H.I.S.

Basic Information

Stock Code
9603
Industry
Services
Category Detail
Travel & Hotels
Prefecture
Tokyo
Establishment Year
December 1980
Listing Year
March 1995
Official Website
https://www.his.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Kobe Products, Oisix la Terre, Booking Resort, Open House Group, Japan Pharmacy, Sumitomo Pharma, Fuji Media Holdings, GMO Internet, Fujikura, Adventure, AirTrip, Tabikobo, HANATOUR JAPAN, Best One Dot Com, Mitsubishi Heavy Industries, Veltra, Shimamura, Eurasia Travel Agency, KNT-CT Holdings

Overview

H.I.S. is a major travel industry player founded in 1980, with strengths in discount air tickets and overseas travel, offering a diversified range of services.

Current Situation

H.I.S. recorded consolidated sales of approximately 343.3 billion yen and operating profit of approximately 10.8 billion yen for the fiscal year ending October 2024, expanding its travel business domestically and internationally. Centered on discount air ticket sales, it is advancing diversification into overseas package tours, hotel operations, theme park management, and more. Its global network spans 128 cities and 187 locations, particularly strong in emerging resort areas. In recent years, it has also ventured into power sales and robotics businesses to explore new revenue sources. On the other hand, labor issues and improper subsidy claims remain challenges, and it is working to strengthen governance. Toward 2030, it positions digital transformation and sustainable tourism as key strategies, aiming to expand market share domestically and abroad.

Trivia

Interesting Facts

  • Holds the largest domestic market share in standalone discount air ticket sales
  • One of the few Japanese travel companies with branches on all six continents
  • Proprietary brand 'Shu Inter' derived from founder's name
  • Pioneered robot check-in with buzzworthy 'Henn-na Hotel' operations
  • Involved in the establishment of airline Skymark
  • First in travel industry to implement all-inclusive pricing with fuel surcharges
  • Holds various fairs and sales twice monthly to stimulate travel demand
  • Does not handle standalone domestic JR tickets but offers JR-inclusive packages
  • Mainly overseas travel since founding, with biased distribution of domestic offices
  • Drew social attention for improper Go To Travel subsidy claims
  • Sponsored Italy tours for Fuji TV's 26-hour TV charity event
  • Issued 'World Cabit' international cash card with Suruga Bank
  • Actively diversifying through numerous subsidiaries and joint ventures
  • Focuses on inbound business with services for foreign visitors to Japan
  • In 2022, transferred all shares of Huis Ten Bosch to concentrate management resources

Hidden Connections

  • Founder's name Hideo Sawada appears frequently in brand names and key services
  • Civil lawsuit over Huis Ten Bosch share transactions has management implications
  • Limited direct handling of domestic JR but collaborates with Kintetsu Tour Group
  • Collaborates with advanced IT firms for robot technology in hotel operations
  • Power sales business spun off from group company related to Huis Ten Bosch
  • Seized top spot in travel handling volume from JTB Group in 2011
  • Success in overseas discount air tickets significantly changed domestic industry structure
  • Subsidiary Japan Holiday Travel drew attention for Go To Travel improper claims

Future Outlook

Growth Drivers

  • Recovery in overseas travel demand and development of emerging markets
  • Business efficiency and customer experience improvement via digital tech adoption
  • Expansion of innovative services like robot hotels
  • Increasing demand for sustainable tourism and environmental measures
  • Strengthening and diversification of corporate client business
  • Domestic travel market revitalization through regional collaborations
  • Growth contributions from new telecom and energy businesses
  • Enhanced marketing strategies and brand awareness
  • Improved employee satisfaction through sustainable workstyles
  • Expansion and efficient operations of overseas base networks
  • Rising demand for experiential activities
  • Strengthened inbound tourism capture

Strategic Goals

  • Expand overseas sales ratio to over 60%
  • Deploy 100 robot hotels domestically and abroad
  • Fully introduce sustainable tourism programs
  • Complete 100% migration to digital reservation systems
  • Achieve 50 billion yen in B2B sales
  • Group-wide 50% reduction in CO2 emissions
  • Telecom and power sales exceed 10 billion yen
  • Diversity and female manager ratio over 30%
  • Nationwide rollout of regional transportation services
  • Expand new overseas bases to 20+ cities

Business Segments

Corporate Travel Planning & Arrangement

Overview
Plans and operates training and incentive travel for corporate clients.
Competitiveness
Global on-site network and diverse proposal capabilities
Customers
  • General Corporations
  • Travel Agencies
  • Event Planning Companies
  • Educational Institutions
  • Government Agencies
  • Accommodation Facilities
  • Airlines
  • Group Travel Organizers
  • Overseas Corporations
  • Convention Operators
Products
  • Employee Training Travel
  • Incentive Tours
  • MICE Event Planning
  • Group Travel Arrangements
  • Overseas Corporate Client Services
  • Itinerary Management Support
  • Airport Transfer Services
  • Hotel Negotiations
  • Package Tour Adjustments
  • Risk Management Plans

Hotel Operations & Management

Overview
Specializes in supporting hotel operations, starting with Henn-na Hotel.
Competitiveness
Revenue improvement through advanced technology and efficient operations
Customers
  • Hotel Owners
  • Investment Funds
  • Real Estate Development
  • Tourist Facility Operators
  • Accommodation Reservation Agents
  • Event Organizers
  • Travel Agencies
  • Food & Beverage Providers
  • Local Governments
  • Inbound対応 Companies
Products
  • Hotel Management
  • Accommodation Operations
  • Revenue Enhancement Consulting
  • Robot Introduction Support
  • Customer Service Improvement
  • Facility Management
  • Marketing Support
  • Revenue Management Systems
  • Eco-Friendly Operations
  • Safety Management

Regional Transportation & Bus Business

Overview
Provides diverse public and tourist transportation services centered on Kyushu.
Competitiveness
Regionally integrated services and reliable operation management
Customers
  • Local Governments
  • Bus Companies
  • Tourism Operators
  • Corporate Collaboration Groups
  • Travel Agencies
  • Public Transportation Operators
  • Event Operators
  • Regional Revitalization Groups
  • Logistics Companies
  • Regional Administrative Bodies
Products
  • Express Bus Route Operations
  • Tourist Bus Arrangements
  • Charter Bus Services
  • Ferry Business Management
  • Transportation Planning Consulting
  • Wireless Communication Systems
  • Safety Management Programs
  • Driver Training & Guidance
  • Vehicle Maintenance
  • Route Bus Operations

Telecommunications Services

Overview
Provides affordable communication services centered on H.I.S. Mobile.
Competitiveness
Telecom expertise for overseas travelers and competitive pricing
Customers
  • Individual Customers
  • Corporate Customers
  • Travelers
  • Overseas Assignees
  • Online Businesses
  • Mobile Carriers
  • Sales Agents
  • IT Companies
  • Customer Support
  • Wi-Fi Rental Providers
Products
  • SIM Card Sales
  • Mobile Plans
  • Wi-Fi Router Rentals
  • Corporate Communication Solutions
  • Overseas Prepaid SIMs
  • Data Communication Services
  • Online Support
  • Communication Device Sales
  • Plan Customization
  • Network Issue Response

Cruise Business

Overview
Provides resort cruise tours domestically and internationally.
Competitiveness
High-specialization in cruise travel planning
Customers
  • Domestic & International Travel Agencies
  • Luxury Cruise Lines
  • Corporate Clients
  • Affluent Clients
  • Travel Operators
  • Charter Vessel Operators
  • Event Organizers
  • Marketing Companies
  • Media Agents
  • Tourism Associations
Products
  • Overseas Cruise Product Planning
  • Cruise Reservation Management
  • Custom Plans for Customers
  • Onboard Event Planning
  • Travel Agency Brokerage
  • Cabin Negotiations
  • Incentive Tours
  • Charter Vessel Arrangements
  • Online Sales
  • Marketing Support

Insurance Business

Overview
Operates damage insurance business supporting traveler safety.
Competitiveness
Comprehensive travel-specific insurance products
Customers
  • Travelers
  • Corporate Clients
  • Travel Agencies
  • Travel Companies
  • Event Planning Companies
  • Accommodation Facilities
  • Airlines
  • Online Sales Providers
  • General Consumers
  • Schools & Educational Institutions
Products
  • Overseas Travel Damage Insurance
  • Domestic Travel Injury Insurance
  • Corporate Group Insurance
  • Outpatient & Hospitalization Coverage
  • Accident & Liability Compensation
  • Insurance Contract Management
  • Insurance Product Development
  • Risk Assessment Services
  • Claims Processing
  • Customer Support

Activity Reservations

Overview
Offers various experience reservation services at travel destinations.
Competitiveness
Extensive local networks and diverse experience menus
Customers
  • Individual Tourists
  • Travel Companies
  • Local Tour Operators
  • Hotels
  • Local Governments
  • Corporate Event Organizers
  • Online Travel Agencies
  • Influencers
  • Sports Clubs
  • Inbound Foreign Travelers
Products
  • Domestic & International Activity Reservations
  • Local Optional Tours
  • Experience Tour Planning
  • Sports Leisure Services
  • Cultural Exchange Programs
  • Environmental Experience Events
  • Online Reservation Systems
  • Activity Operation Support
  • Customer Matching
  • Safety Management

Power Sales Business

Overview
Deploys environmentally considerate power sales nationwide.
Competitiveness
Sales network leveraging the group's broad customer base
Customers
  • General Households
  • Small & Medium Enterprises
  • Large Facilities
  • Logistics Centers
  • Commercial Facilities
  • Local Governments
  • Schools
  • Hotels
  • Factories
  • Real Estate Management Companies
Products
  • Renewable Energy-Derived Power
  • Low-Price Power Plans
  • Contract Management Services
  • Demand Forecasting Systems
  • Energy-Saving Solutions
  • Energy Consulting
  • Power Quality Management
  • Power Supply Optimization
  • Customer Support
  • Rate Plan Offerings

Regional Tourism Development Support

Overview
Deploys tourism development support services aimed at regional revitalization.
Competitiveness
Comprehensive support system enabling collaboration across industries
Customers
  • Local Governments
  • Tourism Associations
  • Regional Companies
  • Chambers of Commerce
  • Travel Companies
  • Hotels
  • Transportation Operators
  • Cultural Groups
  • Educational Institutions
  • Event Organizers
Products
  • Tourist Attraction Planning
  • Event Planning & Operations
  • Regional Tourism Resource Development
  • Marketing Support
  • Content Creation
  • Training Program Provision
  • Promotion
  • Logistics Improvement Support
  • Digital Tool Introduction
  • Customer Satisfaction Surveys

Travel-Related IT & Systems

Overview
Provides ICT services supporting travel operations and business efficiency.
Competitiveness
Industry-specific systems and extensive know-how
Customers
  • Travel Agencies
  • Airlines
  • Hotels
  • Corporate Clients
  • Travelers
  • Online Reservation Sites
  • Information Service Companies
  • Customer Management Providers
  • Payment Processors
  • Risk Management Companies
Products
  • Reservation Management Systems
  • Customer Relationship Management (CRM)
  • Payment Systems
  • Data Analysis Services
  • Online Sales Platforms
  • Mobile App Development
  • Travel Plan Creation Tools
  • Customer Service Chatbots
  • Back-Office Support Systems
  • Risk Management Software

Marketing & Advertising Business

Overview
Deploys marketing services specialized for the travel industry.
Competitiveness
High appeal through brand strength and extensive networks
Customers
  • Travel Companies
  • Hotels
  • Airlines
  • Local Governments
  • Cultural Groups
  • Travel-Related Media
  • E-commerce Operators
  • Event Operators
  • Content Production Companies
  • Influencers
Products
  • Advertising Planning & Production
  • Digital Marketing
  • SNS Promotion
  • Event Sponsorships
  • Brand Expansion Support
  • Customer Analysis
  • Content Production
  • PR Activities
  • Customer Loyalty Programs
  • Media Buying

Competitive Advantage

Strengths

  • Industry leader in discount air ticket sales
  • Extensive network of 128 cities and 187 locations overseas
  • Diversified travel and hotel businesses
  • Innovative robot hotel operations
  • Stable financial base and abundant assets
  • Broad customer base through diverse brands
  • Business expansion leveraging group synergies
  • Flexibility in adopting advanced IT technologies
  • Business diversification via numerous domestic and overseas subsidiaries
  • High brand recognition and strength
  • Long industry experience and proven management track record
  • Rich customer data and sales channels
  • Regionally rooted transportation-related businesses
  • Strength in standalone air ticket sales
  • Response to recent recovery in overseas travel demand

Competitive Advantages

  • Overwhelming sales scale in discount air tickets
  • Strong deployment of proprietary package tours
  • Differentiation through robot-equipped hotels
  • Overseas customer handling via extensive global bases
  • Successful revenue source diversification through multi-segmentation
  • Customer loyalty via powerful brand portfolio
  • Industry-leading logistics and reservation systems
  • Segmented marketing for diverse customer groups
  • Market share expansion through aggressive M&A
  • Long-standing partnerships with airlines
  • Successful business efficiency via digital shift
  • Possesses travel-related insurance and telecom services
  • Sustainability initiatives addressing social issues
  • Strong provision of detailed B2B services
  • Customer retention in tourist spots domestically and abroad

Threats

  • Risk of fluctuations in overseas travel demand due to new infectious diseases
  • Potential damage to corporate image from labor issues
  • Intense price competition and profit pressure in travel industry
  • Impacts from overseas political/security risks and regulatory changes
  • Intensified competition from online travel agencies
  • Destabilization of overseas travel costs due to exchange rate fluctuations
  • Environmental risks such as natural disasters and climate change
  • Fluctuations in domestic/international travel regulations and entry restrictions
  • Increased operational burden from strengthened related laws/regulations
  • Revenue decline from sharp drop in inbound tourists
  • Heightened scrutiny on governance issues like improper subsidy claims
  • Risk of market share loss to new entrants

Innovations

2022: H.I.S. Hotel Holdings Established

Overview
Established a company to operate robot-equipped hotels and strengthen advanced services.
Impact
Contributes to enhancing competitiveness in hotel business

2021: Full Entry into Telecommunications Business

Overview
Launched affordable smartphone services via H.I.S. Mobile.
Impact
Establishes new revenue sources

2020: Group Energy Holdings Established

Overview
Centralizes power sales business and promotes renewable energy adoption.
Impact
Strengthens eco-friendly business deployment

2024: Digital Transformation Promotion

Overview
Renews reservation management systems to improve customer experience.
Impact
Business efficiency and customer satisfaction improvement

2023: Expansion into Emerging Overseas Resort Markets

Overview
Market expansion through enhanced promotion in Bali, Phuket, etc.
Impact
Contributes to overseas sales growth

Sustainability

  • Promoting renewable energy use to reduce environmental impact
  • Resource conservation through energy-efficient hotel equipment
  • Strengthening corporate governance and strict compliance
  • Supporting regional revitalization and cultural preservation in tourist areas
  • Fostering diversity and creating comfortable workplaces