ENVALITH
株式会社銀座ルノアール logo

GINZA RENOIR CO.,LTD

9853・Standard Market・Retail Trade

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株式会社銀座ルノアール logo
GINZA RENOIR CO.,LTD9853

Business

Ginza Renoir Co., Ltd. is a long-established company founded in 1964, having built its coffee shop business starting with its first store in Nihonbashi, Tokyo. It currently operates 103 directly-managed stores (102 stores by the Company and 1 store by a consolidated subsidiary) mainly in the greater Tokyo metropolitan area, under multiple brands including "Kissa Renoir" (Renoir Coffee House), "New Yorker's Cafe," "Cafe Miyama," and "Cafe Renoir." Its main customers are business professionals and those seeking rest or business-meeting venues in urban areas, and the company's corporate philosophy is to provide spacious, comfortable environments and high-quality hospitality services. Listed on the Standard Market of the Tokyo Stock Exchange.

Business Model

A directly-operated store model in which beverage and food sales at physical stores account for the vast majority of revenue (¥8,312 million, 99.6% of the total). Rent, personnel costs, and cost of goods sold are the primary costs, and profitability is driven by the precision of site selection and the efficiency of staff allocation. Working capital is funded through internal funds and short-term borrowings from financial institutions, while capital expenditure is allocated to new store openings and format changes. The company also operates some stores as a franchisee of Chateraise.

Company Strengths

Since its founding in 1964, the company has continuously operated coffee shops mainly in central Tokyo, and as of the end of March 2026 held a directly-managed network of 103 stores. Its long track record of store openings has yielded location-selection expertise, and its concentrated deployment in business districts and near stations has built a stable customer base.

The company operates multiple brands centered on its flagship "Kissaten Renoir" (Renoir Coffee Shop), including "New Yorker's Cafe," "Cafe Miyama," and "Cafe Renoir." It has also implemented format conversions (e.g., Cafe Miyama Shibuya Center-gai store → Shibuya Center-gai store), establishing a system capable of flexible store operations tailored to location characteristics and customer needs.

As of the end of FY2026 (ending March 2026), the equity ratio stood at 56.2% (up 4.3 points year on year), with net assets of ¥3,245 million and cash and cash equivalents of ¥1,861 million. Interest-bearing debt stood at ¥1,533 million, below the level of on-hand liquidity, indicating the company has the financial capacity to fund new store openings from its own resources.

ENVALITH's Perspective

In FY2026 (ending March 2026), net sales reached ¥8,347 million (up 7.0% year on year), operating profit reached ¥195 million (up 137.8%), and net income attributable to owners of the parent was ¥159 million, marking the first net income surplus since the COVID-19 pandemic. External factors such as improved income environment from wage hikes and expanding inbound demand provided tailwinds, but the operating margin remained at only 2.3%, with absolute profit levels still thin. Achieving the FY2027 (ending March 2027) operating profit forecast of ¥399 million (up 104.2%) will be the litmus test for margin improvement.

Impairment losses in FY2026 (ending March 2026) increased to ¥203 million (versus ¥154 million in the prior fiscal year), an excessive level relative to net income before income taxes of ¥96 million. A net final profit was secured through a ¥95 million negative adjustment to income taxes (recognition of deferred tax assets), but underlying earnings power remains limited. The continued recognition of impairment losses on underperforming stores indicates an urgent need to improve the precision of store opening strategy and strengthen profitability management of existing stores.

The company's forecast for FY2027 (ending March 2027) calls for net sales of ¥8,609 million (up 3.1%), operating profit of ¥399 million (up 104.2%), and net income of ¥416 million (up 160.3%), a plan implying net income more than 2.6 times that of the current fiscal year. Amid continued external headwinds such as persistently high raw material costs, rising labor costs, and difficulty securing personnel, this represents a plan for substantial profit growth even as salaries and allowances (¥2,664 million in FY2026, ending March 2026) are expected to increase further; balancing cost management with sales growth will determine whether this is achievable.

Growth Strategy

Profit structure reform through accelerated store openings for "Kissaten Renoir," expansion in the Tokyo metropolitan area, and expense reduction

The company is expanding its store network mainly in the Tokyo metropolitan area, having newly opened New Yorker's Cafe Shimbashi Shiodome Exit Ekimae store in April 2025 and Kichijoji Minamiguchi Ekimae store in July. The policy is to expand sales scale by concentrating store openings near train stations to secure stable customer traffic.

In April 2025, Cafe Miyama Shibuya Center-gai store underwent a format change and was renewed as Shibuya Center-gai store, and in February 2026, the Kannai Ekimae store was closed. The company aims to improve the profitability of its store portfolio by streamlining unprofitable locations.

Amid external headwinds such as labor recruitment difficulties and rising personnel costs, the company continues to implement more efficient staff allocation. In FY2026 (ending March 2026), other SG&A expenses decreased by ¥33 million year on year to ¥1,948 million, with cost reduction effects partially materializing. Cost management will be key to achieving operating profit of ¥399 million in FY2027 (ending March 2027).

In order to capture improving income conditions from wage increases and expanding inbound demand, the company continues to provide higher-quality products and enrich its hospitality-focused services. It aims to stabilize its earnings base through higher average customer spending and maintenance of existing store sales.

Last updated: July 19, 2026