King Jim : Notice of Revision of Numerical Targets in the Medium-Term Management Plan
August 21, 2023 at 01:57 pm IST
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August 1, 2023
Company name
KING JIM CO., LTD.
Representative
Akira Miyamoto, President & CEO
(Code number: 7962, Tokyo Stock
Exchange Prime Market)
Contact
Shinichi Harada, Director and Managing
Executive Officer, General Manager,
Administration Division
(Phone: +81-3-3864-5883)
Notice of Revision of Numerical Targets in the Medium-Term Management Plan
KING JIM CO., LTD. (the "Company") hereby announces that it has revised the numerical targets for the final year of its 10th Medium-Term Management Plan released on July 30, 2021 as follows. Please note that these revised figures align with the forecast for the fiscal year ending June 20, 2024, which was announced today in the financial results.
1. Revision of the Numerical Targets
Fiscal year
Fiscal year
ended
ended
Fiscal year ending June 20, 2024
June 20, 2022
June 20, 2023
Actual results
Actual results
Initial plan
Revised plan
Net sales (Million yen)
36,636
39,393
48,000
42,000
(Of which)-Stationery and office supply business
26,060
25,933
30,500
28,100
-Interior lifestyle business
10,575
13,460
12,500
13,900
-M&A (*)
5,000
Ordinary profit
(Million yen)
1,338
637
3,400
900
Ordinary profit to net sales (%)
3.7
1.6
7.0
2.1
ROE
(%)
3.3
1.7
9.0
2.4
*Net sales from M&A for each fiscal year (excluding the initial plan) have been added to each segment.
2. Reasons for the Revisions
The Group's consolidated financial results for the fiscal year ended June 30, 2023, showed higher sales compared to the previous fiscal year, but lower profit due to a surge in raw materials, distribution costs and others, as well as the depreciation of the yen.
With regard to the progress of the Medium-Term Management Plan, in M&A, Life on Products, Inc. joined the Group in November 2021 and HIM Co., Ltd. was absorbed and merged with the Group in February 2023. In addition, amid changes in the business environment due to the ongoing shifts kicked off by the COVID-19 pandemic toward digitization and going paperless, we have been striving to expand our business domain by introducing various new products. However, due to changes in demand and fluctuations in exchange rates that were greater than expected, the Company has revised the numerical targets downward.
In the fiscal year ending June 30, 2024, the final year of the 10th Medium-Term Management Plan, the Company will continue to follow its principal strategies of "focus on growth fields" and "further strengthen core businesses." Regarding the growth fields, we will proactively launch new products with a focus on office and living environment products and the interior lifestyle business. In terms of our core businesses, we will implement sales promotion and advertising measures in order to increase the level of recognition of and to propose applications of
TEPRA.
We plan to announce the 11th Medium-Term Management Plan (a three-year plan from the fiscal year ending June 20, 2025 to the fiscal year ending June 20, 2027) around August 2024.
(Note) The financial results forecasts contained in this document are prepared based on the information currently available to us. Actual results may differ significantly from these forecasts due to various factors in the future.
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King Jim Co. Ltd. published this content on 21 August 2023 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 21 August 2023 08:26:08 UTC.
KING JIM CO., LTD. is a Japan-based company mainly engaged in the planning, manufacture and sale of stationeries, office supplies and interior decoration products. The Company operates in two business segments. The Stationeries and Office Supplies segment is engaged in the planning, manufacture and sale of general stationeries such as files, file bindings and office automation (OA) support supplies, as well as electronic stationeries such as Tepra label printers and Pomera digital memos. The Interior Lifestyle segment is engaged in the planning and sale of photo frames, aroma related products, watches, kitchen products and interior decoration products, the import, planning and sale of artificial flowers and interior goods, as well as the mail order sale of original furniture products.