Message from the President

I am pleased to report on the operating activities of Kanamoto Co., Ltd. during the Business Period ended October 31, 2015, and discuss our policies for the future.

During Kanamoto’s business period ended in October 2015, Japan’s economy maintained its gradual recovery trend, supported by the brisk performance of export-oriented firms and an increase in the number of tourists visiting Japan as a result of the depreciation of the yen, and by a brighter employment picture.
In the construction industry that is the main customer for construction equipment rentals, redevelopment works in the Tokyo metropolitan area increased, and restoration and reconstruction demand in areas stricken by natural disasters was vigorous as well. In other regions, however, demand was sluggish because of the lack of supplementary budget measures, which helped stimulate demand in the previous year.

Together with responding to this construction demand by structuring its asset portfolio to match customers’ needs, the Kanamoto Group remains conscious of the mission of rental as a vital social infrastructure, and will support national resilience in the future.

Work has also begun on two major projects, the 2020 Olympics and Paralympic Games to be held in Tokyo and the Linear Shinkansen. Concentrated investment over the short term is projected, and based on our conviction that equipment rental will play an even greater role than before, we will remain alert to the investment required to respond to demand.

In our overseas operations, which we have positioned as an engine for medium to long-term growth, we added new bases in Indonesia, Thailand, and Vietnam to our existing network in Shanghai, Hong Kong, and Singapore. Kanamoto will work to expand sales and earnings by accurately incorporating the vigorous demand in each ASEAN country into its business plan.

We look forward to continuing to receive your unwavering support and encouragement for the Kanamoto group in the future.