Medium-Term Management Plan 2020
Unceasing Challenge for New Value Creation
Unceasing Challenge for New Value Creation
Medium-Term Management Plan 2020 (PDF)
Overview

Growth Strategy
Growth strategy 1 |
Increase Value of Existing Business |
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Growth strategy 2 |
Create Next- generation Business |
JPY300 billion “Strategic Investment Fund” to three growth areas over three years
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Growth strategy 3 |
Leverage Business Platforms |
Creating new value through hybridization of multiple businesses and cross-organizational collaboration |
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Business Support Functions
Biz-Dev Support | Full Potential Plan | Asset Cycle Management | Digital Transformation |
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Management Base Enhancement
Management Base Enhancement 1 |
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Corporate Governance |
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Management Base Enhancement 2 |
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Human Resources Strategy |
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Enhancement of management bases 3 |
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Financial Soundness |
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- Revised plan (as of Aug. 2020)
- Basic profit cash flow = Basic profit - Share of profit (loss) of investments accounted for using the equity method + Dividend from investments accounted for using the equity method
Basic profit = (Gross profit + Selling, general and administrative expenses (excluding provision for doubtful receivables) + Interest expense, net of interest income + Dividends) × (1-Tax rate) + Share of profit (loss) of investments accounted for using the equity method
Results and Targets
Consolidated business results | ||
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(Billions of Yen) | FY2019 Results | FY2020 Forecasts |
Profit / Loss (-) for the year (attributable to owners of the parent) |
171 | -150 |
Financial indicator | ||
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FY2019 Results | FY2018-FY2020 Targets | |
ROA | 2.1% | 4% or more |
ROE | 6.4% | 10% or more |

- Approx. 50.0 billion yen of increase in depreciation by adopting IFRS16 is deducted
Dividend Policy
Basic policy | To increase dividends by achieving mid-long term earnings growth while adhering to the Company’s fundamental policy of paying shareholders a stable dividend over the long term |
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“Medium-Term Management Plan 2020” dividend policy | We will decide the dividend amount in view of the situations regarding basic profit and cash flow, with a consolidated payout ratio of 30% as a guideline |
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FY2019 dividends |
JPY80/share (interim JPY45/share, year-end JPY35/share) *The interim dividend includes 100 anniversary commemorative dividend of 10 yen per share. |
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Medium-Term Management Plan 2020 (PDF)
- Cautionary Statement Concerning Forward-Looking Statements
This report includes forward-looking statements relating to our future plans, forecasts, objectives, expectations and intentions. The forward-looking statements reflect management's current assumptions and expectations of future events, and accordingly, they are inherently susceptible to uncertainties and changes in circumstances and are not guarantees of future performance. Actual results may differ materially, for a wide range of possible reasons, including general industry and market conditions and general international economic conditions. In light of the many risks and uncertainties, you are advised not to put undue reliance on these statements. The management forecasts included in this report are not projections, and do not represent management’s current estimates of future performance. Rather, they represent forecasts that management strives to achieve through the successful implementation of the Company’s business strategies. The Company may be unsuccessful in implementing its business strategies, and management may fail to achieve its forecasts.
The Company is under no obligation -- and expressly disclaims any such obligation -- to update or alter its forward-looking statements.