TO OUR SHAREHOLDERS AND INVESTORS,
BUSINESS RESULTS FOR 2Q OF FISCAL YEAR 2018
For the six-month period ended September 30, 2018, the Honyaku Center Group posted net sales of 5.718 billion yen, up 16.6% on a year-on-year basis, operating income of 329 million yen, up 16.8% on a year-on-year basis, ordinary income of 331 million yen, up 16.6% on a year-on-year basis, and net income attributable to the parent company’s shareholders of 329 million yen, up 16.2% on a year-on-year basis. Both sales and profits increased due to the consolidation of Media Research, Inc., which became a group company last November, and increased sales in the Convention Business in addition to steady performance of Honyaku Center, the core entity of the Group.
Consolidated financial results forecasts for the year ending March 31, 2019
For the fiscal year ending March 31, 2019, the Group expects net sales of 12.0 billion yen, up 13.0% on a year-on-year basis, an operating income of 900 million yen, up 12.2% on a year-on-year basis, an ordinary income of 900 million yen, up 10.8% on a year-on-year basis, and net income attributable to the parent company’s shareholders of 600 million yen, up 5.8% on a year-on-year basis. Both net sales and income are expected to hit record highs for the third consecutive year.
Fourth Mid-term Management Plan (March 2019 to March 2021)
The Company developed the “Fourth Mid-term Management Plan” for three years from the year ending March 2019 to the year ending March 2021. The Group will continue to work on the management vision of a “language concierge that connects all companies to the world” and put into place a business-solution-type sales system that meets diversified and advanced customer needs, and aim to expand its market share.
The Group designates consolidated operating income margin and return on equity (ROE) as its management benchmarks. We aim for a consolidated operating margin of 10% in the medium and long term by increasing sales and profit, and work to secure an ROE of 15% or more by improving capital efficiency.