Subaru

Basic Information

Stock Code: 9778
Industry: Services
Category Detail: Education
Prefecture: Kagoshima Prefecture
Establishment Year: July 1972
Listing Year: December 1995
Official Website: https://www.subaru-net.com/
TSE Information: TSE Information
Yahoo! Finance: Yahoo! Finance
Other Companies: Seigakusha, Ichishin HD, Meiko Network Japan, Clip, Riso Kyoiku, Waseda Academy, Tokyo Kobetsu Shido Gakuin, S-Science, Sprix, Wizas, Nagase, Gakkyu-sha, Step

Overview

Subaru is a regionally focused cram school founded in 1972, primarily operating in Kyushu and Okinawa, providing diverse educational services and building a solid community-based foundation.

Current Situation

Subaru recorded sales of approximately ¥3.4 billion and ordinary profit exceeding ¥300 million as of the end of February 2020, maintaining a stable management base as a cram school operator. Centered mainly in Kagoshima Prefecture, it has expanded to Miyazaki, Kumamoto, Fukuoka, and Okinawa Prefectures, establishing a strong customer base targeting elementary, junior high, and high school students aiming for the top three public prestigious schools. It also offers individual tutoring and Tosshin Satellite Preparatory School to address diverse needs. In recent years, expansion into Okinawa has accelerated through the acquisition of subsidiary Takeji Human Mind Co., Ltd. Under the management philosophy 'Daily Training,' it strengthens local competitiveness while focusing on improving educational quality. It aims for growth supported by expanding educational demand in the Kyushu-Okinawa region. It also engages in community-close information dissemination, such as sole sponsorship of local radio programs. Major shareholder Gakuyusha Limited Company holds over 40% of shares, providing stability through continued management by the founding Nishimura family.

Trivia

Interesting Facts

Founder was a Kagoshima University student who started with support from a mentor.
Subaru holds a high market share as a cram school specialized in Kyushu-Okinawa.
Sole sponsorship of local radio programs for community contribution and brand strengthening.
Subsidiary Takeji Human Mind is a key player in Okinawa's education scene.
Incorporates nationwide university exam prep through Tosshin Satellite Preparatory School operations.
Conducts proprietary mock exams like academic diagnostic tests and attached junior high mocks several times a year.
Strong track record in sending students to Kagoshima Prefecture's top three public prestigious schools.
Educational philosophy 'Daily Training' emphasizes steady learning guidance.
Classrooms span five prefectures with tailored services by region.
Ongoing personnel transfers and organizational reforms to strengthen operations.
Listed in December 1995, maintaining stable listing status.
Family management practices long-term community-focused operations.
Features product lineup combining individual and group instruction.
Promotes learning motivation through community-involved events.
Actively accumulating track record in education consulting.

Hidden Connections

Founder's university mentor serves as advisor, strongly tied to local education network.
Exclusive sponsor of local radio program, successfully boosting regional brand awareness.
Leverages nationwide university exam prep network through Tosshin Satellite Preparatory School collaboration.
Strengthens Okinawa education business via subsidiary Takeji Human Mind.
Gakuyusha Limited Company holds over 40% of shares, maintaining stable capital structure.
Secures top regional talent through strong exam ties with Kyushu's top three public prestigious schools.
Community-based education business expertise highly regarded in the industry.
Seeking competitive edge against emerging online education through ICT adoption.

Future Outlook

Growth Drivers

Maintaining customer base amid easing birthrate decline in Kyushu-Okinawa
Improved learning efficiency through education ICT adoption
Response to growing demand for individual tutoring services
Strong brand trust from community focus
Expansion of mock exams and other educational support services
Strengthened university exam prep via Tosshin Satellite Preparatory School collaboration
Regional expansion through subsidiaries and franchises
Enhanced awareness via local media utilization
Flexible response to diversifying educational needs
Increased education investments from regional economic recovery
Service quality improvement through staff expertise enhancement
Expansion of regional collaboration events

Strategic Goals

Maintain top 3 cram school share within Kyushu-Okinawa region
Full implementation of education ICT and enriched online services
Achieve over 8,000 annual mock exam participants
Deploy 50 new individual tutoring and subsidiary classrooms
Enhance educational contributions through strengthened regional ties
Establish sustainable management framework
Expand training programs to boost staff expertise
Strengthen information dissemination via local radio and other media
Develop and introduce new educational programs
Contribute to higher advancement rates for regional youth

Business Segments

Education Support Services

Overview

Provides mock exams and educational support services to local schools and institutions.

Competitiveness

Expertise in addressing diverse educational needs rooted in the Kyushu region

Customers

School corporations
Local government boards of education
Education-related companies
Regional learning centers

Products

Mock exam planning and operation
Education consulting
Teaching materials production support
Preparatory school franchise guidance

Cram School Operation Support

Overview

Support for improving cram school operational efficiency and educational quality.

Competitiveness

Proven track record and know-how in community-based operations

Customers

Independently operated cram schools
Education service companies
Local company education departments

Products

Classroom operation consulting
Instructor training programs
Education ICT implementation support

Competitive Advantage

Strengths

Strong community-based customer base
Diverse educational course offerings
Classroom network spanning Kyushu and Okinawa
Stable financial foundation
Rapid decision-making due to family management
Proven track record in mock exam planning
Collaboration with Tosshin Satellite Preparatory School
Active promotion of education ICT utilization
Robust instructor training system
Increased brand awareness through local radio programs
Long-term contributions to regional education
Ability to serve diverse customer segments
Business expansion via subsidiaries
Prudent management approach to education
Support from major local shareholders

Competitive Advantages

Overwhelming local brand recognition in Kyushu-Okinawa market
Educational services catering to wide age groups and needs
Differentiation through mock exam planning and operations
Stable capital structure and strong family management base
Brand strategy leveraging local media
Powerful collaboration with Tosshin Satellite Preparatory School
Multi-faceted service rollout including individual tutoring
High success rates for top three public prestigious schools
Accumulated educational expertise over many years
Franchise expansion and subsidiary business development

Threats

Declining birthrate leading to fewer potential customers
Intensifying competition from major national cram schools
Shifts in learning formats due to advancing education ICT
Risk of reduced enrollment from regional economic stagnation
Rise of online education services
Changes in market environment from public education reforms
Sudden classroom operation restrictions like COVID-19
Intensified competition for talent acquisition
Expansion limitations due to regional disparities
Pressure from rising advertising and promotion costs
Increased operational costs from regulatory changes
New business entries by competitors

Innovations

2020: Acquisition of Takeji Human Mind Co., Ltd.

Overview: Acquired as a subsidiary to expand cram school business in Okinawa Prefecture.
Impact: Successfully strengthened business foundation in the Okinawa market.

2021: Launch of Tosshin Satellite Preparatory School Operations

Overview: Introduced operations of Tosshin Satellite Preparatory School for high school students to diversify business.
Impact: Expanded entry into the university entrance exam market.

2022: Enhanced Education ICT Utilization

Overview: Implemented online learning tools and digital mock exam systems.
Impact: Contributed to improved learning efficiency and customer satisfaction.

2023: Expansion of Individual Tutoring Programs

Overview: Increased the number of individual tutoring classrooms tailored to individual needs.
Impact: Enabled response to growing demand for individual tutoring.

2024: Strengthened Regional Mock Exam Implementation System

Overview: Revamped Subaru mock exam operations to enhance community focus.
Impact: Contributed to higher admission rates to target schools for local students.

Sustainability

Promoting equal educational opportunities through community focus
Energy-saving measures in classroom operations
Educational programs in collaboration with local culture
Creating safe and secure learning environments
Advancing work-style reforms for employees
Improving learning efficiency through ICT
Regular hosting of community contribution events
Participation in building sustainable regional communities
Strengthening collaboration between education support and welfare activities
Support for developing young regional educators
Classroom equipment upgrades to reduce environmental impact
Promoting off-peak attendance