Our Growth Strategy

V-1 Plan Review

Success

Graph: Consolidated Net Sales by Business Segment

Average sales growth rate: 4%

Achieved targeted business growth

Shortcomings

Graph: Operating Income/Operating Income Ratio

Operating income ratio: 3.4%

Did not reach operating income targets (3.6%)

ROE: 6.2% (-3.8pp from target)
BEP: 93.3% (-3.3pp from target)

Vision 2020

chart: Vision 2020

Achieving the Vision

Promote three three-year medium-term plans

V-2 Plan

Consolidated performance target

Reform earnings structure to attain 5% operating income ratio

V-2 Plan: Highest-priority theme is increasing profitability.

Under the V-2 Plan, building on the earnings base created under the V-1 Plan, accelerate structural reforms and realize improvements in profitability.

For more-detailed information, refer to the Interview with the President section.

Income targets
(Billions of yen) FY2017 Percent of total Average net sales
growth rate / margin
inprovement
Net sales 400 100.0% 2.9%
Operating income 20 5.0% +1.6pp
Ordinary income 22 5.5% +1.7pp
Net income 12 3.0% +1.0pp
Financial data
ROE: 10% or above
BEP: 90% or less