Equipment Leasing
Accelerating Efforts to Increase Value in the Leasing Business and Expand Partnerships
Utilizing Digital Transformation
We provide financial services that match a wide variety of assets through our broad customer base.
Equipment Leasing
Establishing a solid business foundation for Tokyo Century
- Segment Assets
- ¥ 1,312.0 billion
- Distribution of Segment Assets
- 25 %
- Ordinary Income
- ¥ 31.7 billion
*As of March 31, 2023
Strengths
The Equipment Leasing segment boasts a broad customer base and responds to the diversifying and changing needs of customers with its evolving “Finance × Service × Business” model.
Another strength is our culture of boldly taking on challenges in new business areas.
Opportunities
- Expansion of businesses in new fields by enhancing relationships with prime partners
- Rising demand for environmental value driving growth in decarbonization-related businesses
- Growth of next-generation financial services that merge subscription and other digital transformation services with leasing and finance businesses
Risks
- Business risks associated with expansion into new business fields extending beyond boundaries of finance
- Governance risks arising in conjunction with growth of Group companies
- Geopolitical risks and other operating environment changes
- Managing Executive Officer,
- President, Equipment Leasing Business Development Unit
Koichiro Sato
Expanding Co-Creative Businesses with Partners Based on Group Integrated Management
Domestic lease transaction volume (on a calendar year basis) has been below the previous year’s level for three consecutive years since 2020, mainly due to a decline in capital investment during the COVID-19 pandemic. On the other hand, demand for services is expected to recover as economic activities normalize, and capital investment is expected to rise over the medium to long term in fields such as decarbonization and digital technologies. We therefore expect leasing demand to reverse and recover in the future.
Designation of Strategic Growth Areas for Concentrating Resources
Under the Medium-Term Management Plan 2027, which started in fiscal 2023, our basic strategy is to further expand our initiatives and aggressively invest in business transformation and growth areas to achieve sustainable growth. We will designate growth markets and areas with high potential for collaboration with prime partners as strategic growth areas in which to pursue a strategy of concentrating resources.
As a preliminary move, in fiscal 2022 Tokyo Century and ITOCHU Corporation jointly set an investment facility of €20 million for Clean H2 Infra Fund S.L.P. of France, the world’s first large-scale clean hydrogen infrastructure investment fund.
Major Offerings
Leasing, Installment Sales, and Other Financial Services
We offer financial services for information and communication equipment, office equipment, factory equipment, construction machinery, and other commercial equipment.
Related Services
Co-Creative Businesses
Environment and energy businesses with prime partners and building a cooperative framework in the digital technology field.
IT Solutions and Subscription Services
For manufacturers, distributors, and others considering a shift from a sell-off model to a subscription model, we offer TCplats*as a proprietary subscription integration platform, and we also provide subscriptions for various IoT solutions.
- *OEM supply of Bplats®, a platform developed and operated by our equity method affiliate, Bplats, Inc.
Key Figures
Number of Customers
More than 20,000 companies
Ratio of Profits from Affiliates to Ordinary Income
Approx. 40 % *
Pre-Owned Personal Computers Sold
Approx. 240,000 units
- *Percentage of ordinary income in the Equipment Leasing segment (FY2021)
Launch of Secondhand Smartphone and Tablet Rental Service for Corporate Users with ITOCHU
In cooperation with the wholly owned ITOCHU Corporation subsidiary Belong Inc., Tokyo Century operates Belong One, a service for corporate users requiring rental of secondhand smartphones and tablets.
Belong One was launched in response to growing demand from corporations for these devices. The service increases the reuse of smartphones and tablets, as they can be maintained and reused after the end of their rental service life. As a result, this initiative contributes to the realization of circular economies.
