Business Continuity and Spending Cuts During COVID-19

「Against this backdrop, our group is working to establish the lean cost structure developed through responding to change during the COVID-19 pandemic and, with the aim of reaching a new stage, advance the shift from a location-based business to a brand-based business,」

「Against this backdrop, our group is working to establish the lean cost structure developed through responding to change during the COVID-19 pandemic and, with the aim of reaching a new growth stage, advance the shift from a location-based business to a brand-based business,」

「Against this backdrop, our group is working to establish the lean cost structure developed through responding to change during the COVID-19 pandemic, while further improving the quality of existing locations.」

「Specifically, in response to soaring raw-material prices, we standardized ingredients, reviewed logistics, and consolidated suppliers. In response to rising personnel expenses, we implemented rigorous shift management and appropriate staffing while reducing recruitment costs. In response to higher utility costs, we conserved electricity and gas and flexibly reviewed suppliers. For rent, we continued to negotiate reductions, maintaining rigorous cost-reduction efforts.」

「Against this backdrop, our group is continuing to maintain and strengthen the lean cost structure developed during the COVID-19 pandemic,」

「Against this backdrop, our group is continuing to maintain and strengthen the lean cost structure developed during the COVID-19 pandemic,」

「Since the previous consolidated fiscal year, we have strengthened operations to reduce fixed costs such as personnel expenses and rent, rigorously closed unprofitable locations, and worked to shift to a leaner cost structure. We also applied for employment-adjustment subsidies and cooperation payments for measures such as reduced operating hours, thereby establishing and maintaining a structure capable of responding to the decline in revenue caused by COVID-19.」

「Since the previous consolidated fiscal year, we have strengthened operations to reduce fixed costs such as personnel expenses and rent, rigorously closed unprofitable locations, and worked to shift to a leaner cost structure. We also applied for employment-adjustment subsidies and cooperation payments for measures such as reduced operating hours, thereby establishing a structure capable of responding to the decline in revenue caused by COVID-19.」

「Since the previous consolidated fiscal year, we have strengthened operations to reduce fixed costs such as personnel expenses and rent, rigorously closed unprofitable locations, and worked to shift to a leaner cost structure. We also applied for employment-adjustment subsidies and cooperation payments for measures such as reduced operating hours, thereby establishing a structure capable of responding to the decline in revenue caused by COVID-19. As a result, we secured operating profit and profits at all other levels during the first-quarter consolidated cumulative period, which continued to be significantly affected by COVID-19.」

「Against this backdrop, our group thoroughly implemented measures to prevent COVID-19 infections at each location and actively participated in the “Go To Campaign” to secure revenue. We also reduced spending through every available measure so that profits could be secured by reducing costs as much as possible, including reducing personnel expenses through temporary leave for employees at temporarily closed locations, negotiating rent reductions, and curbing new investment. At headquarters, we shifted to an emergency operating structure and implemented temporary leave and telework for employees. In addition, on 1 September 2020, we carried out an internal group reorganization, merging 5 consolidated subsidiaries into 2 to improve the efficiency of each company's head-office operations. We also established a shared-services subsidiary with consolidated subsidiary SFP Holdings Co.,Ltd. for accounting and human-resources administration, with the aim of reducing costs and operating efficiently by standardizing and consolidating operations.」

「Against this backdrop, as the recovery in customer traffic is taking time, our group is reducing spending through every available measure so that profits can be secured by reducing costs as much as possible. These measures include reducing personnel expenses through temporary leave for employees at temporarily closed locations, negotiating rent reductions, and curbing new investment. At headquarters, we have also shifted to an emergency operating structure and implemented temporary leave and telework for employees. In addition, on 1 September 2020, we carried out an internal group reorganization, merging 5 consolidated subsidiaries into 2 to improve the efficiency of each company's head-office operations. We also established a shared-services subsidiary with consolidated subsidiary SFP Holdings Co.,Ltd. for accounting and human-resources administration, with the aim of reducing costs and operating efficiently by standardizing and consolidating operations.」

「Against this backdrop, given the extremely difficult current conditions, our group is reducing spending through every available measure so that losses can be minimized by reducing costs as much as possible. These measures include reducing personnel expenses through temporary leave for employees at temporarily closed locations, negotiating rent reductions, and curbing new investment. At headquarters, we have also shifted to an emergency operating structure and implemented temporary leave and telework for employees.」

「For the fiscal year ending February 2021, we recognize that our most urgent priority is to devote all our efforts to responding to the infection. Specifically, to minimize losses by reducing costs as much as possible, we are cutting spending through every available measure, including reducing personnel expenses through temporary leave for employees at temporarily closed locations, negotiating rent reductions, and curbing new investment.」