Atom

Basic Information

Stock Code
7412
Industry
Retail
Category Detail
Restaurants
Prefecture
Aichi Prefecture
Establishment Year
January 1972
Listing Year
November 1994
Official Website
https://www.atom-corp.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Uoki, Kura Sushi, Choshimaru, Chimney, FOOD & LIFE COMPANIES, Kappa Create, Uoriki, Colowide, Genki Global Dining Concepts, KOZO HOLDINGS

Overview

Atom is a major food service company headquartered in Aichi Prefecture, founded in 1972, operating as a subsidiary of Colowide and engaging in diversified restaurant businesses.

Current Situation

Atom achieved consolidated sales of approximately 49.6 billion yen and operating profit of 1.1 billion yen in the fiscal year ended March 2020, but posted a net loss. It primarily operates conveyor belt sushi, yakiniku, and steak restaurants in the Chubu region, northern Kanto, and Tohoku areas, with sales bases centered on the Tokai and Tohoku regions of the Colowide Group. Its businesses are diversified, including izakaya and karaoke boxes. In recent years, it abolished its in-house company system to improve management efficiency and implemented organizational reforms such as relocating its head office from Nagoya to Yokohama. Leveraging its brand strength to address a wide range of dining needs, it is focusing on revenue improvement through new business formats and service enhancements. It utilizes group synergies for sustainable growth while strengthening its customer base through region-specific expansion. Key challenges include eliminating net losses and enhancing ingredient cost management. Going forward, it aims to expand its revenue base through digitalization initiatives and new store opening strategies.

Trivia

Interesting Facts

  • Atom Boy was a conveyor belt sushi chain that once expanded to nearly 300 stores.
  • Abolished in-house company system in 2011 to streamline organization.
  • Under Colowide, focuses on multi-faceted operations centered on Tohoku, northern Kanto, and Tokai regions.
  • Has licensing agreement for Astro Boy character for brand deployment.
  • Positions head office and branches in Nagoya and Yokohama for community-based management.
  • Operates not only restaurants but also karaoke boxes.
  • Owns many restaurant brands including Katsu Toki and Ganko En.
  • Relocated head office to Nishi Ward, Yokohama City in 2021.
  • Absorbed former Jikuto business to strengthen Tohoku area expansion.
  • Positioned as Colowide Group's Tokai region operating subsidiary.
  • Transferred shares of subsidiary Atom Hokkaido to Rains International in 2020.
  • Introduced policy allowing free hair color for part-time workers.
  • One of the constituent stocks in the TOP20 of the Tokyo Stock Exchange Standard Market.
  • Karaoke businesses like Karaoke Jiyuukan are progressing steadily.
  • Multi-format restaurant complex deployment serves as differentiation factor in regions.

Hidden Connections

  • Licensed Astro Boy character usage through contract with Nippon Television Music.
  • Strong business foundation in Tokai and Tohoku regions through synergy with Colowide.
  • Expanded store network in Tohoku region through absorption and merger of former Jikuto.
  • Restructured Hokkaido operations within group via subsidiary share transfer.
  • Atom Boy brand name originated from joint management history with another Kyoto-based company.
  • Multi-faceted operations in collaboration with Jikuto, which operated izakaya and steak houses.
  • Main shareholder Colowide holds over 53%, contributing to management stability.
  • Placing head office in Yokohama Landmark Tower to enhance brand image.

Future Outlook

Growth Drivers

  • Store expansion in densely populated areas of Chubu, Tohoku, and northern Kanto
  • Flexible response to market changes through brand diversification
  • Enhanced management efficiency through collaboration with Colowide Group
  • Revenue improvement via digital ordering and business DX
  • Customer trust building through local sourcing and community-focused initiatives
  • Development of new formats and services for younger demographics
  • Improved social evaluation through food waste reduction and environmental measures
  • New content introduction in karaoke box business
  • Expansion of consumer demand accompanying recovery in dining-out industry
  • Service quality improvement through higher employee satisfaction
  • Pursuit of scale merits through multi-store expansion
  • Strengthened differentiation strategies against intensifying competition

Strategic Goals

  • Achieve business profit black ink and establish stable revenue base
  • Strengthen competitiveness through maximization of group synergies
  • Brand strengthening via region-specific store expansion
  • Customer base expansion through format diversification
  • Improve business efficiency and customer experience via DX
  • Sustainable store operations and reduced environmental impact
  • Promote employee diversity and create comfortable work environment
  • Deepen CSR activities in collaboration with local communities
  • Advance initiatives toward zero food waste
  • Expand karaoke business revenue and strengthen content

Business Segments

Restaurant Operations

Overview
Operations of multiple formats including conveyor sushi, yakiniku, steak, and izakaya stores.
Competitiveness
Scale advantages from multiple formats and regional partnerships
Customers
  • Customers in dining areas
  • Local governments
  • Event organizers
Products
  • Store operation management
  • Food provision
  • Customer service

Food Service External Sales

Overview
Stable revenue from B2B expansion of diverse meal provision services.
Competitiveness
Wide-area deployment and adaptability to diverse food cultures
Customers
  • Event venues
  • School lunch providers
  • Corporate welfare
Products
  • Catering
  • School lunch services
  • Event meal provision

Karaoke Equipment and Content Provision

Overview
Provision of equipment and content associated with karaoke box operations.
Competitiveness
Synergy with Colowide Group
Customers
  • Own karaoke stores
  • Other karaoke operators
Products
  • Network karaoke terminals
  • Music and video delivery

Product Development Support

Overview
Planning and prototyping support services for restaurant products.
Competitiveness
High responsiveness from extensive experience
Customers
  • New restaurant brands
  • Existing stores
Products
  • Menu planning
  • Product prototyping
  • Marketing research

Competitive Advantage

Strengths

  • Stable revenue from diversified restaurant businesses
  • Strong backing from Colowide Group
  • Solid sales base in Chubu, northern Kanto, and Tohoku regions
  • Broad market coverage through diverse brands and formats
  • Abundant know-how in employee management and store operations

Competitive Advantages

  • Strength of region-focused strategy against nationwide competitors
  • Risk diversification through operation of diverse restaurant formats
  • Cost reductions utilizing intra-group synergies
  • Strong trust and customer base from established brands
  • Added value creation through integration with karaoke business

Threats

  • Intensifying competition in the dining-out industry
  • Rising costs due to fluctuations in raw material prices
  • Impacts from social risks such as new infectious diseases
  • Labor shortages and rising personnel costs
  • Emergence of new formats and services from competitors

Innovations

2024: Introduction of Digital Ordering System

Overview
Deployed tablet-based ordering system in stores.
Impact
Achieved improved customer convenience and operational efficiency.

2023: Launch of New Family Restaurant Format

Overview
Developed new casual dining stores targeting low-price segment.
Impact
Expanded new customer base, especially among younger demographics.

2022: Menu Development Using Local Ingredients

Overview
Introduced seasonal limited menus featuring local ingredients.
Impact
Contributed to stronger regional ties and store differentiation.

2021: Enhancement of Karaoke Jiyuukan Network

Overview
Promoted expansion of network karaoke content library.
Impact
Improved customer satisfaction and repeat visit rates.

2020: DX Promotion for Store Operation Efficiency

Overview
Upgraded POS systems and introduced business efficiency tools.
Impact
Achieved optimized staffing and cost reductions.

Sustainability

  • Promotion of local sourcing to reduce ingredient transportation
  • Strengthened efforts to reduce food waste
  • Introduction of energy-saving equipment to lower environmental impact
  • CSR activities aimed at coexistence with local communities
  • Promotion of employee health management and work-life balance
  • Resource conservation through paperless operations
  • Consideration of sustainable ingredient selection
  • Reduction of plastic products and strengthened recycling
  • Promotion of diverse work styles
  • Improved customer satisfaction through enhanced safety management