Expansion of PALTAC’s RDC and FDC Network

「In its cosmetics, daily necessities and OTC pharmaceutical wholesale businesses, PALTAC invested ¥2,417 million in capital expenditures, including construction of RDC Shiga.」

「For the fiscal year ending March 2030, terminal value is calculated on the assumption that one-time costs associated with the new logistics center commencing operations during that fiscal year are excluded.」

「In its cosmetics, daily necessities and OTC pharmaceutical wholesale businesses, PALTAC invested ¥1,423 million in capital expenditures, including expansion of RDC Miyagi.」

「The PALTAC logistics center in Nogi Town, Shimotsuga District, Tochigi Prefecture, which had been planned as of the end of the previous consolidated fiscal year, was completed in July 2022.」

「PALTAC invested ¥9,379 million in capital expenditures, including construction of a logistics center in Nogi Town, Shimotsuga District, Tochigi Prefecture.」

「During the fiscal year, the Company worked to accumulate the expertise needed to operate the logistics centers under the new model efficiently, and consistently achieved twice the previous labor productivity during the second half of the fiscal year.」

「During the fiscal year, for the new logistics model, for which investment was nearly complete by the previous fiscal year, the Company worked to accumulate the expertise needed to operate the centers efficiently as they began operations.」

「During the fiscal year, for the new logistics model, for which investment was nearly complete by the previous fiscal year, the Company worked to accumulate the expertise needed to operate the centers efficiently as they began operations.」

「In its cosmetics, daily necessities and OTC pharmaceutical wholesale businesses, PALTAC conducts research and development into the latest technologies, including AI and robotics, with the aim of integrating them with its logistics expertise amid an environment in which the working population is declining and the construction of highly productive systems is becoming increasingly important. This includes designing and developing robotic arms that automatically identify and pick tens of thousands of products of different sizes, weights and shapes. Total research and development expenses were ¥118 million.」

「This fiscal year, in addition to bringing RDC Saitama (Sugito Town, Kitakatsushika District, Saitama Prefecture) into operation in November 2019, the Company is proceeding as planned with initiatives to strengthen its future business platform. RDC Saitama adopts a new logistics model using AI, robotics and other technologies to expand shipping capacity in the Tokyo metropolitan area and substantially improve productivity. The Company has also decided to sell RDC Tokyo (Urayasu, Chiba Prefecture) to establish an optimal shipping system in the Tokyo metropolitan area and improve asset efficiency through the effective use of management resources.」

「This fiscal year, construction of RDC Saitama (Sugito Town, Kitakatsushika District, Saitama Prefecture; scheduled to begin operations in November 2019) is progressing smoothly. The facility adopts a new logistics model using AI, robotics and other technologies, with the aim of expanding shipping capacity in the Tokyo metropolitan area and achieving a substantial improvement in productivity.」

「During the fiscal year, we proceeded as planned with construction of RDC Saitama (Kitasaitama District, Saitama; scheduled to commence operations in November 2019), aimed at increasing shipping capacity in the Tokyo metropolitan area and achieving significant productivity gains through the deployment of a new logistics model using AI, robotics and other technologies, which is being developed in anticipation of a declining working-age population.」

「As part of efforts to strengthen the future business base, we proceeded as planned with capital investment, including the launch of RDC Niigata (Mitsuke, Niigata) in August 2018 to achieve significant productivity gains in anticipation of a declining working-age population and increase shipping capacity in the Shinetsu region, and steady progress on construction of RDC Sugito (provisional name) (Kitasaitama District, Saitama; scheduled to commence operations in 2020) to develop next-generation logistics in the Tokyo metropolitan area and increase shipping capacity.」

「As part of efforts to strengthen the future business base, we proceeded as planned with capital investment, including the launch of RDC Niigata (Mitsuke, Niigata) in August 2018 to achieve significant productivity gains in anticipation of a declining working-age population and increase shipping capacity in the Shinetsu region, and completion of expansion of RDC Yokohama (Zama, Kanagawa) to increase shipping capacity and productivity in the Kanto region.」

「During the fiscal year, we proceeded as planned with capital investment to strengthen the future business base, including the opening of RDC Niigata (Mitsuke, Niigata), which adopted a proprietary next-generation logistics system developed to achieve significant productivity gains in anticipation of a declining working-age population and increase shipping capacity in the Shinetsu region, and expansion of RDC Yokohama (Zama, Kanagawa) to increase shipping capacity and productivity in the Kanto region.」

「During the fiscal year, we established FDC Hiroshima (Saeki-ku, Hiroshima) to improve delivery efficiency in the Chugoku region and commenced operations in May 2017. Expansion of RDC Okinawa (Uruma, Okinawa), aimed at increasing shipping capacity, was also completed and operations commenced in November of the same year. In addition, replacement of RDC Niigata (Mitsuke, Niigata), scheduled to commence operations in August 2018, involved capital investment to strengthen the business base, including plans to operate a new logistics model capable of processing and distributing goods with fewer employees in anticipation of labor shortages caused by a declining working-age population.」

「During the fiscal year, we established FDC Hiroshima (Saeki-ku, Hiroshima) to improve delivery efficiency in the Chugoku region and commenced operations in May 2017. Expansion of RDC Okinawa (Uruma, Okinawa), aimed at increasing shipping capacity, was also completed and operations commenced in November of the same year. In addition, replacement of RDC Niigata (Mitsuke, Niigata), scheduled to commence operations in autumn 2018, involved capital investment to strengthen the business base, including plans to operate a new system capable of processing and distributing goods with fewer employees in anticipation of a declining working-age population.」

「During the fiscal year, we established FDC Hiroshima (Saeki-ku, Hiroshima) to improve delivery efficiency in the Chugoku region and commenced operations in May 2017. We also proceeded as planned with expansion of RDC Okinawa (Uruma, Okinawa), aimed at increasing shipping capacity, for commencement of operations in November 2017. In addition, replacement of RDC Niigata (Mitsuke, Niigata), which was already under way, involved capital investment to strengthen the business base, including plans to operate a new system capable of processing and distributing goods with fewer employees in anticipation of a declining working-age population. RDC Okinawa of PALTAC, which had been planned at the end of the previous consolidated fiscal year, was completed in October 2017.」

「In logistics, FDC Shiraoka commenced operations in March 2017 on a site adjacent to RDC Kanto in Shiraoka, Saitama, a key transportation hub, to improve productivity and expand shipping capacity. In sales and administration, we opened an office building in Kita-ku, Tokyo, serving as the control center for the Kanto region, and worked to consolidate locations and strengthen the purchasing division. We also proceeded as planned with capital investment to strengthen the business base, including construction of FDC Hiroshima (provisional name) (Saeki-ku, Hiroshima) and expansion of RDC Okinawa (Uruma, Okinawa).」

「During the consolidated fiscal year, we proceeded as planned with capital investment to strengthen the future business base, including the start of construction of FDC Hiroshima (provisional name) (Saeki-ku, Hiroshima) and FDC Shiraoka (provisional name) (Shiraoka, Saitama), and the acquisition of land for expansion of RDC Okinawa (Uruma, Okinawa). In addition, to strengthen operations in the Kanto region, our largest market, enhance service functions and improve management efficiency, we merged the region’s 2 branches in November 2016 and commenced operations at a new location in Kita-ku, Tokyo.」

「During the consolidated fiscal year, we proceeded as planned with capital investment to strengthen the future business base, including the start of construction of FDC Hiroshima (provisional name) (Saeki-ku, Hiroshima) and FDC Shiraoka (provisional name) (Shiraoka, Saitama), and the acquisition of land for expansion of RDC Okinawa (Uruma, Okinawa). In addition, to strengthen operations in the Kanto region, our largest market, enhance service functions and improve management efficiency, we planned to merge the region’s 2 branches in November 2016 and commence operations at a new location in Kita-ku, Tokyo.」

「During the consolidated fiscal year, we proceeded as planned with capital investment to strengthen the future business base, including the acquisition of land for construction of FDC Hiroshima (provisional name) (Saeki-ku, Hiroshima), commencement of construction of FDC Shiraoka (provisional name) (Shiraoka, Saitama), and the opening of an office in Kita-ku, Tokyo, to strengthen operations in the Kanto region, our largest market.」

「During the consolidated fiscal year, RDC Kanto (Shiraoka, Saitama), the company’s largest facility, commenced operations in August 2015. In addition, as part of efforts to optimize distribution in the Tohoku region, expansion of RDC Tohoku (Hanamaki, Iwate) was completed, as were construction of FDC Aomori (Aomori, Aomori) and FDC Hachinohe (Hachinohe, Aomori), with all commencing operations in October of the same year.」