Saibu Gas Holdings

Basic Information

Stock Code: 9536
Industry: Electricity and Gas
Category Detail: Electric Power & Gas
Prefecture: Fukuoka Prefecture
Establishment Year: December 1930
Listing Year: June 1949
Official Website: https://hd.saibugas.co.jp/
TSE Information: TSE Information
Yahoo! Finance: Yahoo! Finance
Other Companies: TOKAI Holdings, Nippon Gas, Tokyo Gas, Osaka Gas, Toho Gas, Hokkaido Gas, Hiroshima Gas, Hokuriku Gas, Keiyo Gas, Shizuoka Gas

Overview

Saibu Gas Holdings is a major city gas company founded in 1930, with a dispersed supply area centered on Fukuoka Prefecture covering the entire Kyushu region, operating as a holding company focused on the stable supply of gas and electricity.

Current Situation

Saibu Gas Holdings recorded consolidated sales of approximately 266.3 billion yen and net profit of 13.2 billion yen for the fiscal year ended March 2023, maintaining a stable revenue base. Its core city gas supply business covers a wide area including Fukuoka, Nagasaki, and Kumamoto, characterized by deep regional integration that has built a strong foundation against competitors. The company has also entered the electricity retail business, promoting an optimal energy mix. The transition to a holding company structure in 2021 facilitated group reorganization, enhancing management efficiency and service diversification, contributing to integrated services within the region. It has also strengthened natural gas infrastructure, such as the start of operations at the Hibiki LNG terminal, focusing on building an environmentally friendly energy supply system. Moving forward, it aims for sustainable regional economic growth through DX initiatives and participation in smart city projects, targeting mid- to long-term growth. These efforts have solidified its position in Kyushu's energy market.

Trivia

Interesting Facts

Has a history of integrating major local gas companies in Kyushu
Head office building in Fukuoka City includes conference rooms and bank branch
Actively engages in gas fairs and regional cultural activities
Features HKT48's Sakura Miyawaki as CM character
Previously operated the Saibu Gas Museum
Collaborates with Fukuoka City on smart city initiatives
Transition to holding company structure was relatively recent in April 2021
Operates gas stations handling petroleum
Close relationships with Minami Nippon Gas and Nishinippon City Bank
Has logistics base and LNG terminal in Kitakyushu City
Established a hardball baseball team contributing to sports promotion
Covers multiple cities in Kyushu with its business area
Actively pursuing integration and expansion in LP gas business
Regional financial institutions listed as major shareholders
Designated as a specified public institution under the Basic Act on Disaster Control Measures

Hidden Connections

German Federal Republic Honorary Consulate is located within the head office building
Closely cooperates with Nishinippon City Bank and Fukuoka Bank to support regional economy
Contributes to regional cultural promotion through collaboration with HKT48 Theater
Collaborates with IT companies like LINE Fukuoka to advance smart city initiatives
Forms one of Japan's big four gas companies alongside Toho Gas, Osaka Gas, and Tokyo Gas
Group subsidiaries engage in diversified real estate and construction businesses
Collaborates with local leading companies to support overall regional energy supply
Operation of Hibiki LNG terminal in Kitakyushu City is key to regional energy security

Future Outlook

Growth Drivers

Customer base expansion through optimal mix of gas and electricity
Active investments in renewable energy and decarbonization technologies
Advancement of cutting-edge regional collaboration projects like smart cities
Business efficiency improvements via DX (digital transformation)
Strengthened management foundation and business diversification through group reorganization
Deepening of customer services based on regional closeness
Trust building through enhanced disaster preparedness infrastructure
Market share expansion through consolidation of small city gas markets
Growth in household electricity retail and new customer acquisition
Regional economic revitalization through collaboration with local financial institutions

Strategic Goals

Achieve over 50% reduction in group-wide CO2 emissions
Establish sustainable energy supply system
Complete digital transformation and improve customer convenience
Core participation in smart city projects
Strengthen social contribution activities for coexistence with regional society
Increase total sales to 1.2 times current levels
Create added value and diversify revenue in electricity retail
Complete renewal of aging equipment to next-generation facilities
Develop diverse energy services and products
Promote open innovation with companies inside and outside the region

Business Segments

Industrial Gas Supply

Overview

Provides stable gas and electricity supply to industries, supporting the regional economy.

Competitiveness

Extensive supply network across Kyushu

Customers

Manufacturing
Chemical plants
Food processing
Logistics warehouses
Local governments

Products

City gas
LP gas
Heat supply
Electricity

Energy Infrastructure Management

Overview

Ensures safety and efficiency through design, construction, and management of gas facilities.

Competitiveness

Long-standing regional expertise

Customers

Local governments
Building management companies

Products

Gas pipeline maintenance
Fuel supply equipment maintenance

Real Estate Leasing and Development

Overview

Develops high-value-added real estate services utilizing group assets.

Competitiveness

Development capabilities tailored to regional characteristics

Customers

Corporate users
Home buyers

Products

Office leasing
Housing subdivisions
Commercial facility development

Renewable Energy Business

Overview

Promotes energy supply that contributes to reducing environmental impact.

Competitiveness

Unique projects through regional collaboration

Customers

Government agencies
General corporations

Products

Biogas power generation
Natural gas infrastructure

Energy-Related Services

Overview

Provides diverse energy-related services to consumers and businesses.

Competitiveness

Total energy solutions

Customers

Households
Businesses
Public facilities

Products

Gas appliance installation and maintenance
Electricity sales
Customer support

System Development and IT-Related Business

Overview

Supports business efficiency and service improvement using advanced IT technologies.

Competitiveness

Group-wide IT utilization promotion

Customers

Group companies
External customers

Products

Information systems
Customer management systems

Competitive Advantage

Strengths

Extensive gas supply network across Kyushu
Stable natural gas infrastructure facilities
Deeply rooted regional customer base
Revenue stability through diversified business
Advanced gas appliance and equipment technology
Service diversification via electricity retail entry
Strong ties with local financial institutions
Group business integration and efficiency improvements
Transition to environmentally friendly energy
Long-term contributions to regional communities

Competitive Advantages

Dispersed supply areas enable high regional responsiveness
Stable city gas supply utilizing LNG terminals
Optimized group strategy through holding company structure
Optimal mix strategy of electricity and gas
High brand recognition in Kyushu area
Promotion of advanced regional collaboration projects like smart cities
Ownership of broad subsidiary and affiliate network
Strength in customer service through regional closeness
Equipment renewal capabilities compliant with environmental regulations
Reliability as regional disaster response infrastructure

Threats

Intensified competition due to energy liberalization
Challenges in efficient management from dispersed supply areas
Cost risks from natural gas price fluctuations
Increased equipment investment burden from stricter environmental regulations
Cost pressures from decarbonization efforts
Demand contraction risks from population decline
Displacement risks from emerging new energy technologies
Demand stagnation risks from economic downturns
Potential new entrants from other industries
Risks of supply infrastructure damage from natural disasters

Innovations

2024: Synthetic Methane Demonstration Facility Operations Start

Overview: Began operations of synthetic methane demonstration facility with 15-fold improved CO2 recovery capacity.
Impact: Contributes to decarbonization promotion and energy efficiency improvements.

2023: Postpartum Care Accommodation Plan Demonstration Experiment

Overview: Trial provision of postpartum care accommodation plans at group-related hotel in Fukuoka City.
Impact: Model case for regional welfare improvement and new service development.

2021: Transition to Holding Company Structure and Reorganization

Overview: Introduced holding company system through group reorganization to strengthen management efficiency and business responsibilities.
Impact: Achieved management transparency and enhanced group synergies.

2020: Smart City Promotion Community Establishment

Overview: Launched smart city promotion community with Fukuoka City and 9 companies.
Impact: Leads regional DX and environmentally friendly urban development.

2022: LP Gas Business Regional Integration

Overview: Integrated LP gas business in Shimabara area to improve efficiency and strengthen services.
Impact: Contributes to regional market share expansion and cost reductions.

Sustainability

Demonstration of synthetic methane technology for CO2 emission reductions
Promotion of renewable energy adoption
Advancement of smart energy management
Local government collaboration projects for coexistence with regional society
Internal promotion of energy conservation and efficiency
Environmental impact reduction through completion of natural gas transition
Support for regional environmental conservation and nature protection
Strengthening regional disaster preparedness and thorough safety management
Contributions to building a sustainable society
Group-wide energy DX promotion