Kanamoto

Basic Information

Stock Code
9678
Industry
Service Industry
Category Detail
Leasing & Rental
Prefecture
Hokkaido
Establishment Year
October 1964
Listing Year
June 1991
Official Website
https://www.kanamoto.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Takemiya, NeoJapan, CTS, Daisan, Alinco, Setec, Wakita, A.S. Nova, Nishio HD, Marubeni Building Materials Lease, Izumiden

Overview

Kanamoto is a leading company in the construction machinery rental industry, founded in 1964. Centered in Hokkaido, it operates nationwide, providing rental and sales of various construction-related materials.

Current Situation

Kanamoto achieved consolidated sales of approximately 207.2 billion yen, operating profit of approximately 14.6 billion yen, and net profit of approximately 9.0 billion yen for the fiscal year ending October 2024. Its core construction machinery and building materials rental business, based in Hokkaido, is actively expanding into the Kanto and Kansai regions, maintaining its position as an industry leader on par with competitors. In recent years, it has focused on business expansion through absorption and mergers of new subsidiaries and support as the sponsor for Central's civil rehabilitation. On the technical side, it has expanded the rental range of construction machinery and engineering workstations to meet diversifying customer needs. It also emphasizes sustainability in environmental and safety aspects, seeking new market opportunities. In the future, it aims to contribute to local communities while expanding efficient rental services through digitalization.

Trivia

Interesting Facts

  • Founded starting from a steel trading company in Muroran City.
  • One of the major construction machinery rental companies originating from Hokkaido.
  • Contributed to industry restructuring through subsidiary Central.
  • Handles a wide range of construction machinery rental items.
  • Aggressively expanding not only in Hokkaido but also in Kanto and Kansai areas.
  • Established subsidiary in Guam in 2008 for overseas advancement.
  • Chairman and Representative Director is Hiroyoshi Kanamoto from the founding family.
  • Honorary Chairman Fumiyoshi Kanamoto is a literary businessman who won the Hokkaido Shimbun Literary Award.
  • Rental equipment actively used in numerous domestic and international disaster recovery efforts.
  • Expanded service network nationwide through abundant subsidiaries.
  • Composite business structure of steel product sales and machinery rental.
  • Features family management emphasizing business succession.
  • Also started advanced IT equipment rental business.
  • Orix is one of the major shareholders.
  • High recognition as a leading comprehensive rental company in Hokkaido.

Hidden Connections

  • Capital ties with Orix, exploring collaboration with financial services.
  • Unique corporate culture with management involved from literature department background.
  • Deep exchanges with major companies originating from Hokkaido such as Tsuruha and Nitori.
  • Partnership with pioneering technology vendors for IoT-ization of construction machinery.
  • Focuses on synergy creation among subsidiaries to optimize services by region.
  • Expanding business domains to overseas markets through bases in Singapore and other Asian locations.
  • Actively participates in local safety education programs, contributing to strengthening the industry's foundation.
  • Playing a central role in mergers and restructuring in the construction machinery rental industry.

Future Outlook

Growth Drivers

  • Increase in rental demand due to recovery in construction investment
  • Service innovation through utilization of IT/IoT technology
  • Expansion of demand for eco-machinery due to stricter environmental regulations
  • Aggressive market expansion strategy beyond Hokkaido
  • Ongoing increase in disaster countermeasures and reconstruction demand
  • Heightened reliance on rentals due to labor shortages in construction industry
  • Strengthening of total solution proposals for corporate customers
  • Growth in used construction machinery market and reuse business
  • Strengthening presence in overseas markets and acquiring new customers
  • Business efficiency and customer satisfaction improvement through digitalization
  • Introduction and expansion of new products in safety and environmental fields
  • Enhanced brand value through sustainability initiatives

Strategic Goals

  • Aim for sales exceeding 300 billion yen and improved profit margins
  • Accelerate expansion from Hokkaido center to nationwide Japan and Asia markets
  • Standardization and advancement of rental services through digitalization
  • Make carbon-neutral compliant machinery a mainstay
  • Promote efficient management through strengthened synergies among subsidiaries
  • Sustainable business operations emphasizing coexistence with local communities
  • Acquire highest-level corporate certifications in safety and environment
  • Maintain and strengthen competitiveness through new technology development and introduction
  • Realize diverse talent development and work style reforms
  • Expansion of specialized rental services for social infrastructure

Business Segments

Rental Business for Construction Companies

Overview
Provides comprehensive rental of machinery and materials needed for construction sites, supporting project efficiency.
Competitiveness
Immediate response possible with abundant models/equipment and regionally dense deployment
Customers
  • General Contractors
  • Local Construction Companies
  • Architectural Design Firms
  • Engineering Companies
  • Public Entities
  • Carpentry Shops
Products
  • Hydraulic Excavator
  • Aerial Work Platform
  • Generator
  • Truck Crane
  • Construction Temporary Housing

Construction Materials Wholesaling Business

Overview
Handles wholesaling and intermediate distribution of various building materials products such as construction steel and scaffolding materials.
Competitiveness
Stable supply achieved through network centered in Hokkaido
Customers
  • Construction Materials Trading Companies
  • Construction Companies
  • Housing Manufacturers
  • Equipment Contractors
  • DIY Stores
Products
  • Steel Materials
  • Scaffolding Pipes
  • Ladders
  • Building Materials Products
  • Temporary Housing

Environmental & Safety Equipment Rental

Overview
Provides safety management and environmental countermeasure equipment for construction sites and public facilities.
Competitiveness
Wide rental of high-quality equipment compliant with safety standards
Customers
  • Construction Sites
  • Factories
  • Local Governments
  • Event Operators
Products
  • Safety Fences
  • Dust Meters
  • Protective Gear & Helmets
  • Environmental Measurement Equipment

IT & Technical Equipment Rental

Overview
Supports technological innovation through rental of cutting-edge IT equipment.
Competitiveness
Specialized staff skilled in latest equipment and technical support
Customers
  • Construction Design Companies
  • Surveying Companies
  • IT Service Providers
Products
  • CAD Workstation
  • Surveying Equipment
  • Laser Scanner
  • Engineering Software

Overseas Construction Machinery Rental Business

Overview
Expands construction machinery rental services in overseas markets to promote globalization.
Competitiveness
Flexible response through overseas subsidiaries and expanding network
Customers
  • Overseas Construction Companies
  • Local Contractors
  • Infrastructure Developers
Products
  • Aerial Work Platform
  • Welder
  • Generator
  • Full Construction Machinery Set

Logistics Management Services

Overview
Provides efficient logistics management services for construction machinery and materials.
Competitiveness
Management efficiency through industry-specific IT system development
Customers
  • Building Materials Manufacturers
  • Rental Companies
  • Major Logistics Companies
Products
  • Materials Management System
  • Transportation Equipment
  • Warehouse Management Software

Used Construction Machinery Sales Business

Overview
Engages in refurbishment sales and reuse business of used construction machinery.
Competitiveness
Strength in extensive used machinery inventory and maintenance technology
Customers
  • Construction Companies
  • Rental Companies
  • Exporters
Products
  • Used Hydraulic Excavator
  • Used Generator
  • Used Ladder

Repair & Maintenance Services

Overview
Supports improved utilization rates through maintenance and inspections of rental equipment.
Competitiveness
Rapid response nationwide and advanced technical capabilities
Customers
  • Rental Users
  • Own Construction Machinery
  • Related Companies
Products
  • Construction Machinery Maintenance
  • Inspection & Maintenance
  • Emergency Repairs

Staff Dispatch & Training Services

Overview
Provides specialized staff dispatch and skills training for construction sites.
Competitiveness
High-quality instruction from experienced field personnel
Customers
  • Construction Companies
  • Rental Companies
  • Certification Seekers
Products
  • Construction Machinery Operation Training
  • Safety Education
  • Technical Staff Dispatch

Asset Management Solutions

Overview
Realizes condition monitoring and management of construction machinery assets using IoT.
Competitiveness
Optimization through fusion of IT technology and construction industry
Customers
  • Major Construction Companies
  • Rental Companies
Products
  • Asset Management System
  • IoT Device Integration

Competitive Advantage

Strengths

  • Strong customer base in Hokkaido
  • Diverse lineup of construction-related products
  • Rapid response through nationwide network
  • Business expansion via numerous subsidiaries and consolidated companies
  • Stable financial foundation
  • Years of industry experience and know-how
  • High-quality service provision
  • High technical support capabilities
  • Combination of wide product rentals and sales
  • Regionally focused sales strategy
  • Aggressive expansion in multiple regions
  • Own brand development
  • Construction machinery maintenance technology
  • Initiatives in environmental safety
  • Abundant asset management systems

Competitive Advantages

  • Scale advantages from nationwide expansion based in Hokkaido
  • Ability to provide diverse construction machinery and materials in one stop
  • Broad rental network through collaboration with partner subsidiaries
  • High brand reliability as an industry leader
  • Rapid customer response enabled by regionally dense sales structure
  • Expansion of IT-related rental business utilizing latest technology
  • Comprehensive handling of safety equipment for construction sites
  • Stable funding capabilities and financial safety
  • New market development through overseas expansion
  • Stable business flow from long-term transaction records
  • Risk diversification through diversified business operations
  • Business growth through aggressive M&A
  • Enhanced customer trust through community contribution activities
  • Business efficiency improvement via introduction of latest IT systems
  • Improved customer satisfaction through high-quality maintenance services

Threats

  • Risk of reduced construction investment due to economic downturn
  • Intensifying price competition with competitors
  • Decline in rental demand due to expansion of used construction machinery market
  • Business impact from natural disasters or climate change
  • Increased operating costs from stricter environmental regulations
  • Constraints on service provision due to labor shortages
  • Rising IT security risks
  • Unstable overseas business earnings due to exchange rate fluctuations
  • Risk of business rule changes from legal amendments
  • Market share erosion by new entrants
  • Increased repair costs from asset deterioration
  • Declining social demand for construction

Innovations

2023: Promotion of IoT Integration for Construction Machinery

Overview
Equipped construction machinery with IoT sensors for remote monitoring and predictive maintenance.
Impact
Significantly contributes to maintenance efficiency and improved utilization rates

2022: Integration of Central Rental Business

Overview
Acquired business from Central under civil rehabilitation to expand services.
Impact
Successfully expanded market share and strengthened customer base

2021: Introduction of Eco-Friendly Construction Machinery

Overview
Started renting next-generation eco-machinery compliant with stricter emissions standards.
Impact
Meets environmentally conscious construction needs and strengthens competitiveness

2024: Renewal of Online Rental Reservation System

Overview
Introduced new system to improve customer convenience and simplify ordering process.
Impact
Achieved increase in orders and improved customer satisfaction

Sustainability

  • Promotion of energy-saving construction machinery to reduce environmental impact
  • Active participation in local cleanup activities and environmental conservation projects
  • Thorough accident prevention through strengthened labor safety standards
  • Promotion of recycling of business materials and reduction of waste
  • Promotion of paperless operations through digitalization
  • Setting and implementation of CO2 emissions reduction targets
  • Enhancement of community contribution activities centered in Hokkaido
  • Improvement of employees' work-life balance through diverse work styles
  • Support for training contributing to higher safety standards in the construction industry
  • Expansion of energy-saving machinery rentals for environmental response
  • Promotion of resource efficiency through asset sharing
  • Contribution to sustainable development through collaboration with local communities