Haruyama Holdings

Basic Information

Stock Code
7416
Industry
Retail Industry
Category Detail
Apparel & Fashion Retailers
Prefecture
Okayama Prefecture
Establishment Year
November 1974
Listing Year
November 1994
Official Website
http://www.haruyama.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Vector Holdings, Hiraki, Japan Enterprise, Harbor Research Institute, Global Style, Konaka, Tak-Q, AOKI Holdings, Aoyama Shoji, Sakurajima Wharf, Forval Real Straight, KYC Holdings, Cox, Shokubun

Overview

Haruyama Holdings is a major men's suit specialty retailer founded in 1974, having established a solid position in the industry through nationwide suburban store expansion and diversified businesses.

Current Situation

Haruyama Holdings expects consolidated sales of 36.1 billion yen, operating profit of 625 million yen, and net profit of 670 million yen for the fiscal year ending March 2025, maintaining a stable financial base. Centered on its main men's suit specialty stores, it operates 452 stores nationwide with multiple brands such as P.S.FA and ForEl, catering to diverse customer segments. It has secured the No. 4 position in the industry through unique product lineups and targeted business expansions by customer segment. In recent years, it has advanced digital measures such as electronic money compatibility and online store openings. It strengthens its sports image through the JOC Official Partnership agreement, contributing to enhanced brand value. While no clear sustainability initiatives have been announced, the adoption of eco-friendly materials is anticipated. Moving forward, it plans to strengthen market competitiveness through efficient multi-store operations, new business formats, and improved product functionality. Under President Masafumi Haruyama, it is strategically pursuing capital efficiency improvements and investments in new growth areas.

Trivia

Interesting Facts

  • Origins in the 1974 establishment of Haruyama Chain in Kansai region.
  • P.S.FA Platinum popular in long-established department stores.
  • Guinness record for world's smallest suit.
  • JOC Official Partner supporting sports.
  • No capital ties with Haruyama Chain.
  • Point system drives repeat customers.
  • Operates MORIONE WORLD brand in Hokuriku region.
  • Operates large size specialty store 'ForEl'.
  • No. 4 in sales among men's suit mass retailers.
  • Online store launched since 2010.
  • Received recommendation from Fair Trade Commission in 2012.
  • Acquired Tete Homme business in 2014.
  • Ongoing diversification through multi-field brand expansion.
  • Operates collaboration stores with long-established department stores.
  • Significant portion of sales from suburban stores.

Hidden Connections

  • Agreement on trade name and trademark use between founder brothers' companies, operating independently.
  • Provides event attire through JOC Official Partnership.
  • P.S.FA Platinum store in Daimaru Umeda Store became a topic in department store circles.
  • Pioneered payment revolution with early adoption of Edy electronic money.
  • Sold former net cafe business to Eikura Co. to focus on apparel.
  • Positioned as market competitor to Global Style and Tak-Q.
  • Subsidiary Mori One deploys casual and business clothing in Hokuriku.
  • Maintains stable management base as family business led by multiple brothers.

Future Outlook

Growth Drivers

  • Strengthening store network centered on suburbs
  • Expansion of urban stores for younger demographics
  • Sales enhancement through EC and physical store integration
  • Market need response via multi-brand deployment
  • Expansion of corporate uniform business
  • Promotion of eco-friendly product development
  • Point system enhancement for customer loyalty
  • Operational efficiency via IT utilization
  • Expansion of sports brand image utilization
  • New business format research for new customer acquisition
  • Differentiation through multi-functional products
  • Exploration of overseas markets through information gathering

Strategic Goals

  • Maintain current suburban store count and maximize profits
  • Raise online sales ratio to 30%
  • Achieve 50% sustainable material usage ratio
  • Reach 10 billion yen annual sales in corporate uniform business
  • Improve brand awareness through JOC-related initiatives
  • Promote nationwide expansion of large size specialty brands
  • Continue energy-saving and environmental load reduction in stores
  • Deploy urban new formats for new customer acquisition
  • Expand custom order suit sales
  • Pursue customer satisfaction through enhanced staff expertise and service

Business Segments

Corporate Uniform Supply

Overview
Segment handling planning, manufacturing, and sales of uniforms and corporate attire.
Competitiveness
Achieves low lead times through diverse customization and mass production capabilities.
Customers
  • Corporate Uniform Departments
  • Hotels and Service Industries
  • Educational Corporations
  • Government Agencies
Products
  • Uniform Suits
  • Uniform Shirts
  • Custom-Made Suits
  • Uniform Accessories

OEM and Custom Apparel

Overview
Business providing OEM products and custom apparel for other companies' brands.
Competitiveness
High-quality OEM support through advanced cutting techniques and material procurement.
Customers
  • Other Apparel Companies
  • Brand Operators
  • Trade Show Participants
Products
  • Custom Order Suits
  • OEM Luxury Material Suits
  • Corporate Event Attire

Retail Store Support Services

Overview
Business providing operational support and training programs for sales stores.
Competitiveness
Abundant industry-specific know-how and IT utilization.
Customers
  • Directly Operated Store Divisions
  • Franchise Stores
  • Sales Agents
Products
  • Store Operation Know-How
  • Sales Staff Training
  • Inventory Management Systems

Competitive Advantage

Strengths

  • Nationwide suburban store network
  • Diverse brand portfolio
  • No. 4 market share in the industry
  • JOC Official Partnership agreement
  • Combination of abundant physical stores and online
  • Stable management as a family business
  • High customization capabilities
  • Long-standing brand trust
  • Product deployment by customer segment
  • Loyalty enhancement through point cards
  • Urban stores for younger demographics
  • Large size specialty business segment
  • Diversified businesses via subsidiaries
  • Introduction of advanced sales management systems
  • Robust network of 452 stores nationwide

Competitive Advantages

  • Captures broad customer base through both urban and suburban deployments
  • Precise response to diverse market needs via varied brands
  • Brand awareness expansion through official partnership with Japan Olympic Committee
  • Customer loyalty strengthening via proprietary point system
  • Market penetration via regional specialty stores operated by subsidiaries
  • Improved convenience with latest electronic money and EC systems
  • Flexible service system including full custom orders
  • Stable revenue from corporate uniform business as new source
  • Operation of inventory management and sales support systems suited to industry
  • Numerous customer touchpoints secured through extensive physical stores
  • Customer drawing power from convenience of suburban large stores
  • Customer need-based segmentation via multiple brands
  • Superior OEM capabilities in technology and material selection
  • Clear target demographics by brand
  • Enhanced sales staff training with in-house specialized organization

Threats

  • Shrinking domestic men's suit retail market
  • Shifts in demand due to casualization of fashion
  • Intense price competition with rivals
  • Increase in new entrants in EC market
  • Market contraction from population decline and aging
  • Risk of rising raw material and production costs
  • Unstable consumer trends due to weather or economy
  • Risk of reduced store traffic from novel infectious diseases
  • Delays in rapid response to diversifying customer needs
  • Brand image decline from delayed sustainability measures
  • Impact of exchange rate fluctuations on imported materials
  • Rising store opening costs from intensified location competition

Innovations

2023: Online Store Functionality Enhancement

Overview
Improved UI/UX of official EC site and point integration for better convenience.
Impact
EC sales increased 20% year-over-year.

2022: Electronic Money Compatibility Expansion

Overview
Introduced major electronic payment services to expand customer convenience.
Impact
Contributed to improved store payment convenience.

2021: Custom Order Suit System Introduction

Overview
Launched custom order system using latest measurement technology.
Impact
Order rate improved 15%, enhancing customer satisfaction.

2024: Brand Renewal

Overview
Refreshed marketing for P.S.FA targeting younger demographics.
Impact
Significant increase in young customer acquisition.

2020: Store Energy-Saving Equipment for CO2 Reduction

Overview
Deployed energy-saving LED lighting and air conditioning control systems in stores.
Impact
Reduced store operating costs by 10%.

Sustainability

  • Promotion of store energy conservation
  • Consideration of discarded clothing collection and recycling
  • Promotion of eco-friendly fabrics
  • Planned establishment of sustainable product planning team
  • Participation in environmental activities with local communities