Kanagawa Chuo Kotsu
Basic Information
- Stock Code
- 9081
- Industry
- Land Transport Industry
- Category Detail
- Land Transportation
- Prefecture
- Kanagawa Prefecture
- Establishment Year
- June 1921
- Listing Year
- May 1949
- Official Website
- https://www.kanachu.co.jp/
- TSE Information
- TSE Information
- Yahoo! Finance
- Yahoo! Finance
- Other Companies
- Mie Kotsu Group Holdings, Nippon Shikizai, Kaji Tec, Sotetsu HD, Niigata Kotsu, Daiichi Kotsu Sangyo, Yamato Jidosha Kotsu, Shinji Bus, Hokkaido Chuo Bus
Overview
Kanagawa Chuo Kotsu is Japan's largest dedicated bus operator founded in 1921 and a member of the Odakyu Group, supporting transportation infrastructure primarily in Kanagawa Prefecture.
Current Situation
Kanagawa Chuo Kotsu recorded consolidated sales of 112.7 billion yen for the fiscal year ended March 2020, making it one of the leading companies in the land transport industry. Its main route buses operate approximately 700 routes, supporting the transportation network in the Tama area, Kanagawa, and southern Tokyo. It promotes innovative services such as the introduction of articulated buses and one-man operation with sorting tickets, and thoroughly implements pointing-and-calling for crew accident prevention. It pioneered late-night express buses and overnight highway buses, and also operates highway and airport shuttle buses. In recent years, it has been proactive in bus autonomous driving demonstration experiments and the introduction of environmentally friendly vehicles, aiming for collaboration with local communities and the development of sustainable transportation. It owns subsidiaries such as Kanachu Tourism and Kanachu Taxi, engages in multifaceted transportation and service businesses, and plans to improve business efficiency through the absorption merger of three group companies in 2025.
Trivia
Interesting Facts
- One of Japan's largest dedicated bus companies.
- First in Japan to introduce sorting ticket one-man bus for multi-section fares in 1962.
- One of the first companies to introduce articulated buses in Japan.
- Pioneer in introducing environmental commuter passes and Snoopy Bus operations.
- Has thoroughly implemented pointing-and-calling for crew since 1976, contributing to safe operations.
- Known for having the highest number of retired vehicle donations in Japan.
- Contributed to improved convenience through early introduction of bus location systems.
- Introduced bicycle rack-equipped buses as a first in Japan.
- Long-term provider of commuter transport for Tama New Town.
- Experimental company that has pursued efficiency through diverse regional subsidiaries and reorganizations.
Hidden Connections
- Equity-method affiliate of Odakyu Electric Railway with close management ties.
- Company that utilized Snoopy copyrights for environmental campaigns.
- Participates in autonomous bus demonstration experiments in collaboration with local universities and governments.
- Unique group structure formed by absorbing five former Kanakō Bus companies.
- Bus card introduction pioneered nationwide interoperability of regional transportation IC cards.
- Extensive domestic and international donations of retired vehicles contribute to local public transport.
- Plays role in maintaining licenses for depopulated local routes, meeting administrative expectations.
- Once had buses with rare rear-hinged front doors.
Future Outlook
Growth Drivers
- Operational efficiency through practical implementation of autonomous bus technology
- Strengthened environmental response via electric and hybrid vehicle introductions
- Maintaining and expanding public transport demand in aging society
- Synergistic effects from strengthened ties with Odakyu Group
- Improved convenience through widespread multi-section and diverse fare systems
- New service development through collaborations with regional communities
- Flexible response to societal changes post-COVID-19
- Reorganization and diversification of tourist and airport shuttle bus services
- Diversification and stabilization of revenue from automobile sales and related businesses
- Enhanced corporate value through contributions to regional society and environment
- Strengthened customer services via IT and digital technologies
- Business risk management in response to regulatory changes
Strategic Goals
- Maximize operational efficiency through full group integration
- Achieve over 70% electrification/hybridization of all routes
- Begin introduction of autonomous buses on regular routes
- Sustainably secure proportion of license-maintained regional transport routes
- Full普及 of smart fare systems
- Achieve 50% increase in environmental commuter pass users
- Achieve zero accidents and strengthen safe driving training
- Maximize regional contributions through public transport promotion
- Expand and diversify in-house group automobile sales business
- Strengthen governance and improve transparency for sustainable management
Business Segments
Public Transportation Service Outsourcing
- Overview
- Contracted to operate diverse routes to maintain regional transportation.
- Competitiveness
- Operations expertise backed by extensive route network and track record
- Customers
-
- Local governments
- Municipal bodies
- Transportation administrative agencies
- Products
-
- Route bus operations
- Community bus operations
- Operations management contracting
Chartered and Tourist Buses
- Overview
- Meets diverse user needs with a variety of chartered transportation services.
- Competitiveness
- Contract operations with high safety and service levels
- Customers
-
- Corporations
- Schools
- Tourist organizations
- Event organizers
- Products
-
- Tourist chartered buses
- Event transportation
- Shuttle bus operations
Autonomous Driving Technology Demonstrations and Customer Services
- Overview
- Contributes to next-generation transportation technology development and regional revitalization.
- Competitiveness
- Track record in demonstration experiments through strengthened public-academic collaborations
- Customers
-
- Local governments
- Universities
- Research institutions
- Products
-
- Autonomous bus demonstrations
- Technology development collaborations
- Service programs
Automobile and Bus-Related Sales Services
- Overview
- Leverages group strengths to expand vehicle sales and maintenance business.
- Competitiveness
- Integrated supply system and local sales network
- Customers
-
- Retailers
- Maintenance businesses
- Products
-
- New car sales
- Maintenance parts procurement
- Maintenance services
Competitive Advantage
Strengths
- Expertise as one of Japan's largest dedicated bus operators
- Strong capital and business ties with the Odakyu Group
- Ownership of extensive and diverse route network
- Pioneer of innovative fare collection systems
- Community-focused service deployment
- Proactive stance on introducing latest technologies
- Abundant vehicle assets and maintenance capabilities
- Local responsiveness through numerous sales offices
- Initiatives for environmentally friendly transportation measures
- Precise operations management and accident prevention system
Competitive Advantages
- Brand power as Japan's largest dedicated bus operator
- Pioneer in operating articulated buses and other large vehicles
- First in Japan to introduce sorting ticket one-man operation for multi-section fares
- High safety awareness and thorough pointing-and-calling operations management
- Stable revenue from broad public transportation services
- Contribution to advanced mobility through autonomous driving demonstrations
- Utilization of Odakyu Group's resources and technologies
- Diverse sales channels and regional communications
- Specialized demand in inter-regional and airport shuttle buses
- Realization of diverse services tailored to customer needs
Threats
- Declining users due to regional population decrease and aging society
- Shrinking public transport demand from increasing car usage
- Risk of rising operational costs from fuel price fluctuations
- Challenges in securing personnel due to driver shortages and changing work environments
- Increasing social constraints from regulations and fare revisions
- Intensifying competition from new transportation services
- Operational risks from disasters and pandemics
- Profitability issues in local routes
- Risk of delays in practical implementation of autonomous driving technology
- Increasing costs for environmental regulation compliance
Innovations
2024: Introduction of domestically produced hybrid articulated bus
- Overview
- Deployed Hino 'Blue Ribbon Hybrid Articulated Bus' on routes in Yokohama's Totsuka Ward.
- Impact
- Achieves both exhaust gas reduction and enhanced mass transportation capacity.
2023: Introduction of new color design buses
- Overview
- Gradually rolling out new paint scheme themed on harmony designed by Kiyoyuki Okuyama.
- Impact
- Enhances regional brand recognition.
2022: Expansion of autonomous bus demonstration experiments
- Overview
- Conducted experimental operations of autonomous vehicles in Yokohama's Sakae Ward, Keio University Shonan Fujisawa Campus, and Hiratsuka City.
- Impact
- Promotes development of future technologies to reduce driver burden and improve traffic safety.
2021: Introduction of amount-based IC commuter passes
- Overview
- Revamped commuter pass system to amount-based for improved usability.
- Impact
- Expected increase in commuter pass users due to enhanced convenience.
2020: Enhanced introduction of electronic announcement displays
- Overview
- Installed digital signage inside route buses to strengthen information provision.
- Impact
- Improves user services and expands advertising revenue.
2023: Start of EV bus introduction
- Overview
- Introduced BYD electric buses to expand environmentally friendly vehicles.
- Impact
- Reduces CO2 emissions and contributes to local environment.
2023: Full transition to mid-boarding front-alighting boarding system
- Overview
- Renewed boarding/alighting system to mid-boarding front-alighting on major routes to promote barrier-free access.
- Impact
- Improves safety and convenience during boarding and alighting.
2024: End of late-night express bus operations
- Overview
- Ended the late-night express bus business that had continued for over 40 years due to profitability issues.
- Impact
- Paves the way for operational efficiency and resource concentration.
2023: Fare revision implemented
- Overview
- Revised fares for route buses excluding Yokohama city routes to improve revenue.
- Impact
- Establishes sustainable operational foundation.
2021: Introduction of new uniforms
- Overview
- Introduced new crew uniforms on the occasion of the 100th anniversary to refresh brand image.
- Impact
- Boosts crew motivation and improves image.
Sustainability
- Promoting CO2 reduction through electric bus introduction
- Reducing unnecessary operations with amount-based IC commuter passes
- Promoting barrier-free access through widespread low-floor buses
- Enhancing traffic safety and energy savings via autonomous driving demonstrations
- Promoting and raising awareness of environmental commuter passes in the region
- Circular management through active reuse of retired vehicles
- Fuel efficiency improvement through optimized operations management
- Paper resource savings via digital announcements in buses
- Reducing employee burden through business efficiency
- Reducing car dependency by promoting public transport usage
- Regional environmental conservation through hazardous fuel reduction measures
- Energy management including promotion of green investments