Cross-Functional Product Development and Continued New Product Launches

「In the home appliance business, the company launched the Takumi Boulanger Toaster PLUS in August as a new Twinbird-brand product under the Takumi Premium brand line, which uses the power of home appliances to embody craftsmanship and tacit knowledge. In addition, it launched the Takumi Craft Hair Dryer in December, jointly developed with Tatsuma Fukui of PEEK-A-BOO, a leading creator driving Japan's beauty industry, primarily through beauty salon channels as a new sales channel.」

「The effects of specific earnings improvement measures, including price revisions and the proactive launch of new products, have gradually begun to deliver results since the second quarter.」

「The company will also review its product development structure, improve the efficiency of new product development by strengthening coordination across the value chain, and expand sales by launching new products with twice the previous fiscal year’s value in monetary terms.」

「Although the flagship fully automatic coffee maker and Takumi Boulanger Toaster in the “Takumi Premium” brand line, as well as products in the household refrigerator-freezer lineup, continued to perform steadily,」

「The company will make proactive investments in product development, including cumulative product development investment of ¥3.3 billion over the 3 years from 2023 to 2025, representing part of the ¥5.5 billion in strategic investment and an increase of ¥1.0 billion from the previous medium-term plan period.」

「We began selling the strategic new “Takumi Boulanger Toaster” at home-appliance retailers and e-commerce sites nationwide on 17 November last year.」

「New products launched from the second half of the previous fiscal year, including a 2-door refrigerator-freezer with a rated capacity of 121L and 4-door refrigerator-freezers with a rated capacity of 354L (“A refrigerator where you can see the contents” and “A refrigerator you can use without stretching”), contributed to sales during the cumulative second quarter, resulting in sales remaining at approximately the same level as the same period of the previous year.」

「In October, the company announced 2 strategic new medium-sized refrigerators, “A refrigerator you can use without stretching” and “A refrigerator where you can see the contents,” and made a concentrated launch of major new products, including distribution to approximately 1,000 consumer electronics stores nationwide.」

「In the second half, the company accelerated its rebranding strategy by introducing a steam oven microwave into the “感動シンプル” brand line for the year-end and New Year sales season and the demand season for new lifestyles, the peak demand periods for the consumer electronics industry.」

「The company will develop product series by product category and lifestyle occasion targeting the growing market of single-person and small households, and will raise its presence in the target market.」

「Meanwhile, as demand for staying at home expanded, cooking appliances such as fully automatic coffee makers performed strongly in the points-based services market and the e-commerce market.」

「In the consumer electronics retail market, refrigerators and freezers for single-person and small households, whose lineup was expanded following their launch in the previous fiscal year, as well as washing machines, microwave ovens and other products performed strongly. In the points-redemption services market, fully automatic coffee makers and other products contributed to higher revenue.」

「In the consumer electronics retail market, in addition to the rush demand ahead of the consumption tax increase, strong sales of refrigerators and freezers, washing machines, microwave ovens and other products for single-person and small households contributed to expanded sales. In the points-based services market, fully automatic coffee makers and other products launched last year performed steadily.」

「In the consumer electronics retail market, in addition to the rush demand ahead of the consumption tax increase, strong sales of refrigerators and freezers, washing machines, microwave ovens and other products for single-person and small households contributed to expanded sales. In the points-based services market, fully automatic coffee makers and other products launched last year also performed steadily.」

「Sales of the refrigerators and freezers for single-person and small households and fully automatic coffee makers launched in the second half of the previous year have remained strong.」

「The company launched a fully automatic coffee maker as a key new product for the year-end and New Year sales season and demand for new lifestyles, and expanded its lineup of well-received refrigerators and freezers for single-person and small households. As a result, revenue in the fourth quarter (December to February) increased year on year.」

「Meanwhile, from October onward, fully automatic coffee makers, refrigerators and freezers, washing machines, microwave ovens and other products for single-person and small households, which have been highly well received by many customers since launch, performed steadily, and the declining year-on-year revenue trend since the beginning of the fiscal year turned toward recovery.」

「The company’s consolidated revenue for the cumulative second quarter ended was ¥5,053 million, a decline of ¥1,548 million year on year, or 23.5%. Amid intensifying competition in the domestic market, the substantial delay in launching new products, resulting from several years of developing technically challenging products, and the reduction in shelf space for the company’s products at retail stores affected revenue, resulting in a substantial decline.」

「Amid intensifying competition in the domestic market, delays in launching new products over the past several years reduced the shelf space for the company’s products at retail stores. Revenue also declined substantially due to measures to optimize distribution inventories and other factors.」

「Revenue declined because the development of a key proprietary-brand new product took longer than expected, and its launch was carried over to the next fiscal year.」

「Domestically manufactured OEM products continued to perform steadily, while the company launched a new refrigerator-freezer targeting the growing number of single-person households, resulting in performance broadly in line with plan.」

「Although orders for OEM projects expanded as domestic production, including production at the company’s own factories, increased, deliveries of high-value-added products were delayed, and some deliveries had to be carried over to the next fiscal year.」

「Revenue declined because the launch of certain major new products and OEM products was delayed beyond plan. Operating profit was ¥289 million, down ¥130 million year on year, a decline of 31.1%. The company has continued reviewing its sales portfolio, launching high-value-added new products, and improving quality and reducing manufacturing costs, but profit declined due to lower net sales and higher development, advertising and other expenses associated with new product launches.」

「By reviewing its sales portfolio, an ongoing initiative, launching high-value-added new products, and improving quality and reducing manufacturing costs, the company achieved higher operating profit despite a slight decline in net sales.」