DAISYO CORPORATION
9979・Standard Market・Retail Trade
Business
Daisho Co., Ltd. was founded in 1971 and is a diversified business group centered on its restaurant business, which operates a nationwide chain of popular Japanese izakaya-style dining establishments—primarily "Shoya" and "Daisho Suisan"—concentrated in the Kanto region. This core business is combined with a wholesale/logistics business (fresh food wholesale and comprehensive logistics services for restaurants both within and outside the group), a real estate business (real estate leasing and subleasing), and an FC/VC business (franchise chain and voluntary chain member support). As of the end of FY2025 (ended August 2025), the company operated a total of 311 outlets, comprising 232 directly managed stores, 28 FC stores, and 51 VC stores. Guided by its corporate philosophy of "serving humanity's health and richness of spirit," the company is characterized by clear traceability of ingredient origins and its proprietary "Daisho Standard" for food safety management. The company is listed on the Standard Market of the Tokyo Stock Exchange.
Business Model
The food and beverage business (net sales of ¥23,785 million) serves as the core for customer acquisition and branding, while the wholesale and logistics business (net sales of ¥25,902 million) achieves economies of scale by simultaneously supplying ingredients to directly-operated and FC/VC stores and selling externally to outside restaurants. The real estate business (net sales of ¥1,625 million) secures stable income through the leasing and subleasing of company-owned properties, and the FC/VC business (net sales of ¥910 million) earns royalty and business rights usage fee income. Each business shares customers and infrastructure with the others, thereby diversifying the revenue base.
Company Strengths
The company operates two in-house specialized institutions, the "Food Hygiene Research Institute" and the "Daisho General Science Niigata Research Institute," conducting pesticide residue analysis, heavy metal checks, and radioactive contamination testing under its proprietary "Daisho Standards." By establishing clear origin traceability and a daily delivery system, the company differentiates itself from competitors in the mass-market Japanese dining (taishu kappo) business through food safety and reassurance.
The Wholesale and Logistics segment recorded net sales of ¥25,902 million in FY2025 (ending August 2025) (up 7.0% year on year), growing to a scale exceeding that of the Restaurant segment (¥23,785 million). Through collaboration with logistics subsidiary D.S. Logistics and fresh fish wholesale subsidiary Yonekawa Suisan, the company is expanding external sales to restaurants outside the group beyond internal group demand, building a revenue base less susceptible to fluctuations in the restaurant business.
After recording operating losses in FY2021 and FY2022 (ending August) of ¥-5,949 million and ¥-5,390 million respectively, the loss narrowed to ¥-461 million in FY2023, before turning to an operating profit of ¥1,000 million in FY2024, which then expanded to ¥1,196 million in FY2025 (up 19.6% year on year). Net sales also achieved two consecutive years of growth, rising from ¥45,495 million in FY2023 to ¥52,556 million in FY2025.
ENVALITH's Perspective
Performance Trend
From FY2021 to FY2025, the company turned around from a significant deficit caused by the COVID-19 pandemic to profitability, achieving consecutive years of revenue growth. In FY2025, the company recorded net sales of ¥52,556 million and operating income of ¥1,196 million. However, for the cumulative nine months of the third quarter of FY2026 (ending August 2026), while net sales increased to ¥39,939 million (up 1.2% year on year), maintaining revenue growth, profitability deteriorated significantly, with operating income of ¥881 million (down 16.7% year on year), ordinary income of ¥906 million (down 16.6% year on year), and net income attributable to owners of the parent of ¥649 million (down 41.7% year on year). External factors such as rising raw material costs, labor costs, and energy prices have pushed up the cost of sales ratio, causing gross profit to decline from ¥15,331 million in the same period of the previous year to ¥15,172 million. There has been no change to the full-year forecast (net sales of ¥53,700 million and operating income of ¥1,270 million), but the progress rate against the operating income forecast stood at only 69.4% through the cumulative third quarter, indicating that a recovery in the fourth quarter will be necessary to achieve the target.
Growth Strategy
Strengthening earning power through four pillars: restaurant renovation, expansion of external wholesale sales, DX promotion, and evolution of the VC system
Store renovations are being promoted with the aim of improving existing-store sales. In the cumulative nine months of FY2026 (ending August 2026), 11 stores were renovated. Existing-store sales achieved an increase year on year, indicating that the renovation effect is materializing to a certain extent.
Continued expansion of sales to external restaurants and other customers through comprehensive logistics services. External sales in the cumulative nine months of FY2026 (ending August 2026) reached ¥20,058 million (up 3.6% year on year), expanding steadily and contributing to the diversification of the group's overall revenue.
Promoting store system replacement, expansion of mobile/tablet ordering, EDI adoption, and utilization of RPA, among other initiatives. Efforts to strengthen customer acquisition through expanded digital marketing and web reservation acquisition are also underway in parallel.
Promoting the conversion of directly-managed stores to VC stores to achieve asset lightening while maintaining the brand network. In the cumulative nine months of FY2026 (ending August 2026), 2 stores were converted to VC. A VC network of 45 stores secures a base of royalty income.
Last updated: July 17, 2026