Implementation of the Five-Year Medium-Term Management Plan, “Dynamic Challenge 500”

「Based on the Business Rehabilitation Plan agreed under the specified certified dispute resolution procedure pursuant to the Act on Strengthening Industrial Competitiveness, established on 20 April 2021, our Group is undertaking a fundamental review of its business structure aimed at returning to a growth trajectory, while working to achieve renewed growth through the deepening and evolution of its core businesses, with the goal of establishing a strong earnings base and fundamentally improving its financial position for future business rehabilitation.」

「To move from the rehabilitation phase aimed at achieving profitability to the next phase of renewed growth, we are advancing preparations for remodeling business formats, developing and testing new-concept formats, and opening new stores, and these initiatives are gradually producing results.」

「Based on the Business Rehabilitation Plan agreed under the specified certified dispute resolution procedure pursuant to the Act on Strengthening Industrial Competitiveness, established on 20 April 2021, our Group is undertaking a fundamental review of its business structure aimed at returning to a growth trajectory, while working to achieve renewed growth through the deepening and evolution of its core businesses, with the goal of establishing a strong earnings base and fundamentally improving its financial position for future business rehabilitation.」

「Through structural reform initiatives under the Business Rehabilitation Plan and in light of current conditions, we plan to move from the rehabilitation phase aimed at achieving profitability to the next phase of renewed growth. Accordingly, we intend to shift our store strategy, which had centered on restructuring toward an appropriate scale, to renewed expansion through new store openings, and begin rolling out remodeled and new business formats and new concepts aimed at renewed growth.」

「To establish a strong earnings base and fundamentally improve its financial position for future business rehabilitation, our Group formulated a draft Business Rehabilitation Plan while consulting with the relevant creditor financial institutions under the specified certified dispute resolution procedure pursuant to the Act on Strengthening Industrial Competitiveness, hereinafter referred to as the “business rehabilitation ADR procedure.” We received investigation, guidance and advice from the procedure administrator appointed by the Association of Business Rehabilitation Practitioners, an impartial and neutral organization. At the creditors’ meeting for resolution of this Business Rehabilitation Plan under the business rehabilitation ADR procedure held on 20 April 2021, the third creditors’ meeting, all relevant creditor financial institutions agreed to the plan, thereby completing the business rehabilitation ADR procedure.」

「Overview of the Business Rehabilitation Plan ① Numerical targets (fiscal year ending March 2024) Net sales: ¥18,000 million Operating profit: ¥1,000 million Operating margin: 6%」

「During the nine-month period ended 31 December of the current fiscal year, when the business environment had improved, our Group was able to effect a definite change in its earnings structure as a result of the business structure reforms carried out since the previous fiscal year under the Business Rehabilitation Plan. These reforms included reducing head office costs, improving customer gross profit through menu revisions and the menu mix, improving costs by reducing food waste, and improving labor productivity by reviewing store operating procedures.」

「Based on this Business Rehabilitation Plan, our Group is steadily implementing business rehabilitation by fundamentally reviewing its business structure to return to a growth trajectory and achieving renewed growth through the deepening and evolution of its core businesses. We are also implementing the following financial measures.」

「Based on this Business Rehabilitation Plan, our Group is steadily implementing business rehabilitation by fundamentally reviewing its business structure to return to a growth trajectory and achieving renewed growth through the deepening and evolution of its core businesses. We are also implementing the following financial measures.」

「Based on the business rehabilitation plan agreed under the specified certified dispute resolution procedure pursuant to the Act on Strengthening Industrial Competitiveness, established on 20 April 2021, our Group is undertaking a fundamental review of its business structure aimed at returning to a growth trajectory, while working to achieve renewed growth through the deepening and evolution of its core businesses, with the goal of establishing a strong earnings base and fundamentally improving its financial position for future business rehabilitation.」

「We recognize the need to revise our post-COVID-19 plan in light of these factors and are proceeding with our review. We will announce the new management plan once it has been finalized.」

「On 17 July 2019, we formulated and began implementing the three-year medium-term management plan “New Medium-Term Management Plan 2022” aimed at achieving significant growth going forward. In light of current conditions amid the COVID-19 pandemic, we are currently formulating a medium- to long-term plan capable of responding to the new society expected to emerge. Overview of “New Medium-Term Management Plan 2022” ① Numerical targets (fiscal year ending March 2022) Net sales: ¥28,000 million Operating profit: ¥840 million Operating margin: 3%」

「Against this backdrop, our Group formulated the three-year medium-term management plan “New Medium-Term Management Plan 2022” aimed at achieving significant growth going forward. Centered on “renewed growth at existing stores and cost reductions,” the plan establishes putting the front line first, returning to fundamentals and developing human resources as its strategic policies.」

「Against this backdrop, our Group formulated the three-year medium-term management plan “New Medium-Term Management Plan 2022” aimed at achieving significant growth going forward. Centered on “renewed growth at existing stores and cost reductions,” the plan establishes putting the front line first, returning to fundamentals and developing human resources as its strategic policies.」

「Under these circumstances, our Group had been promoting the medium-term management plan “Change Management 2020: 3-year plan for our growth,” announced on 12 May 2017. However, because actual results in the fiscal year ending March 2019, the second year of the plan, deviated substantially from the target figures, we withdrew the plan and formulated “New Medium-Term Management Plan 2022,” covering the three years through the fiscal year ending March 2022.」

「As we pursue sustainable growth and the enhancement of corporate value over the medium to long term, we have strongly recognized the need to improve the Group’s earning power at an early stage, taking into account the uncertainty in global conditions expected to persist for the time being, trends in the consumption tax increase and economic fluctuations before and after the Tokyo Olympics. Accordingly, we are formulating a new medium- to long-term plan to replace “Change Management 2020: 3-year plan for our growth,” formulated in March 2018.」

「Against this backdrop, our Group formulated the three-year medium-term management plan “Change Management 2020: 3-year plan for our growth” aimed at achieving significant growth going forward, and established the following as its strategic policies: “upgrading existing business formats and accelerating new store openings,” “actively developing franchise formats and expanding franchise outlets,” and “strengthening management resources and developing a dominant market presence through M&A.”」

「Against this backdrop, our Group formulated the three-year medium-term management plan “Change Management 2020: 3-year plan for our growth” aimed at achieving significant growth going forward, and established the following as its strategic policies: “upgrading existing business formats and accelerating new store openings,” “actively developing franchise formats and expanding franchise outlets,” and “strengthening management resources and developing a dominant market presence through M&A.”」

「With an emphasis on achieving a stronger earnings base, we shortened the plan period to a three-year plan through the fiscal year ending March 2020 and formulated “Change Management 2020: 3-year plan for our growth,” expressing our conviction that transforming the management of each leader, from store operations through senior management, is essential.」

「Against this backdrop, our Group formulated the three-year medium-term management plan “Change Management 2020: 3-year plan for our growth” aimed at achieving significant growth going forward, and established the following as its strategic policies: “upgrading existing business formats and accelerating new store openings,” “actively developing franchise formats and expanding franchise outlets,” and “strengthening management resources and developing a dominant market presence through M&A.”」

「Against this backdrop, our Group formulated the three-year medium-term management plan “Change Management 2020: 3-year plan for our growth” aimed at achieving significant growth going forward, and established the following as its strategic policies: “upgrading existing business formats and accelerating new store openings,” “actively developing franchise formats and expanding franchise outlets,” and “strengthening management resources and developing a dominant market presence through M&A.”」

「Against this backdrop, our Group formulated the three-year medium-term management plan “Change Management 2020: 3-year plan for our growth” aimed at achieving significant growth going forward, and established the following as its strategic policies: “upgrading existing business formats and accelerating new store openings,” “actively developing franchise formats and expanding franchise outlets,” and “strengthening management resources and developing a dominant market presence through M&A.”」

「As we pursue sustainable growth and the enhancement of corporate value over the medium to long term, we have strongly recognized the need to improve the Group’s earning power at an early stage, taking into account the uncertainty in global conditions expected to persist for the time being, trends in the consumption tax increase and economic fluctuations before and after the Tokyo Olympics. Accordingly, we decided to shift our focus to further strengthening our earnings base. With an emphasis on achieving a stronger earnings base, we shortened the plan period to a three-year plan through the fiscal year ending March 2020 and formulated “Change Management 2020: 3-year plan for our growth,” expressing our conviction that transforming the management of each leader, from store operations through senior management, is essential.」

「Against this backdrop, under the five-year medium-term management plan “Dynamic Challenge 500: Toward a New Stage through New Growth” aimed at achieving significant growth going forward, our Group established the following as priority policies and has been implementing the respective initiatives: “upgrading existing business formats and accelerating new store openings,” “actively expanding franchised stores,” and “strengthening management resources and developing a dominant market presence through M&A.”」

「Against this backdrop, under the five-year medium-term management plan “Dynamic Challenge 500: Toward a New Stage through New Growth” aimed at achieving significant growth going forward, our Group established the following as priority policies and has been implementing the respective initiatives: “upgrading existing business formats and accelerating new store openings,” “actively expanding franchised stores,” and “strengthening management resources and developing a dominant market presence through M&A.”」

「Based on the five-year medium-term management plan “Dynamic Challenge 500: Toward a New Stage through New Growth” aimed at achieving significant growth going forward」