Reducing bad debt costs by strengthening credit assessment and receivables management

「In installment sales of individual goods, we worked to refine credit assessment by introducing functions for instant preliminary credit approval using external credit information and AI credit scoring.」

「We will combine purchasing and customer information obtained through payments and use AI to provide lending services suited to each customer's needs and timing.」

「By applying to our operations in Japan and Asian countries the credit-management expertise based on AI scoring using alternative data held by AND Global and its business expertise in digital lending, we will promote the AI and DX transformation of our services, strengthen the lending business, and refine credit assessment and strengthen receivables collection systems using digital technologies such as AI.」

「We are continuously working to enhance credit assessment and receivables management through AI-based scoring and other measures.」

「To further improve productivity, we will thoroughly control expenses in addition to refining credit assessment and strengthening our receivables collection framework」

「In addition to continuing efforts to refine credit assessment and strengthen the debt collection framework, we worked to improve cost control by reviewing measures related to expanding the customer base and promoting usage.」

「In response to rising credit-related expenses accompanying the steady expansion of transaction volume and operating receivables, the company worked to improve credit assessment accuracy through measures such as introducing a new scoring model, and to strengthen its debt collection framework by enhancing proposals for repayment methods suited to customers' circumstances and using external debt collection agencies.」

「Continuing efforts to refine credit assessment and strengthen the debt collection framework」

「Consolidated operating profit was ¥15.283 billion, down 26.2% year on year, despite efforts to improve personnel expenses and credit-related expenses.」

「Continuing from the previous fiscal year to refine underwriting and strengthen the debt collection framework, resulting in a significant improvement in credit-related expenses.」

「Meanwhile, consolidated operating profit was ¥44.229 billion, up 78.0% year on year, as credit-related expenses improved significantly after continued efforts from the previous fiscal year to refine underwriting and strengthen the debt collection framework.」

「Consolidated operating profit was ¥33.24 billion, up 328.0% year on year, as credit-related expenses improved significantly through continued efforts from the previous fiscal year to refine underwriting and establish a debt collection framework.」

「Consolidated operating profit was ¥20.71 billion, as credit-related expenses improved significantly through continued refinement of underwriting and establishment of a debt collection framework from the previous fiscal year, compared with an operating loss of ¥863 million in the same period of the previous year.」

「In addition, we have formed cross-group task forces to improve the efficiency of underwriting and debt collection operations and reform employees' working styles through the introduction of remote work, linking these efforts to concrete measures.」

「Overseas, we worked to expand our customer base through the use of digital technologies and improve the efficiency of sales, screening, and collections.」

「Overseas, we worked on customer acquisition initiatives using digital technologies, improved the accuracy of screening, and increased operating efficiency, while seeking to expand the balance of operating receivables and improve profitability.」

「Overseas, we worked to expand our customer base and improve the efficiency of screening and other processes through the use of digital technologies, and sought to increase the balance of operating receivables.」

「We will use AI to improve speed by automating the underwriting process and improve underwriting accuracy through data analysis, thereby advancing the efficiency of underwriting and receivables management. We will also expand revenue while reviewing the receivables portfolio by strengthening initiatives for products and services aimed at middle- and high-income customers.」

「In addition to reviewing the receivables portfolio, we will review underwriting standards based on conditions in each country and customer characteristics to reduce bad debt costs. We will also build a common debt collection system to improve efficiency.」

「We will seek to reduce bad debt costs by reviewing underwriting standards based on conditions in each country and customer characteristics, reviewing the receivables portfolio, and strengthening receivables management operations.」