LANGUAGE
2024.12.01
We would like to express our sincere gratitude for your continued support.
This time, for the current consolidated accounting period (from April 1, 2024 to September 30, 2024)
We would like to report on our business overview.
We hope you will take a look.
During the current interim consolidated fiscal period, the future of the Japanese economy remains uncertain due to the prolonged situation in Ukraine, the worsening situation in the Middle East, the slowdown in the Chinese economy, rising prices due to soaring raw material and energy prices, and the impact of rapid exchange rate fluctuations.
On the other hand, although personal consumption is affected by prolonged high prices for food and daily necessities, it is expected to recover due to an improvement in the income environment resulting from capital investment, mainly by large companies, and wage increases. In addition, the domestic consumer market is recovering, with inbound demand expected to expand further due to an increase in the number of overseas tourists as the yen weakens and the recovery from the COVID-19 pandemic continues.
Under these circumstances, our corporate group is working to strengthen corporate governance in order to flexibly respond to the rapidly changing business environment and further strengthen our management structure, thereby improving our corporate value. To this end, following a resolution to amend the Articles of Incorporation at the General Meeting of Shareholders held on June 27, 2024, we have transitioned from a company with an audit and supervisory board to a company with an audit and supervisory committee, and at the Board of Directors meeting held on the same day, we resolved to change the representative director. This will enable the Board of Directors to flexibly delegate business execution authority to directors, which will improve the agility and speed of decision-making in business execution, and we will strive to further improve our corporate value.
In addition, we acquired all shares of Muroyama Transport Co., Ltd. on August 1, 2024, making it a consolidated subsidiary. The company has been involved in the logistics industry for many years, mainly in the Kinki and Chugoku-Shikoku regions, and has built a good relationship with us as a cooperative partner. We believe that bringing the company into our group will lead to the resolution of various logistics issues, including the so-called 2024 problem, as well as progressive growth.
In terms of product sales for the current interim consolidated accounting period, seasonal home appliances such as air conditioners contributed significantly to the increase in sales due to the continued heat wave across the country, with the "monthly average temperature in Japan" in July 2024 reaching the highest record since statistics began in 1898. In addition, mobile phones, mainly iPhones, continued to perform well from last year.
In addition, sales of housing equipment grew, centered on high-efficiency water heaters, which were supported by the Ministry of Economy, Trade and Industry (Hot Water Energy Saving 2024 Project), and double-glazed window renovations, which attracted attention for their high insulation performance due to the aforementioned heat wave. Furthermore, sales of beauty and health equipment, household appliances such as microwave ovens and cooking appliances, and visual appliances such as televisions also increased from the previous year, showing steady growth.
As a result of the above, Net sales to 380.5 billion yen (107.9% compared to the same period last year), operating profit increased to 14,498 million yen (134.5% compared to the same period last year), Ordinary income increased to 15,027 million yen (136.0% compared to the same period last year), and interim net profit attributable to owners of parent increased to 10,031 million yen (139.0% compared to the same period last year).
In the second half of 2024, while the outlook for domestic consumption trends remains uncertain due to rising prices and the impact of the weak yen, we will continue to expand our product lineup by selling value-added products such as energy-saving air conditioners and refrigerators and strengthening development of our private product "e angle angle," strengthen our sales structure to meet further inbound demand, and actively develop and sell products and services that meet customer and market needs.
Furthermore, in addition to strengthening sales of renovation products, mainly residential equipment such as EcoCute and double-glazed windows, which performed well in the first half of the year, we will strive to further improve convenience and customer satisfaction through service-based sales that leverage our strengths, such as providing support for cleaning home appliances such as air conditioners, kitchens and bathrooms, and proposing advantageous plans for switching to mobile phones and internet lines with an awareness of money-saving measures.
Regarding new store openings, we plan to open two new stores in the second half of this fiscal year, bringing the total to seven new stores for the full year, including the five stores opened in the first half of the fiscal year.
In addition, with regard to our full-year consolidated earnings forecast for the fiscal year ending March 2025, we have revised it upward from the previous forecast (published on May 10, 2024) taking into account the results of this interim consolidated accounting period.
Our full-year forecast is for Net sales 761.5 billion yen (105.6% compared to the previous fiscal year), operating profit of 22.2 billion yen (131.1% compared to the previous fiscal year), Ordinary income 23.1 billion yen (133.2% compared to the previous fiscal year), and Profit attributable to owners of parent 13.5 billion yen (149.6% compared to the previous fiscal year).
Going forward, we will continue to support our customers to make their lives more convenient and enriched, and will strive to ensure strict compliance while expanding sales and profits. We will also strengthen our human capital and sustainability management, and work to achieve sustainable business growth and improve our corporate value while also solving social issues.
■ Second half (October to March)
■ First half (April to September)
*FY2024 ■ First half figures are actual results ■ Second half and full year figures are planned figures
■ Second half (October to March)
■ First half (April to September)
*FY2024 ■ First half figures are actual results ■ Second half and full year figures are planned figures
■ Second half (October to March)
■ First half (April to September)
*FY2024 ■ First half figures are actual results ■ Second half and full year figures are planned figures
■ Interim dividend ● Dividend payout ratio (consolidated) (%)
■ Final dividend
*FY2024 ■ Final dividend/Annual dividend ● Dividend payout ratio is a forecast figure
The table can be scrolled.
| First half of fiscal year 2023 | Net sales ratio | First half of fiscal year 2024 | Net sales ratio | Year-on-year change | |
|---|---|---|---|---|---|
| Net sales | 352,577 | 100.0% | 380,500 | 100.0% | 107.9% |
| Gross profit | 106,544 | 30.2% | 114,779 | 30.2% | 107.7% |
| Selling, general and administrative expenses | 95,765 | 27.2% | 100,281 | 26.4% | 104.7% |
| Operating income | 10,779 | 3.1% | 14,498 | 3.8% | 134.5% |
| Ordinary income | 11,052 | 3.1% | 15,027 | 3.9% | 136.0% |
| Interim net income attributable to owners of parent | 7,216 | 2.0% | 10,031 | 2.6% | 139.0% |
■ Current assets
■ Fixed assets
■ Current liabilities
■ Fixed liabilities
■ Net assets
First half of fiscal year 2024
| Cash flows from operating activities | 28,301 |
|---|---|
| Cash flows from investing activities | △7,287 |
| Cash flows from financing activities | △23,675 |
| Increase/decrease in cash and cash equivalents | △2,661 |
|---|---|
| Cash and cash equivalents at beginning of period | 12,011 |
| Cash and cash equivalents at end of interim period | 9,349 |
| Product name | First half of 2023 | First half of 2024 | Year-on-year change |
|---|---|---|---|
| TV set | 22,899 | 23,585 | 103.0% |
| refrigerator | 30,218 | 28,991 | 95.9% |
| washing machine· cleaner |
36,786 | 37,035 | 100.7% |
| Air conditioner | 54,684 | 61,538 | 112.5% |
| computer | 16,397 | 15,549 | 94.8% |
| mobile phone | 34,834 | 42,095 | 120.8% |
| Housing Facilities | 27,202 | 29,847 | 109.7% |
The table can be scrolled.
| Opening month | Classification | Store name | location |
|---|---|---|---|
| April | New Construction | Sasaoka store | Chuo Ward, Fukuoka City |
| April | New Construction | Gardens Chihaya East | Higashi Ward, Fukuoka City |
| May | New Construction | Nara Sanjo Oji store | Nara City, Nara Prefecture |
| Opening month | Classification | Store name | location |
|---|---|---|---|
| June | New Construction | Oji Station Store | Oji Town, Nara Prefecture |
| August | transfer | Rubit Town Nakatsugawa store | Nakatsugawa City, Gifu Prefecture |
| September | New Construction | Yatsushiro store | Yatsushiro City, Kumamoto Prefecture |
We have opened the EDION Nara Sanjo-oji store, located southwest of the National Heijo Palace Historical Park in Nara City, Nara Prefecture.
We have exhibits where you can actually see, touch, and experience many products, from the latest hot topics in home appliances and home improvement, to toys and TV games that are popular with children.
Monitors installed in each product section show videos on how to select products and suggestions on how to use them, allowing customers to experience the latest in store design that utilizes digital technology.
● A wide selection of the latest high-performance gaming PCs, etc.
● Popular toys, plastic models, and TV games corner
● The latest washing machines and other equipment are available
From a unique angle that is not bound by preconceived notions
Rethinking home appliances and lifestyles
What was born was,
This is EDION 's e angle.
A rounded form with soft curves
The soft and tasteful "dull colors" are its characteristic.
Stylish home appliance series
"e angle Color Design Series (3 kitchen appliances)"
New heating appliances have been introduced.
Carbon heaters will be available from October 26, 2024, and ceramic heaters will be available from
From November 8th,
All EDION Group stores and
Now on sale at EDION online shop!
NEW
Carbon heater
Ceramic heater
◆For more information about the product,
Carbon heater [here]
Please check ceramic heaters here.
At the 33rd Olympic Games (Paris 2024) held in August 2024, our athlete Nanako Fujii will represent Japan in the women's 20km race walk.
This will be the team's second consecutive Olympic appearance, following the Tokyo 2020 Games.
In addition, at the Berlin Marathon 2024 held in Germany in September 2024, Ai Hosoda finished in 5th place, the top result for a Japanese runner, with a record that was the 7th fastest in Japan's history.
● Women's Track and Field Club (official) website renewal
We introduce the athletes, the races they will be participating in, and their results.
Nanako Fujii
Ai Hosoda
We believe that the physical and mental health of our employees and their families is the driving force behind the sustainable growth of the company. We have therefore positioned maintaining and improving employee health as one of our management priorities, and made the "Health and Productivity Management Declaration" in September 2019.
With the aim of "creating health that allows employees to work with enthusiasm," we have set target indicators for the health management issues of "countermeasures against lifestyle-related diseases" and "promotion of work style reform," and are implementing various measures.
Our activities have been recognized, and we have been recognized as an excellent company in the "2024 Health and Productivity Management Awards (Large Corporation Category)" selected by the Ministry of Economy, Trade and Industry and the Nippon Kenko Kaigi for our "health and productivity management" initiatives that consider employee health management from a management perspective and strategically implement it. This marks the fifth consecutive year that we have been recognized since 2020.
Going forward, we will continue to work to create an environment where each and every employee can work with a smile on their face, in safety and health both physically and mentally, in order to achieve sustainable growth for the company.
Please refer to our website for more information on our health and productivity management initiatives.
https://www.edion.co.jp/corporate/health-management
To express our gratitude to our shareholders for their continued support and to deepen their understanding of our company, we are offering them gift cards that can be used for shopping at EDION Group stores. In addition, we are offering additional gift cards to shareholders who hold shares for a long time, with the additional gift amount being applied based on the length of time they have held shares.
