Greens Co., Ltd., is aggressively expanding its hotel business with tail wind of foreign tourism boom

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According to the statistics announced by the Japan National Tourism Organization, the number of foreign visitors to Japan in the first half of 2019 has recorded the highest ever exceeding 16,633,000, an increase of 4.6% over the same period last year. 

 However, the number of foreign visitors in November 2019 decreased by 0.4% year-on-year to 2,441,000. The tourists from Korea fell by 65.1% from the same month last year causing entire figures to decline. 

 On the other hand, the number of tourists from 19 countries including China, Taiwan, Hongkong, Thailand, Singapore has grown by 19.9% year-on-year, recording highest ever. In particular, visitors from China increased by 134,000 from the same month of the previous year. 

 Visitors from southeast Asian countries also recorded double-digit gain year-on-year supporting steady expansion of entire foreign tourists’ figures. 

 Under such economic conditions, Greens Co., Ltd., which is headquartered in Mie prefecture and operates hotel business in various parts of Japan, is aggressively expanding its business opening new hotels in Miyazaki, Kobe, Kochi, and Osaka since last September. 

 The company operates 95 hotels and 13,485 guest rooms as of the end of the first quarter of FY2020, becoming one of the Japan's leading hotel chains. 
Greens Co., has been the exclusive franchisor of the Comfort brand in Japan since 2003. 

 The comfort is well known brand worldwide and the franchising has been helping Green’s hotels to have foreign tourists growing. The company plans to deploy AI automatic translators at these hotels to improve customer service aiming to increase its profits further. 

 For the first quarter of FY2020, sales increased 1.1% year-on-year to 8,077 million yen. For the full year 2020, sales will increase 5.9% year-on-year to 32,718 million yen, although operating income is expected to decrease 14.4% to 2,081 million yen and net income will decrease by 11.8% to 1,332 million yen due to investment costs for business expansion.

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