Completion of the New Business Model and Category Innovation

「Following the launch of its first product, "1curiosity," in 2025, the company launched the new baby toy brand "Baby curiosity" as its second product during the current interim accounting period.」

「From 2026 to 2028 (the fiscal years ending January 2027 through January 2029), the company will pursue a medium-term plan to ensure a return to profitability through its 3 core existing series, "Pythagoras," "Baby curiosity" and "Yaritai Houdai." Structural reform has been completed, and the company has transitioned to the earnings-generation phase. From 2029 onward, it will move into the growth phase, enhancing brand maturity and seeking to establish a unique category centered on curiosity.」

「During the current interim accounting period, the company launched the first product in its "curiosity business," the "1curiosity" series, a toy series designed to satisfy the universal curiosity of 1-year-olds around the world.」

「Accordingly, the company is proceeding with plans to launch the first new "curiosity business" in 2025, centered on the purpose of "creating moments when children's curiosity bursts forth," and then launch approximately 2 new products per year in succession. New products in existing series will be launched separately.」

「To build the product brand, we believe it is important to raise broad awareness of our initiatives ahead of the 2025 launch of the curiosity business, and we will actively conduct public relations activities.」

「Most recently, 8 new business teams originating from the purpose's keyword, "children's curiosity," are under way. The company plans to launch the first of these in spring 2025 and create a "curiosity business" centered on curiosity.」

「As a measure to promote new business development, the company established a system for holding planning competitions regularly. It also put in place a support structure, including the "People Fund Team," an internal team that manages investments in new businesses and other initiatives, to facilitate the smooth progress of planning and development teams. As a result, several projects are under way targeting launches in 2025. (Activities continued from the previous fiscal year.)」

「Following the launch of the company-wide new business planning event called the "P-1 Grand Prix," 6 new product and new business projects based on the company's purpose are currently under way, targeting launches in 2024–2025. The company also established a "People Fund Team" as a management and support team to concentrate personnel and funding on these projects and enable them to progress quickly.」

「To turn its purpose into a concrete business, the company held the first "P-1 Grand Prix," a company-wide competition for proposals for new business and new product ideas. Projects to develop the top proposals into concrete businesses have begun.」

「This serves as a guideline for concentrating resources on research and development of new products and businesses that fully capitalize on the company's strengths and for fundamentally improving profitability.」

「We will establish a structure that concentrates resources on creating new businesses and increases the number of initiatives we undertake.」

「Our challenge can be distilled into how to create new value and generate new categories and markets. Over the next several years, including the possibility that some efforts will fail, we will work to build an organization capable of bringing one challenging product or service after another to market.」

「To grow corporate value over the medium to long term, we intend to quickly complete a new business model, generate category innovations one after another, and create an environment in which competition is less likely to emerge, thereby revitalizing the market as a whole.」