OSAKA, December 2025 — The recent Osaka Expo has significantly boosted earnings for some rail operators in western Japan, particularly those with strong leisure and service business segments. The event's success in drawing visitors has highlighted the revenue potential for transportation networks tied to large-scale public attractions.

Keihan Holdings reported an impressive 82% year-on-year increase in operating profit for its leisure and service businesses between April and September, attributing this growth in part to the high hotel room occupancy rates during the expo. In contrast, Kintetsu Group Holdings experienced less success in fully capitalizing on the event. Despite efforts to promote tourist sites along its railway lines in Nara and Mie Prefectures via advertisements on Osaka Metro trains, visitor numbers to these areas were fewer than anticipated.

The varying outcomes underscore the importance of strategic visitor engagement and destination promotion. While the expo itself drove significant traffic, the ability of rail operators to extend that benefit to secondary tourist locations depended on effective marketing and the appeal of those specific destinations to expo attendees.

"The hotel room occupancy rate (during the expo) was higher than expected," noted Masaya Ueno, executive vice president of Keihan Holdings, emphasizing the strong demand for accommodation. However, Kintetsu Group Managing Executive Officer Hiroyuki Kasamatsu observed that "passengers bound for (Mie's) Shima region were fewer than anticipated," indicating a challenge in diverting visitor flow beyond the immediate expo vicinity.

Overall, the Osaka Expo served as a notable revenue driver for the region's rail operators, demonstrating the direct economic impact of major events. While Keihan Holdings leveraged the surge effectively, Kintetsu's experience suggests that success is contingent not only on proximity but also on targeted strategies to attract visitors to broader regional attractions, fitting into the larger picture of how infrastructure and tourism are intertwined.

Source: The Japan Times