Developing New Businesses and Strengthening Existing Businesses

「For SPA products, we are offering a wide range of products that directly reflect customer feedback, including new models of smart TVs equipped with FUNAI Fire TV and air conditioners with ventilation functions and 5 cleaning functions, as well as products with functions suited to the times, such as an ultrasonic dishwasher designed to save time and water without installation work and a smart bath mat that measures body weight simply by standing on it after bathing. Sales have remained strong since launch.」

「Against this market backdrop, as the second year of the "YAMADA HD 2025 Medium-Term Management Plan," we will implement the following priority measures for each segment and establish a platform for the company's sustainable growth.」

「For SPA products, we launched a wide range of products that directly reflect customer feedback, including home appliances such as air conditioners with ventilation functions and microwave ovens equipped with absolute-humidity sensors, as well as furniture and interior products such as motorized height-adjustable TV stands and reclining sofas with 3 motors. Sales have remained strong since launch.」

「For SPA products, we launched products that directly reflect customer feedback, including a foldable living-room fan and air conditioners with ventilation functions, and sales have remained strong since launch.」

「In addition to expanding "the whole of everyday living," which proposes housing, remodeling, housing equipment, and furniture and household goods for living spaces that are closely related to home appliances, centered on home appliance retailing, we expanded outlet stores handling reused home appliances to help create a circular society, used multiple channels including stores, websites, TV shopping, smartphone apps, and digital advertising, conducted e-commerce by leveraging our logistics network, and strengthened the development of SPA products that create customer value.」

「Going forward, in the electrical goods business, we will pursue revenue and earnings growth by actively developing our store network, mainly through new store openings and store expansions to increase total sales-floor area by at least 5% annually; building a new store network by reviewing store formats and product mixes; expanding our physical-store and e-commerce businesses by making maximum use of management resources and group infrastructure; expanding our SPA product lineup; expanding initiatives in the remodeling business, including the development of original products and sales methods using IT technology that eliminate the need for in-home estimates; and actively promoting digital marketing and improving operational efficiency through our DX strategy.」

「Going forward, in the electrical goods business, we will pursue earnings growth by actively developing our store network, with a target of opening 30 new stores annually, building a new store network by reviewing store formats and product mixes, actively promoting digital marketing, improving operational efficiency through digital technologies, and increasing productivity through mergers among subsidiaries.」

「With a group-wide organizational reorganization targeted for 1 July 2021, we aim to further enhance corporate value through "connected management that leverages synergies across the group."」

「The results came from the "corporate structural-strengthening management reforms" we had pursued, which improved gross profit and the gross profit margin and reduced selling, general and administrative expenses. Specifically, they included: ① expanding a broad range of unique SPA products, including home appliances, furniture, household goods, and housing-related products; ② increasing management speed and implementing detailed regional management through the branch-manager system; ③ strengthening the mix of new products sold at existing stores in line with strong outlet-store sales; ④ achieving optimal pricing and improving labor productivity through an electronic shelf-label strategy; ⑤ optimizing urban-format stores; and ⑥ developing our unique e-commerce business by leveraging the strengths of physical stores.」

「With home appliances at the core and under the concept of "the whole of everyday living" as a lifestyle infrastructure, we worked to enhance business value across our businesses. We worked to improve earnings power by strengthening the development of SPA products, improve profitability by strengthening the foundation of the remodeling business, including construction and sales capabilities, improve sales capabilities through our distinctive product development combining home appliances with furniture and interior products and through proposals tailored to usage scenarios, and strengthen sales by accelerating the development of our online business.」

「As the transformation to a new earnings model that did not rely solely on home appliance retailing began to produce results, the company's cash flow generation capacity improved.」

「Our group adopted "Creating Profit through Continuous Reform and Innovation" as its management slogan for fiscal 2019.」

「During the cumulative second quarter of the fiscal year ended 30 September 2018 (1 April 2018 to 30 September 2018), we also pursued reforms toward a new earnings model, as described below, to develop a home appliance business with additional offerings rather than relying solely on home appliance retailing.」

「The reason for the earnings shortfall was that the company was urgently transforming its business into a new earnings model that did not rely solely on home appliance retailing, in response to the consumption tax rate increase in autumn 2019 and the sharp slowdown in personal consumption after the 2020 Tokyo Olympics.」

「The management slogan for fiscal 2018 was "Taking on the Challenge of a New Stage." As in the previous fiscal year, we will actively pursue initiatives in the "home appliances and housing equipment business," "financial services business," "support services business," "environmental business," "online mall services business," "mobile business," "home appliance retail business," "home appliance businesses of affiliated subsidiaries," and "corporate business."」

「We have established three pillars: creating new businesses, advancing structural reforms and the medium-term management plan, and strengthening existing businesses and developing human resources.」

「Under a three-representative-director structure, the company set out "creating new businesses," "pursuing structural reforms and the Medium-Term Management Plan," and "strengthening existing businesses and developing human resources."」

「We have established three pillars: creating new businesses, advancing structural reforms and the medium-term management plan, and strengthening existing businesses and developing human resources.」

「The Yamada Denki Group views the present as its "third founding period" and, under a system of 3 representative directors since 1 April 2016, has focused on the development and promotion of new businesses, the strengthening and promotion of various structural reforms, and the strengthening of existing businesses.」

「The Yamada Denki Group views the present as its "third founding period" and, under a system of 3 representative directors since 1 April 2016, has focused on the development and promotion of new businesses, the strengthening and promotion of various structural reforms, and the strengthening of existing businesses.」

「As one of Japan's largest IoT companies in terms of network and services, we will continue taking on challenges and pursuing initiatives to generate further results through the development and promotion of new businesses, stronger and broader structural reforms, and the strengthening of existing businesses.」