Investor Relations

To Our Shareholders

During the third quarter cumulative period of fiscal 2017 (ending December 31, 2017), the mainstay self-storage business continued to grow steadily. Net sales amounted to ¥15,350 million, with ordinary income of ¥1,751 million, and net income of ¥1,162 million.

By segment, the Property Management Service business, which operates Hello Storage, the leading brand in the rental storage space industry, and Hello Rental Meeting Rooms, recorded revenues of ¥13,873 million. The Property Revitalization & Liquidation Service business, dealing in land rights for lease-land properties, which is less susceptible to market conditions, had revenues of ¥1,476 million. Both segments achieved steady growth compared to the same period of the previous fiscal year, with gains in both revenue and earnings.

The mainstay storage business is steadily expanding, with the number of units under management increasing by 7,622 compared to the end of the previous fiscal year, for a total of 78,273 units. With the aim of future expansion in market share, we developed a new type of storage property with accompanying land to expand the range for new customers and investors. We also developed collaboration properties featuring the popular Hello Kitty character, and in May 2016 launched a contracted storage management business to provide tenant recruitment and guarantee services for self-storage properties owned by other companies. Through such measures, we will continue to enhance our product appeal and further strengthen our brand power, as well as bolster our structure for efficient location openings and customer acquisition, with the aim of stimulating increased awareness among end users, and accelerating the pace and precision for location openings.

In terms of the financial condition, Arealink continues to build a sound and stable foundation. We will continue to focus on cash flow in our business management, invest for the future, and provide a high level of returns to shareholders.

Going forward, to meet the expectations of shareholders and investors, we will enhance our corporate value by maintaining strong growth founded on a stable rental storage business. We hope that you are enjoying growing together with Arealink, and thank you for your continued support.

October 27, 2017

Naomichi Hayashi
President & CEO
Arealink Co., Ltd