Feature｜ Kanamoto's Unique Business Model

Pursue improvements to construction equipment profit margins and asset value.

Practicing "Rent to Sale" through flexible operating decisions

The essence of Kanamoto's business model is to recover investment outlays through rental income following the introduction of equipment, which is ultimately disposed of through sales. One ongoing theme in the Company's operations has been to boost profit margins by easing the depreciation burden and extending the useable life of assets. For models that enjoy robust demand in the second-hand market, however, Kanamoto must temper its response to global market conditions. As a result, the Company's operations pivot on maintaining flexible assessments, attuned to circumstances, on whether to hold assets for the long term or to replace equipment relatively quickly.

Business Model for Kanamoto's Construction-related Businesses (Construction Equipment Rentals)

Reliable maintenance technology and selection criteria enhance construction equipment asset value

At Kanamoto, the safety and functionality of our construction equipment are maintained daily by the highly trained maintenance staff assigned to all of our domestic branches. This thorough maintenance enhances the asset value of equipment sold in the used equipment market.
The clearance sale value of our construction equipment is raised even further by the fact Kanamoto selects construction equipment that is in use around the world. Of course, one criterion used equipment purchasers will rely on when selecting products is that the parts and maintenance systems available in other countries are similar to the networks established in Japan. In order to meet this requirement, Kanamoto selects the leading construction equipment manufacturers in Japan. We will continue to provide thorough maintenance and make strict rental equipment selections, and build the Kanamoto brand on both rentals and secondhand equipment.