Sushiro changes name to build on strong sales amid pandemic

A staff member puts food into a pickup locker at the entrance at a Sushiro restaurant in Tokyo last June, allowing customers to receive their order without waiting. (Credit: The Yomiuri Shimbun)

Conveyor-belt sushi restaurant operator Sushiro Global Holdings Ltd. has been enjoying a strong performance amid the prolonged coronavirus crisis, defying the downward trends felt at other food businesses. That success and other factors led the Sushiro group on April 1 to change its name to Food & Life Companies Ltd.

"We changed the name of the company in order to have the possibility to work on something other than sushi," said President Koichi Mizutome at a press conference in Tokyo on April 2.

While the coronavirus crisis has caused major drops among other dining businesses, Sushiro expects to post its highest-ever final profit in the business year ending September 2021.

Overall dining business sales were down 22% in February this year from the same month last year. But Sushiro's sales remained at almost the same level as last year, down only 0.1% at its existing restaurants.

A major reason for the strong performance is the location of Sushiro restaurants. Since its restaurants are primarily in the suburbs, its customer base is mainly families. Despite the trend of consumers refraining from dining out, Sushiro was not impacted as much as izakaya Japanese-style pubs.

In addition, Sushiro has been reaping the benefits of its enhanced take-out service. Each restaurant has lockers for food pickups at the entrance. Customers who order and pay in advance using a smartphone can receive their food without waiting.

The Sushiro group also includes an izakaya chain and Taiwanese tea cafes, and in April, takeout sushi shop Kyotaru Co. joined the group.

The sushi side of the group's business has lacked outlets in urban areas, so these subsidiaries will be able to fill the void. The company also plans to further strengthen its take-out business.

The group also intends to accelerate its business diversification extension and overseas expansion. At the end of March, it opened its first Sushiro restaurant in Thailand, and is also aiming to open its first outlet in China.

"A restaurant brand from Japan can be accepted around the world." said Mizutome. "We want to make sure that our logo is seen in every major city."

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