Providing valuable content and services in the education and academic sectors and expanding the business

「一方、利益面は販管費の減少や教育・研究施設、図書館などの設計・施工事業において比較的利益率の高い案件が完工したことにより営業利益は21億82百万円（前年同期比11.7％増）と増益となりました。」

「During the interim consolidated accounting period, book sales in the university market, including textbooks, declined, resulting in a 1.1% year-on-year decrease in revenue to ¥26,345 million. Operating profit, however, increased 11.7% to ¥2,182 million, supported by lower selling, general and administrative expenses and the completion of relatively high-margin design and construction projects for educational and research facilities and libraries.」

「During the interim consolidated accounting period, revenue increased 2.5% year on year to ¥26,641 million and operating profit increased 7.1% to ¥1,953 million, driven by an increase in the completion of large-scale design and construction projects for educational and research facilities and libraries, solid book sales to public libraries, and the inclusion in the scope of consolidation of TRC-ADEAC Co., Ltd., a subsidiary of Library Distribution Center Co., Ltd., which has provided a platform system for searching and viewing digital archives since the beginning of the period.」

「For the fiscal year, lower sales of textbooks and other books were more than offset by an increase in completed large-scale design and construction projects for educational and research facilities and libraries. Revenue increased 0.7% year on year to ¥46,819 million, and operating profit increased 0.6% to ¥3,250 million.」

「For the six-month interim consolidated accounting period, design and construction of educational and research facilities and libraries increased from the previous year, but lower sales of textbooks and other books resulted in revenue declining 2.8% year on year to ¥25,994 million and operating profit declining 12.8% to ¥1,824 million.」

「During the three months ended 30 June, design and construction of educational and research facilities and libraries increased from the previous year, but lower sales of textbooks and other books resulted in revenue declining 4.6% year on year to ¥16,133 million and operating profit declining 8.8% to ¥1,787 million.」

「For the fiscal year, sales of books and other products to public libraries remained solid, but lower sales of textbooks and other books in the university market and fewer completed design and construction projects for educational and research facilities and libraries resulted in revenue declining 3.1% year on year to ¥46,477 million and operating profit declining 2.5% to ¥3,230 million.」

「Against this backdrop, the Group is pursuing the creation of new added value that contributes to consumers' intellectual and cultural lives, under three principal strategic themes: “Building a society that lives alongside learning,” by providing products and services that contribute to higher-quality education and developing businesses in recurrent and adult education; “Contributing to regional revitalization,” by creating regional communities and places for learning centered on libraries and bookstores; and “Creating new bookstore revenue models,” by expanding non-book products and service businesses and strengthening earnings capacity through operational efficiency using ICT.」

「During the six months ended 30 September, sales of books and other products to public libraries remained solid, but lower sales of textbooks and other books in the university market resulted in revenue declining 1.3% year on year to ¥26,748 million. Meanwhile, efforts to reduce expenses resulted in operating profit increasing 10.5% to ¥2,093 million.」

「During the three months ended 30 June, sales of books and other products to public libraries and design and construction of educational and research facilities and libraries increased from the previous year. However, lower sales of textbooks and other books in the university market resulted in revenue of ¥16,910 million, broadly in line with the previous year and down 0.01% year on year. Meanwhile, efforts to reduce expenses resulted in operating profit increasing 6.3% to ¥1,960 million.」

「For the fiscal year, the prolonged COVID-19 pandemic reduced the completion of large-scale and other projects involving the design and construction of educational and research facilities and libraries. Lower sales of books and other products in the university market and to public libraries, together with the impact of applying the revenue recognition accounting standard and other standards, resulted in revenue of ¥47,976 million, compared with ¥56,519 million in the previous year, and operating profit of ¥3,313 million, down 10.6% year on year.」

「During the nine months ended 31 December, fewer completed large-scale projects involving the design and construction of educational and research facilities and libraries, lower sales of books and other products in the university market and to public libraries, and the impact of applying the revenue recognition accounting standard and other standards resulted in revenue of ¥37,839 million, compared with ¥43,997 million in the previous year, and operating profit of ¥2,319 million, down 15.9% year on year.」

「During the six months ended 30 September, fewer completed large-scale projects involving the design and construction of educational and research facilities and libraries, lower book sales in the university market and to public libraries, and the impact of applying the revenue recognition accounting standard and other standards resulted in revenue of ¥27,095 million, compared with ¥32,275 million in the previous year, and operating profit of ¥1,893 million, down 21.2% year on year.」

「During the three months ended 30 June, fewer completed large-scale projects involving the design and construction of educational and research facilities and libraries, lower demand for book-sanitation machines, which had expanded amid the COVID-19 pandemic, and the impact of applying the revenue recognition accounting standard and other standards resulted in revenue of ¥16,911 million, compared with ¥21,060 million in the previous year, and operating profit of ¥1,843 million, down 20.8% year on year.」

「For the fiscal year, sales of electronic libraries for public libraries and e-books for universities, for which demand had expanded from the second half of the previous fiscal year amid the COVID-19 pandemic, remained solid. Revenue was ¥56,519 million, up 0.1% year on year and broadly in line with the previous fiscal year. In addition, efforts to reduce selling, general and administrative expenses resulted in operating profit increasing 23.6% to ¥3,705 million.」

「During the nine months ended 31 December, sales of electronic libraries, for which demand had expanded from the second half of the previous year amid the COVID-19 pandemic, remained solid. Revenue was ¥43,997 million, up 0.4% year on year and broadly in line with the previous year. In addition, efforts to reduce selling, general and administrative expenses resulted in operating profit increasing 21.9% to ¥2,759 million.」

「During the six months ended 30 September, demand for electronic libraries and book-sanitation machines remained solid amid the COVID-19 pandemic, while completed large-scale design and construction projects for educational and research facilities and libraries increased. As a result, revenue increased 6.2% year on year to ¥32,275 million, and operating profit increased 42.5% to ¥2,404 million.」

「During the three months ended 30 June, demand for e-books, electronic libraries and book-sanitation machines in the education market sales business remained solid, and textbook sales, which had been postponed until May or later in the previous year, were conducted in March and April. In the stores and online sales business, store closures and shorter operating hours as COVID-19 countermeasures were limited during the quarter. As a result, revenue increased 16.4% year on year to ¥51,955 million, operating profit increased 109.3% to ¥2,908 million, ordinary profit increased 104.0% to ¥2,800 million, and quarterly net income attributable to owners of the parent increased 292.5% to ¥1,890 million.」

「However, amid the COVID-19 pandemic, the increase in electronic-library users and the expansion of online university classes helped drive growth in sales of e-books and electronic libraries, whose content enhancement and broader sales had been a focus for some time. Demand for book-sanitation machines sold as library hygiene-management tools also expanded. As a result, revenue rose 0.3% year on year to ¥56,487 million, and operating profit increased 4.2% to ¥2,998 million.」

「During the nine months ended 31 December, most universities remained closed because of the spread of COVID-19, prompting the closure of university stores, shorter operating hours and curtailment of visiting sales activities. Even after the state of emergency was lifted, some universities continued to restrict campus access, and the effects of COVID-19 persisted. As a result, revenue declined 0.9% year on year to ¥43,820 million. Meanwhile, higher sales of relatively high-margin products and efforts to control costs and expenses resulted in operating profit increasing 4.5% to ¥2,263 million.」

「During the six months ended 30 September, most universities closed following the declaration of a state of emergency due to the spread of COVID-19. University stores were closed or operated for shorter hours, and visiting sales activities were curtailed. As a result, revenue declined 2.2% year on year to ¥30,400 million. However, sales of relatively high-margin products increased, and efforts to control costs and expenses resulted in operating profit increasing 2.4% to ¥1,687 million.」

「During the three months ended 30 June, the declaration of a state of emergency due to the spread of COVID-19 resulted in most universities closing, delaying textbook sales and reducing book sales. Construction projects for universities and educational institutions were also delayed or cancelled. As a result, revenue declined 10.2% year on year to ¥17,071 million, and operating profit declined 25.7% to ¥1,289 million.」

「For the fiscal year, lower completion of large-scale projects involving new faculties at universities and educational institutions, including educational and research facilities and libraries, and lower book sales resulted in revenue of ¥56,345 million, down 5.0% year on year, and operating profit of ¥2,876 million, down 11.2%, representing lower revenue and profit.」

「During the nine months ended 31 December, lower completion of large-scale projects involving new faculties at universities and educational institutions, including educational and research facilities and libraries, and lower book sales resulted in revenue of ¥44,221 million, down 7.0% year on year, and operating profit of ¥2,165 million, down 20.8%, representing lower revenue and profit.」

「During the six months ended 30 September, lower completion of large-scale projects involving new faculties at universities and educational institutions, including educational and research facilities and libraries, and lower book sales resulted in revenue declining 10.9% year on year to ¥31,084 million. Operating profit also declined 34.7% to ¥1,648 million.」

「During the three months ended 30 June, fewer completed large-scale projects in the design and construction business for educational and research facilities and libraries resulted in revenue declining 13.6% year on year to ¥19,016 million, while operating profit declined 28.9% to ¥1,735 million.」

「During the nine months ended 31 December, an increase in completed large-scale projects associated with the establishment of new faculties and other initiatives in the design and construction of educational and research facilities and libraries resulted in revenue of ¥47,551 million, up 0.5% year on year, and operating profit of ¥2,733 million, up 15.0%, representing higher revenue and profit.」

「During the six months ended 30 September, an increase in completed large-scale projects associated with the establishment of new faculties and other initiatives in the design and construction of educational and research facilities and libraries resulted in revenue of ¥34,871 million, up 1.9% year on year, and operating profit of ¥2,523 million, up 19.8%, representing higher revenue and profit.」

「During the three months ended 30 June, an increase in completed large-scale projects associated with the establishment of new faculties and other initiatives in the design and construction of educational and research facilities and libraries resulted in revenue of ¥22,010 million, up 1.2% year on year, and operating profit of ¥2,441 million, up 15.6%, representing higher revenue and profit.」

「For the fiscal year, sales of library equipment and electronic-book-related products increased, but lower book sales to public libraries and universities resulted in revenue declining slightly by 0.7% year on year to ¥60,655 million. However, cost reductions, including lower cost of sales and selling, general and administrative expenses, resulted in operating profit increasing 4.3% to ¥3,123 million.」

「During the nine months ended 31 December, book sales to public libraries proceeded steadily, but lower university book sales and fewer completed design and construction projects for educational and research facilities and libraries resulted in revenue declining 1.9% year on year to ¥47,303 million. Operating profit also declined 3.7% to ¥2,377 million.」

「During the six months ended 30 September, book sales to public libraries remained solid, but lower book sales to universities and fewer completed design and construction projects for educational and research facilities and libraries resulted in revenue declining 1.7% year on year to ¥34,210 million. However, efforts to improve costs resulted in operating profit of ¥2,106 million, up 0.4% year on year and broadly in line with the previous year.」

「This business operates the following businesses.」

「As part of this initiative, from the fiscal year under review (1 February 2016), we integrated the management of Maruzen Co., Ltd., our wholly owned subsidiary with a nationwide sales network covering higher education institutions and research institutions, and Yushodo Shoten Co., Ltd., which has strong procurement and development capabilities for highly specialized content for researchers. After changing the trade name to Maruzen Yushodo Co., Ltd., we established an organizational structure that would enable the two companies to make effective use of their respective strengths, and worked to provide more valuable content services. For the fiscal year under review, book sales to public libraries proceeded steadily, while orders for large-scale projects involving the design and construction of educational and research facilities and libraries increased, including campus buildings associated with the establishment of new faculties and new or refurbished libraries. As a result, revenue rose 2.5% year on year to ¥61,055 million. In addition to the benefit of higher revenue, lower selling, general and administrative expenses resulted in operating profit increasing 65.6% to ¥2,994 million.」

「Book sales to public libraries proceeded steadily, while orders for large-scale projects involving the design and construction of educational and research facilities and libraries increased. As a result, revenue rose 1.9% year on year to ¥48,214 million. In addition to the benefit of higher revenue, improved margins and lower selling, general and administrative expenses resulted in operating profit increasing 61.8% to ¥2,469 million.」

「Book sales to public and university libraries proceeded steadily, while orders for large-scale projects involving the design and construction of educational and research facilities and libraries increased. As a result, revenue rose 2.4% year on year to ¥34,793 million. In addition to the benefit of higher revenue, improved margins and lower selling, general and administrative expenses resulted in operating profit increasing 52.4% to ¥2,096 million.」