Research

Harima B.Stem: Building-maintenance group expanding by acquisition under new leadership

HARIMA B.STEM CORPORATION (9780) · Published 2026-10-25 · Beluuga AI Research Team · Independent research

Not investment advice or a solicitation. See Important disclosures below.

Business overview

  • Harima B.Stem is a Yokohama-based building-maintenance company that reports one segment, comprehensive building services. Its service lines are cleaning, on-site and remote equipment operation and monitoring, security guarding, and inspection work on elevators, air-conditioning and fire equipment, plus hotel room servicing, reception, condominium management and repair works.
  • Customers include public facilities, office buildings, stores, medical facilities and condominium associations, and no single customer accounts for a reportable share of sales. Most work is performed under fixed-term, fixed-price service contracts, and the company also books ad hoc contracted work separately.
  • The group consists of the parent, eight consolidated subsidiaries and eight equity-method affiliates; the affiliates are mostly special-purpose companies for public-private partnership (PFI) and designated-manager contracts that subcontract facility management to the company. The annual securities report gives a consolidated headcount of about 6,200 people, a large share of whom are part-time workers on customer sites.
  • In April 2025 the company reorganized within the group: it took over the building-maintenance business of two subsidiaries in the Kanto area, moved its own condominium-management business into a subsidiary renamed Harima Life Support, and acquired Aiwa Service; it acquired Musashino Tsushin in August 2025.

Investment case

  1. The annual securities report for the year to March 2026 states that the company met the targets of its 2023–2025 medium-term plan, with record sales for a second year driven by new contracts entering full operation, ad hoc work and higher margins at group companies (see Performance & Balance).
  2. The first-quarter earnings release for the year to March 2027 reports sales and operating profit sharply higher than a year earlier, which the company attributes to new contracts, contract renewals, more ad hoc work and recruitment costs running below plan in the quarter.
  3. The company raised its year-end dividend for the year to March 2026, repurchased its own shares during that year, and forecasts a higher annual dividend for the year to March 2027 with equal interim and year-end payments; its articles allow the board to decide dividends.
  4. The company has a stated acquisition program: four subsidiaries were added or fully consolidated between April 2024 and August 2025, it entered a business alliance with Yokohama Capital in May 2025, and its Long-Term Vision 2026–2035 names active M&A, regional expansion, new businesses and overseas business as its four measures.

Bear case

  1. The company's own forecast for the year to March 2027, the first year of its new 2026–2028 medium-term plan, calls for lower operating and net profit than the prior year because it is front-loading investment in personnel and DX/AI; the first-quarter release says wage increases, recruitment and training costs are scheduled from the second quarter onward and the full-year forecast is unchanged.
  2. Acquisitions have added goodwill and customer-related assets to the balance sheet, and amortization of both rose in the first quarter of the year to March 2027; the company states that these balances may grow with further M&A and could be impaired if acquired businesses underperform.
  3. The company issued convertible bonds in the year to March 2026, and the first-quarter release shows diluted earnings per share below basic earnings per share, so conversion would increase the share count (see Performance & Balance).
  4. The business is labor-intensive and operates largely under fixed-price contracts; the company states that customers treat maintenance fees as a fixed cost subject to constant cost-cutting, so passing on minimum-wage and material cost increases depends on renegotiation.

Catalysts

  • Second-quarter results for the six months to September 2026, which will show whether the planned rise in personnel and recruitment costs from the second quarter brings profit back toward the unchanged full-year forecast; September 30 is the interim dividend record date.
  • Progress under the 2026–2028 medium-term plan and any further acquisitions announced under the Long-Term Vision 2026–2035, including activity related to the May 2025 alliance with Yokohama Capital.
  • The first year under the new president following the June 26, 2026 annual meeting, including any changes in strategy or capital allocation.

Key risks

  • Labor shortages and recruitment difficulty: the company states that worsening shortages could raise wages and hiring costs and make it unable to staff customer sites, reducing sales; it uses foreign technical intern and specified-skilled-worker programs to recruit.
  • Changes to rules on part-time workers, especially minimum-wage increases, which the company says have raised the average hourly rate for part-time staff every year.
  • Market conditions: rising office vacancy or falling rents could lead building owners to demand price cuts or cancel contracts, ad hoc work orders can fluctuate with the economy, and PFI long-term repair contracts carry the risk of repairs exceeding plan.
  • Regulatory exposure: the business operates under the Construction Business Act, Security Business Act, Fire Service Act and Condominium Management Act among others, and violations or data leaks could lead to business suspension, exclusion from public tenders or contract cancellations.

Trading liquidity

Median daily trading value US$0.03mn
Average daily volume 6,247 shares

2025-10-07 to 2026-10-23 (250 trading days). Trading value is daily closing price × daily volume on the Tokyo Stock Exchange.

Assumptions

  • Financial figures on this page come from beluuga.ai's daily data set; trading liquidity is measured over the period shown. We do not use consensus estimates.
  • The company labels fiscal years by the starting calendar year, so its 2026–2028 medium-term plan covers the years to March 2027 through March 2029 and the long-term vision's final year, fiscal 2035, ends in March 2036.
  • Leadership changed at the June 26, 2026 annual meeting: the proposed board replaces the president with the former vice president executive officer, the representative director and chairman (who is also listed individually among the major shareholders) is not on the post-meeting board, and the largest holder is a private limited company while an investment partnership of Hikari Tsushin, Inc. is the second-largest (see Shareholders).
  • Qualitative statements are taken from the annual securities report for the year to March 2026 and the first-quarter earnings release for the year to March 2027.

This is independent research. No company paid for or reviewed it. We do not publish ratings, price targets or buy/sell views. Figures on the other slides of this page come from beluuga.ai's daily data set.

Important disclosures

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Securities of Japanese issuers. The securities discussed are issued by companies incorporated in Japan and listed on the Tokyo Stock Exchange. They may not be registered under the U.S. Securities Act of 1933, and the issuers may not be subject to the periodic reporting requirements of the Securities Exchange Act of 1934. Information about these issuers may be less extensive than information about U.S. issuers, and their financial statements are prepared under Japanese GAAP, IFRS or U.S. GAAP as each issuer elects. U.S. persons may face restrictions, tax consequences and practical limits on buying, holding or selling these securities. Investments in non-U.S. securities involve risks that include currency movements, lower trading liquidity, and differences in market practice, corporate governance and legal protection.

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Sources, accuracy and forward-looking statements. This material is based on the issuers' public disclosure documents and on market data, and it was prepared with the assistance of AI tools and reviewed by the Beluuga AI Research Team. We believe the sources to be reliable but do not guarantee that the information is accurate, complete or current, and the material may contain errors. Statements about the future, including catalysts and risks, are assumptions and are not guarantees; actual results may differ materially. Past performance is not a guide to future performance. The material speaks only as of its date, and we have no obligation to update it. Where the issuer's original disclosure is in Japanese, the Japanese original prevails over any English description given here.

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Overview
Services

HARIMA B.STEM CORPORATION

Harima Bistem provides comprehensive building management services primarily in Japan, encompassing cleaning, facility maintenance, security, and engineering operations for public facilities, office buildings, retail stores, medical facilities, and hotels. The company also offers elevator and HVAC equipment maintenance, fire safety inspections, environmental hygiene management, condominium management, and renovation works. Its competitive strength lies in its integrated multi-service platform, long-standing public sector relationships, and a network of specialized group companies covering the full spectrum of building lifecycle services.

Market Cap
US$58.3M
¥9.31B
EV
US$23.5M
¥3.75B
StockUS$6.53(¥1,043)▲+3.37%
US$1 = ¥159.70 (2026-11-12)
LTM EV/EBITDA
1.8
x
LTM EV/EBIT
2.1
x
LTM PER
6.8
x
LTM PBR
0.9
x
Stock vs TOPIX (1Y, base=100)vs TOPIX ▲+5.7%pt
100
Nov 13, 25 – Nov 13, 26StockTOPIX
MC → EV Bridge
US$58.3M¥9.31BMarket CapUS$11.4M¥1.83B+ DebtUS$35.6M¥5.68B− CashUS$10.7M¥1.71B− Inv. Sec.US$23.5M¥3.75BEV
AI Briefing
Integrated building management platform (cleaning, security, facility/equipment maintenance) across Japan, expanding via bolt-on M&A under new leadership installed June 2026; FY26/3 revenue US$193M (¥30.9B), OP US$9.39M (¥1.5B) (4.9% margin), record sales for a second straight year. Four subsidiaries added since April 2024, convertible bonds issued, and a Yokohama Capital alliance feed an active M&A and regional-expansion plan through 2035, even as FY27/3 guidance calls for lower profit on front-loaded personnel and DX investment. Market read centers on how rising goodwill/intangible amortization from the acquisition program, dilution risk from the convertible bonds, and the first full year under new leadership will shape capital allocation and medium-term plan execution.
Performance & Balance
Revenue 5Y (US$)
US$157M¥25.0B'22/3US$159M¥25.3B'23/3US$167M¥26.6B'24/3US$175M¥28.0B'25/3US$194M¥30.9B'26/3
EBITDA 5Y (US$)
US$6.36M¥1.02B'22/3US$5.81M¥0.93B'23/3US$6.81M¥1.09B'24/3US$8.25M¥1.32B'25/3US$11.1M¥1.77B'26/3
Net Income 5Y (US$)
US$4.93M¥0.79B'22/3US$4.61M¥0.74B'23/3US$4.73M¥0.76B'24/3US$5.39M¥0.86B'25/3US$7.41M¥1.18B'26/3
Capital Structure
85%
EquityD/E 0.18xDebt
Liquidity vs Debt 5Y (US$)▲ Net Cash
CashInv. Sec.Debt
US$29.5M¥4.72BUS$7.11M¥1.14B'22/3US$29.5M¥4.70BUS$4.11M¥0.66B'23/3US$32.9M¥5.25BUS$4.57M¥0.73B'24/3US$36.5M¥5.83BUS$5.18M¥0.83B'25/3US$37.3M¥5.96BUS$10.2M¥1.63B'26/3
Shareholders
Top 10 hold 52.7%
1
Otori Yugen Kaisha
16.50%
2
Hikari Tsushin, Inc. KK Investment Business Limited Liability Partnership
6.40%
3
HARIMA B.STEM CORPORATION Employee Stock Ownership Association
5.80%
4
Custody Bank of Japan, Ltd. (Trust Account)
4.30%
5
Chuo-Nittochi Co., Ltd.
4.10%
6
Yoshihisa OTORI
4.00%
7
HARIMA B.STEM CORPORATION Officers' Stock Ownership Association
3.20%
8
Mitsubishi UFJ Trust and Banking Corporation (Standing Proxy: The Master Trust Bank of Japan, Ltd.)
2.80%
9
Mizuho Bank, Ltd. (Standing Proxy: Custody Bank of Japan, Ltd.)
2.80%
10
The Bank of Yokohama, Ltd. (Standing Proxy: Custody Bank of Japan, Ltd.)
2.80%
Management
10 officers
Tomonori SAKAMOTO
Representative Director, President
Mar 1994 Joined the Company Jun 2011 Executive Officer, Head of Corporate Planning Office, Head of Engineering Division and General Manager of Construction Department Apr 2012 Executive Officer, Head of Kanagawa Division Apr 2015 Executive Officer, Head of Corporate Planning Office Oct 2016 Executive Officer, Head of Corporate Planning Division and General Manager of Planning Department Oct 2018 Executive Officer, Head of Corporate Planning Division, General Manager of Corporate Planning Department and General Manager of Human Resources Planning Department Apr 2022 Senior Executive Officer, Head of Sales Division and General Manager of Sales Promotion Department Apr 2025 Managing Executive Officer, Head of Sales Division Apr 2026 Executive Vice President, Executive Officer, in charge of Sales Division Jun 2026 Representative Director, President, the Company (current)
1971-03-13
Hiroyuki MATSUTANI
Director, Managing Executive Officer
Apr 1987 Joined Dai-Ichi Kangyo Bank, Ltd. (now Mizuho Bank, Ltd.) Jul 2010 Branch Manager, Hino Branch, Mizuho Bank, Ltd. Apr 2013 Branch Manager, Nerima Branch, Mizuho Bank, Ltd. Jun 2015 Director, Executive Officer, in charge of Sales Planning, the Company Oct 2017 Director, Executive Officer, Deputy Head of Sales Division, the Company Apr 2022 Director, Senior Executive Officer, in charge of Sales Division and General Manager of Environmental Solutions Promotion Office, the Company Apr 2024 Representative Director, Chairman, TEC Service Co., Ltd. Aug 2025 Representative Director, Chairman, Musashino Tsushin Co., Ltd. Apr 2026 Director, Managing Executive Officer, in charge of Kansai and Nagoya Regions, the Company (current); Representative Director, President, Kyoei Building Management Co., Ltd. (current)
1964-12-16
Takenori YAMAMOTO
Director, Managing Executive Officer
Apr 1991 Joined The Bank of Yokohama, Ltd. Apr 2019 Branch Manager, Sagami-Ono Branch, The Bank of Yokohama, Ltd. Aug 2020 Branch Manager, Fujisawa Chuo Branch, The Bank of Yokohama, Ltd. May 2023 Advisor, the Company Jun 2023 Director, Senior Executive Officer, Head of Kanagawa Division, the Company Apr 2026 Director, Managing Executive Officer, Head of Kanagawa Division, the Company (current)
1966-10-26
Tatsuya KAWASAKI
Director, Managing Executive Officer
Apr 1994 Joined the Company Jun 2009 Executive Officer, General Manager of Sales Promotion Department, the Company Apr 2022 Senior Executive Officer, Deputy Head of Corporate Planning Division, General Manager of Corporate Planning Department and General Manager of Overseas Business Department, the Company Mar 2023 Representative Director, President, NK Building Management Co., Ltd. (now Harima Life Support Co., Ltd.) (current) Jun 2023 Director, Senior Executive Officer, Deputy Head of Corporate Planning Division, General Manager of Corporate Planning Department and General Manager of Overseas Business Department, the Company Apr 2025 Director, Senior Executive Officer, Deputy Head of Corporate Planning Division, in charge of Corporate Planning Department and Engineer/Traction Department, the Company; Representative Director, Executive Vice President, Aiwa Service Co., Ltd. (current) Apr 2026 Director, Managing Executive Officer, Head of Corporate Planning Division, the Company (current)
1970-06-08
Hiroshi IKEUCHI
Director, Full-time Audit and Supervisory Committee Member
Apr 2008 Joined the Company Apr 2015 General Manager of Accounting Department, the Company Apr 2022 Executive Officer, General Manager of Accounting Department, the Company Mar 2025 Statutory Auditor, Vistem Clean Co., Ltd. (current); Statutory Auditor, Kyowa Bousai Setsubi Co., Ltd. (current); Statutory Auditor, Kanto Shobo Kizai Co., Ltd. (current); Statutory Auditor, NK Building Management Co., Ltd. (now Harima Life Support Co., Ltd.) (current); Statutory Auditor, TEC Service Co., Ltd. (current) Apr 2025 Statutory Auditor, Aiwa Service Co., Ltd. (current) Jun 2025 Director (Full-time Audit and Supervisory Committee Member), the Company (current) Aug 2025 Statutory Auditor, Musashino Tsushin Co., Ltd. (current)
1968-10-12
Ichiro NUMAJIMA
Director, Managing Executive Officer
Jun 2014 General Manager, Nagoya Corporate Business Department, Mitsubishi UFJ Trust and Banking Corporation Jun 2016 General Manager, Sales Department No. 3, Mitsubishi UFJ Trust and Banking Corporation Apr 2018 Executive Officer, General Manager, Sales Department No. 5, Sales Division No. 2, MUFG Bank, Ltd. Apr 2020 Executive Officer, General Manager attached to Executive Office, Retail Planning and Promotion Department, Mitsubishi UFJ Trust and Banking Corporation Apr 2021 Executive Officer, General Manager, Branch Department, MUFG Bank, Ltd. Apr 2023 Representative Director, President, Ryoshin Toshi Kaihatsu Co., Ltd. Jun 2026 Director, Managing Executive Officer, in charge of Sales Division, the Company (current)
1967-04-08
Akimasa FUSE
Director
Apr 1995 Prosecutor, Tokyo District Public Prosecutors Office Apr 2001 Registered as Attorney-at-Law Jun 2008 Outside Director, Kubiki Jidosha Co., Ltd. (current) Apr 2012 Fuse Akimasa Law Office Jun 2015 Outside Director, the Company (current) Dec 2020 Outside Director (Audit and Supervisory Committee Member), CSS Holdings Co., Ltd. Dec 2021 Statutory Auditor, Central Service System Co., Ltd. (current) Jun 2022 Outside Statutory Auditor, Tixplus Co., Ltd. Jul 2022 Partner, MOS Joint Law Office (current)
1963-06-03
Noriko MOCHIZUKI
Director, Audit and Supervisory Committee Member
Apr 1989 Joined The Bank of Yokohama, Ltd. Feb 2017 Branch Manager, Seya Branch, The Bank of Yokohama, Ltd. Jan 2022 General Manager, Insurance Department, Yokohama Shinko Co., Ltd. Jun 2023 Director (Audit and Supervisory Committee Member), the Company (current) Apr 2026 General Manager, Business Division, Hamagin Industrial and Cultural Promotion Foundation (current)
1966-10-31
Jiro NODA
Director, Audit and Supervisory Committee Member
Sep 2016 General Manager, General Affairs Department, Kanagawa Prefectural Police Headquarters Oct 2017 Branch Manager, Kanagawa Branch, Taiyo Kyosai Co., Ltd. Mar 2023 Advisor, Taiyo Kyosai Co., Ltd. Jun 2023 Director (Audit and Supervisory Committee Member), the Company (current)
1957-08-05
Nobuyuki YAMADA
Director, Audit and Supervisory Committee Member
Aug 1994 Registered as Certified Public Accountant Jul 2006 Partner, Tohmatsu Audit Corporation (now Deloitte Touche Tohmatsu LLC) Oct 2024 Head, Nobuyuki Yamada Certified Public Accountant Office (current) Jun 2025 Director (Audit and Supervisory Committee Member), the Company (current) Jun 2026 Statutory Auditor, UIJAPAN Co., Ltd. (current)
1966-06-25
Large Shareholding Reports
Yoshihisa Kohno
2026-09-17
6.18%→2.54%
Annual report (as of 2026-03-31): 4.00%
Hikari Tsushin, Inc.
2026-08-20
6.96%→6.96%
Yoshihisa Ko
2026-08-06
6.18%
Annual report (as of 2026-03-31): 4.00%
Simplex Asset Management Co., Ltd.
2026-04-07
6.05%→3.97%
Koutsushin Co., Ltd.
2025-09-29
6.96%→6.96%
Disclosures
No disclosures
Primary Source Filings
EDINET
2026-11-13
Semi-Annual Securities Report
Period: Apr 2026 – Mar 2027
TDnet
2026-11-11
Q2 Earnings Flash
FY ending Mar 2027
TDnet
2026-11-11
業績予想の修正
FY ending Mar 2027
EDINET
2026-09-17
Large Shareholding Report
EDINET
2026-08-20
Large Shareholding Report
TDnet
2026-08-12
Q1 Earnings Flash
FY ending Mar 2027
EDINET
2026-08-06
Large Shareholding Report
EDINET
2026-06-24
Annual Securities Report
Period: Apr 2025 – Mar 2026
TDnet
2026-05-14
Full-Year Earnings Flash
FY ending Mar 2026
EDINET
2026-04-07
Large Shareholding Report
TDnet
2026-02-06
Q3 Earnings Flash
FY ending Mar 2026
EDINET
2025-11-13
Semi-Annual Securities Report
Period: Apr 2025 – Mar 2026
EDINET
2025-09-29
Large Shareholding Report
TDnet
2025-08-08
Q1 Earnings Flash
FY ending Mar 2026
EDINET
2025-06-27
Annual Securities Report
Period: Apr 2024 – Mar 2025
EDINET
2025-05-15
Securities Registration Statement
TDnet
2025-02-07
Q3 Earnings Flash
FY ending Mar 2025
EDINET
2024-11-14
Semi-Annual Securities Report
Period: Apr 2024 – Mar 2025
TDnet
2024-08-08
Q1 Earnings Flash
FY ending Mar 2025
EDINET
2024-06-27
Annual Securities Report
Period: Apr 2023 – Mar 2024
EDINET
2024-02-14
Quarterly Securities Report
Period: Oct 2023 – Dec 2023
EDINET
2023-11-14
Quarterly Securities Report
Period: Jul 2023 – Sep 2023
EDINET
2023-08-14
Quarterly Securities Report
Period: Apr 2023 – Jun 2023
EDINET
2023-06-29
Annual Securities Report
Period: Apr 2022 – Mar 2023
EDINET
2023-02-14
Quarterly Securities Report
Period: Oct 2022 – Dec 2022
EDINET
2022-11-14
Quarterly Securities Report
EDINET
2022-08-15
Quarterly Securities Report
EDINET
2022-06-29
Annual Securities Report
EDINET
2022-02-14
Quarterly Securities Report
EDINET
2021-11-15
Quarterly Securities Report
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