducts securities investment operations. The group has a unique earnings structure, with the fund management business accounting for approximately 54% of group net sales of ¥6,705 million.
Business Model
The education-related business is based on monthly tuition and course fee income from students, while the sports business is based on monthly membership fee income from members. The real estate business generates stable profit through leasing and selling group-owned properties (segment profit of ¥365 million in FY2026 (ending March 2026)). The fund management business, in which SG Soken Co., Ltd. buys, sells, and holds securities, recorded net sales of ¥3,634 million, but its performance structure is heavily influenced by fluctuations in the stock market.
Company Strengths
Real estate business, the group's only profitable segment, recorded sales of ¥1,302 million (up 66.0% year on year) and segment profit of ¥365 million (up 3.2% year on year) in FY2026 (ending March 2026). The promotion of sales of real estate held for sale and tenant leasing by Hokushin Building Development Co., Ltd., established in April 2024, has been successful, and the segment functions as a stable source of profit that absorbs the group's overall losses to a certain extent.
In October 2017, the company concluded a capital and business alliance with Gakken Holdings Co., Ltd. and Johnan Preparatory School Co., Ltd. The alliance aims to share know-how on teaching methods, teaching material development, and recruitment activities, and is also utilized to strengthen the individualized tutoring segment. The alliance with Johnan Preparatory School Co., Ltd. continues with automatic annual renewal, establishing a mechanism to maintain competitiveness through the use of external resources.
Starting with the completion of the Obihiro Head Office Building in 1984, the company owns multiple company-owned buildings including Sapporo Head Office, Sapporo West, Sapporo North, Sapporo South, Sapporo East, and Muroran. By operating cram school classrooms and sports club facilities in its own properties, the company suppresses rent fluctuation risk, and retains the flexibility to repurpose properties for the real estate business when closing or relocating unprofitable locations.
ENVALITH's Perspective
Performance Trend
Revenue for FY2026 (ending March 2026) reached ¥6,705 million (up 7.4% year on year), securing an increase in sales. However, at SG Research Co., Ltd., a sharp stock market decline at the end of March (the Nikkei average fell more than 7,000 points from the end of February) triggered valuation losses on securities, causing cost of sales to swell to ¥7,699 million (versus ¥6,073 million in the prior period). As a result, the company posted a gross loss of ¥994 million. Operating loss expanded significantly to ¥1,526 million (versus ¥439 million in the prior period), and net loss attributable to owners of the parent widened substantially to ¥1,799 million (versus ¥567 million in the prior period). Looking at the trend over the past five periods, after posting revenue of ¥13,846 million and an operating loss of ¥9,585 million in FY2022 (ending March 2022), the company scaled down its operations through business restructuring. The loss temporarily narrowed in FY2025 (ending March 2025), but in FY2026 the loss widened again due to deteriorating market conditions in the fund management business. For FY2027 (ending March 2027), the company forecasts a return to profitability with revenue of ¥5,100 million and operating income of ¥50 million, though it expects an operating loss of ¥450 million in the first half.
Growth Strategy
Aiming for comprehensive profitability improvement through strengthening private tutoring in education, closing unprofitable facilities, and monetizing real estate
The private tutoring segment achieved year-on-year growth in both student numbers and sales in FY2026 (ending March 2026). While continuing to relocate or close unprofitable head offices and facilities, the company will actively establish and relocate facilities in areas with promising customer demand, pursuing simultaneous growth in student numbers and improvement in earnings. The loss narrowed from ¥226 million in the previous fiscal year to ¥122 million.
Through Hokushin Building Development Co., Ltd. (established in April 2024), the company promoted the sale of properties for sale and encouraged tenant leasing, resulting in real estate business sales of ¥1,301 million in FY2026 (ending March 2026), up 66.0% year on year, and segment profit of ¥365 million. In FY2027 (ending March 2027), the company will continue leasing and selling idle properties to further expand profits.
SG Soken Co., Ltd. recorded a valuation loss on securities in FY2026 (ending March 2026), resulting in a segment loss of ¥1,455 million. The company has stated its intention to review its investment policy and investment targets ahead of FY2027 (ending March 2027), aiming to strengthen risk management and stabilize earnings. Specific details of the review have not been disclosed.
The company is considering entering new fields where revenue growth is expected. While specific fields and schemes have not been disclosed, it is exploring areas expected to generate synergies with its existing education, real estate, and sports businesses.
Last updated: July 19, 2026