Kimuratan

Basic Information

Stock Code
8107
Industry
Textile Products
Category Detail
Apparel & Fashion Retailers
Prefecture
Hyogo Prefecture
Establishment Year
December 1964
Listing Year
August 1974
Official Website
https://www.kimuratan.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Orto P, TB Group, Nishimatsuya Chain, RISE, Narumiya International

Overview

Kimuratan is a major apparel specialist in baby and children's clothing based in Hyogo Prefecture and founded in 1964, developing diversified businesses and community-based childcare operations.

Current Situation

Kimuratan recorded consolidated sales of approximately 4.273 billion yen for the fiscal year ended March 2022 but turned to an operating loss of 564 million yen. It is concentrating management resources on its core baby and children's clothing manufacturing and sales, withdrawing from conventional IT-related businesses to pursue business selection and concentration. It also operates nurseries and real estate leasing through subsidiaries to strengthen stable revenue bases. In recent years, it has withdrawn from the Chinese market, focusing instead on growth in domestic and real estate businesses. It is expanding its customer base through brand reforms and strengthened online sales. As community-based social contribution activities, it promotes child-rearing support, aiming for business reconstruction and future growth. It has implemented a capital reduction as part of its capital policy to improve financial health. It shows enthusiasm for management team refreshment, with expectations for constructing new business models.

Trivia

Interesting Facts

  • Company name derives from founder's name 'Kimura Tan'.
  • Once entered IT-related business and handled electronic equipment.
  • First in Japan to launch child-rearing generation mobile SNS 'Mama Search'.
  • Acquired real estate company in Sakai City, Osaka Prefecture, as subsidiary.
  • Rare apparel firm with nursery operations in group businesses.
  • History of moving from TSE First Section to Standard Market.
  • Liquidated Chinese local corporation and withdrew from China market.
  • Total issued shares exceed 18.4 billion, exceptionally high.

Hidden Connections

  • Had stock transaction with Opt Co., Ltd. during IT business withdrawal.
  • Nursery business collaborates with regional child-rearing support groups.
  • Group conducts cross-management of apparel manufacturing/sales and real estate leasing.
  • Pursuing management refresh via brand name changes and subsidiary renamings.
  • History of moving from Osaka Exchange Section 1 to TSE Section 1, then to Standard Market.
  • Ownership structure significantly involves manager Hiroshi Kiyokawa.
  • Built strong foundation in Japan's children's clothing market for specific customer segments.
  • Kimuratan mail-order site available on Rakuten Market and Yahoo! as well.

Future Outlook

Growth Drivers

  • Brand strengthening in domestic niche baby and children's clothing market.
  • Sales expansion using EC and direct sales channels.
  • Stable demand from domestic nursery business.
  • Revenue base expansion via real estate leasing.
  • Customer loyalty through strengthened community-based services.
  • Younger demographic development via new brand creation.
  • Environmental response through sustainable material adoption.
  • Promotion of digital marketing utilization.
  • Risk dispersion through diversified management.
  • Advancement of financial health via management reforms.

Strategic Goals

  • Enter top 5 domestic share in children's clothing market.
  • Expand EC channel sales ratio to over 30%.
  • Increase nursery network to 10 or more facilities.
  • Achieve over 50% product ratio using sustainable materials.
  • Maintain ongoing operating profit black ink for entire group.
  • Achieve 20% sales from new business areas.
  • Enhance brand value through strengthened regional community ties.
  • Establish employee satisfaction improvement programs.
  • Stabilize earnings through optimized business portfolio.
  • Improve shareholder returns and capital efficiency.

Business Segments

Apparel OEM and Manufacturing

Overview
Supports revenue through own-brand product manufacturing and OEM supply.
Competitiveness
Quality-focused domestic integrated production system
Customers
  • Children's clothing specialty stores
  • Department stores
  • Specialty chains
  • Overseas wholesalers
Products
  • Baby clothes manufacturing
  • Children's clothes manufacturing
  • Apparel ODM services

Nursery Operation Services

Overview
Contributes to society through safe and secure childcare services.
Competitiveness
Community-based operational capabilities
Customers
  • Local child-rearing families
  • Municipalities
  • Corporate welfare
Products
  • Nursery service operations
  • Child-rearing support programs

Real Estate Leasing and Sales

Overview
Supports group financial base with stable leasing income.
Competitiveness
Locally rooted real estate management
Customers
  • Small and medium enterprises offices
  • Store owners
  • Investors
Products
  • Property leasing management
  • Real estate sales

Competitive Advantage

Strengths

  • Brand strength specialized in baby and children's clothing
  • Community-based childcare service operations
  • Revenue structure stabilization through diversification
  • Industry knowledge and expertise from long history
  • Customer contact expansion via official mail-order and EC strengthening
  • Reform mindset toward maintaining solid financial position

Competitive Advantages

  • Strength in niche children's clothing market
  • Synergistic effects from group-integrated nursery operations
  • Stable customer base centered on eastern Kansai region
  • Enhanced appeal to younger demographics through new brand launches
  • In-house control from manufacturing to sales
  • Access to broad customer segments via online sales
  • Presence of stable major shareholders in ownership structure
  • Revenue diversification and risk dispersion via real estate business

Threats

  • Risk of shrinking children's clothing market due to declining birthrate
  • Intensifying price competition with rivals
  • Cost increases from rising raw material textile prices
  • Challenges in responding to diversifying consumer needs
  • Risk of consumption decline due to economic fluctuations
  • Fierce competition in online market
  • Rising nursery operation costs due to labor shortages
  • Impact of political and economic factors from overseas market withdrawal

Innovations

2022: Mixage Bis Launch via Brand Reorganization

Overview
Refreshed the previous BOBSON brand and launched a new children's clothing brand.
Impact
Successfully acquired younger customers, with expectations for sales growth.

2021: Official Mail-Order Site Strengthening for EC Expansion

Overview
Significantly expanded online sales channels to improve customer convenience.
Impact
EC ratio increased to over 15% of total sales.

Sustainability

  • Fabric recycling and waste reduction efforts
  • Expansion of eco-material adoption
  • Promotion of energy-saving store operations
  • Ongoing regional child-rearing support activities
  • Employee work-life improvement measures