New Medium-Term Management Strategy Through Fiscal 2025

「Fukuoka–Sendai route 54.2 – 120 – 100.0 – 93.3 –」

「In light of its recognition of these issues and the operating environment, the Company formulated, after the end of the fiscal year under review, a medium-term management strategy covering FY2026 through FY2028. It has clarified its policy of transitioning to a growth phase aimed at expanding the scale of the business and strengthening earnings power, centered on expanding its international route network, particularly in East Asia.」

「The Company is working to achieve its medium-term management strategy for FY2023 through FY2025, “Medium-Term Management Strategy 2025: Establishing a Management Platform through Domestic Routes and Taking the Next Leap.” Medium-Term Management Strategy 2025 sets “Recovery and growth beyond pre-pandemic levels” as its objective. The 3-year period covered by the medium-term management strategy is also a run-up period toward the subsequent “next leap.” During these 3 years, we will establish a solid foundation centered on domestic routes and prepare for growth.」

「The Company is working to achieve its medium-term management strategy for FY2023 through FY2025, “Medium-Term Management Strategy 2025: Establishing a Management Platform through Domestic Routes and Taking the Next Leap.” Medium-Term Management Strategy 2025 sets “Recovery and growth beyond pre-pandemic levels” as its objective. The 3-year period covered by the medium-term management strategy is also a run-up period toward the subsequent “next leap.” During these 3 years, we will establish a solid foundation centered on domestic routes and prepare for growth.」

「The Company is working to achieve its medium-term management strategy for FY2023 through FY2025, “Medium-Term Management Strategy 2025: Establishing a Management Platform through Domestic Routes and Taking the Next Leap.” Medium-Term Management Strategy 2025 sets “Recovery and growth beyond pre-pandemic levels” as its objective. The 3-year period covered by the medium-term management strategy is also a run-up period toward the subsequent “next leap.” During these 3 years, we will firmly establish a foundation centered on domestic routes and prepare for growth.」

「The Company is working to achieve its medium-term management strategy for FY2023 through FY2025, “Medium-Term Management Strategy 2025: Establishing a Management Platform through Domestic Routes and Taking the Next Leap.” Medium-Term Management Strategy 2025 sets “Recovery and growth beyond pre-pandemic levels” as its objective. The 3-year period covered by this medium-term management strategy is also a run-up period toward the subsequent “next leap.” During these 3 years, we will firmly establish a foundation centered on domestic routes and prepare for growth.」

「We formulated the medium-term management strategy for 2023–2025, “Medium-Term Management Strategy 2025: Establishing a Management Platform through Domestic Routes and Taking the Next Leap,” with the fiscal year ending March 2024 as its first year. Medium-Term Management Strategy 2025 sets “Recovery and growth beyond pre-pandemic levels” as its objective, and we will undertake the following initiatives to achieve it.」

「Specifically, while temporarily reducing the scale of the business in response to the sharp decline in aviation demand to ensure management continuity, we will regard this period as an opportunity and implement fundamental business-structure reforms, including the evolution of the business model with a view to expanding our business domains. We will also update the plan as necessary by establishing checkpoints and build a flexible yet robust structure to restore business performance promptly once the infection is brought under control.」

「The medium-term management strategy sets out 3 priority policies: “I. Recovery and growth in the aviation business,” “II. Evolution of the business model,” and “III. Strengthening the management foundation.” To fully launch these initiatives, we are currently addressing the urgent issue of responding to COVID-19.」

「In FY2020, we identified business continuity as our top priority. While thoroughly implementing cost reductions based on a worst-case scenario, we will assess the recovery in demand, booking conditions, and the spread and containment of the infection, resume operations flexibly so as not to miss opportunities to improve earnings, and make internal preparations for recovery after the situation is brought under control, with the aim of transitioning to the full-scale rollout of the new medium-term management strategy.」

「During the first half of FY2020, while thoroughly implementing cost reductions based on a worst-case scenario, we will make internal preparations for recovery after the situation is brought under control, respond flexibly and swiftly while monitoring the status of the infection, and transition to the full-scale rollout of the new medium-term management strategy.」

「The Company has formulated a new medium-term management strategy covering the desired future state through fiscal 2025, carrying forward the current medium-term management strategy, “Pursuing Our Distinctive Identity 2020,” from fiscal 2020. The new strategy focuses on the following 3 priorities: I. New route development and further growth: pursuing growth markets centered on new routes and international services to deliver services to more customers as an “airline that delivers emotion”; II. Evolution of the business model: improving customer experience value and developing new services and businesses to deliver “new value” beyond the scope of the airline business; and III. Strengthening the management foundation: using digital technology as an engine of transformation across 3 areas—business and work-style reform, further pursuit of quality, and evolution of customer experience and the business model—to become a company with personnel capable of responding rapidly to changes in the environment.」