Declining Production Unit Prices as Print Media Contracts

「As the main media are scheduled to be revamped from this fiscal year with a focus on the web, we prepared for the future by consolidating production projects within the Group and expanding our sales channels to include advertising materials for golf courses and education-related media, in order to change our revenue mix.」

「We also sought to shift our business structure toward producing new, higher-margin products by utilizing in-house production resources.」

「In the Other business segment, the bridal industry, the main client sector for the advertising media production business, continued to reduce the scale of weddings as more couples opted to invite fewer guests to prevent the spread of COVID-19. As a result, the number of requests for advertising placements remained sluggish. Requests for job advertisements gradually increased, helped by labor shortages accompanying the recovery in companies' economic activity. We also took steps to offset the decline in bridal media by delivering pamphlets as spot projects. As a result, revenue was ¥10.990 million and operating profit was ¥4.239 million, up 507.4% year on year.」

「However, as with the travel business, our focus on restructuring as we developed the business enabled us to improve profitability and secure a profit.」

「In the advertising media production business, measures to strengthen earnings, including ongoing efforts to win new projects and the centralization of production operations within the Group, proved effective. We will continue to promote these measures and aim to increase profit for the full year. As a result, revenue was ¥59.064 million, down 15.9% year on year, while operating profit was ¥3.626 million, compared with an operating loss of ¥6.847 million in the same period of the previous year.」

「In the advertising media production business, measures to strengthen earnings, including intensified sales activities to win new projects and centralized management of production operations within the Group, proved effective, shifting the business from its previous declining trend to a recovery and growth trajectory.」

「In the advertising media production business, we consolidated production operations at the production center in Kanazawa, Ishikawa Prefecture, further improving the efficiency of our production structure. In addition, by strengthening sales activities to each client, we reversed the previous contractionary trend and began securing a stable volume of orders.」

「The decline in orders that had continued until then began to show signs of recovery in the second half, and although results fell short of plan, they provided a basis for future growth.」

「In the advertising media production business, we worked to win new transactions and strengthen coordination with client companies. Although we achieved some results in winning new projects, orders from existing clients fell short of the initial agreements, resulting in revenue below plan.」

「In the advertising media production business, we worked to improve the accuracy of controlling the number of contracted projects by strengthening coordination with client companies and prioritizing contracts for media with higher production unit prices. We also promoted the development of a structure capable of improving operational efficiency and responding to changes in the external environment. However, the total number of orders continued to trend lower, resulting in challenging performance. As a result, revenue was ¥22.406 million, down 42.4% year on year, and operating profit was ¥5.154 million, down 62.0%.」

「In the advertising media production business, we continued shifting the volume of contracted work toward higher-priced production projects and worked to improve productivity through operational streamlining and a review of our production structure, resulting in higher productivity per employee. However, external factors such as the shift from print media to the web and changes in the business policies of outsourcing clients made this a period of media replacement. As a result, revenue was ¥96.263 million, down 29.2% year on year, and operating profit was ¥21.029 million, down 27.9%.」

「In the advertising media production business, we continued shifting the volume of contracted work toward higher-priced production projects and worked to improve productivity by streamlining operations and reviewing our production structure. However, the business faced challenging conditions this fiscal year due to external factors, including major clients' shift from print media to the web. As a result, revenue was ¥71.658 million, down 27.6% year on year, and operating profit was ¥18.185 million, down 22.7%.」

「The volume and unit prices of contracted work declined due to delays in developing new genres and media that had been planned at the beginning of the period, as well as the digitalization of the production environments of client companies outsourcing production and changes in their ordering policies. As a result, revenue was ¥175.219 million, down 18.8% year on year.」

「The volume and unit prices of contracted work declined due to delays in developing new genres and media that had been planned at the beginning of the period, as well as the digitalization of the production environments of client companies outsourcing production and changes in their ordering policies.」

「Orders declined due to the suspension of weak print media publications and other factors.」