Medium-term Management Plan

We will enhance our corporate value over the medium to long term by positioning the four key elements of business, finance, digital, and talent and culture as the engines of value creation.
Among the components of the P/B ratio—one of the KPIs to measure corporate value—ROE, which measures the capability to generate returns exceeding the cost of equity, is positioned as the top priority KPI. We will enhance ROE mainly by improving ROA, while also optimizing financial leverage. We will also continue with initiatives that contribute to the enhancement of the P/E ratio to achieve our unique growth story.

Value creation process overview

Corporate value enhancement logic tree

Our 10-year Vision (“Together we innovate, challenge and explore the frontiers of the future”) released in May 2022 is a milestone in achieving Our Mission, which we aim for over the long term centered on our value creation story. The vision serves as a compass showing the path to realizing Our Mission, to be reached through three Medium-term Management Plans representing the “Hop,” “Step,” and “Jump” phases.
In formulating the 2028 MTMP, we redefined Our 10-year Vision as Our FY2031 Vision from the perspectives of the four key elements to clarify our future direction. The 2028 MTMP was formulated to achieve Our FY2031 Vision and is positioned as a phase to improve profitability and accelerate the enhancement of our corporate value.

The 2028 MTMP which began in FY2026 will be a critical milestone in achieving Our FY2031 Vision. We will enhance our corporate value over the medium to long term by increasing ROE to 10%—the same level as our cost of equity—and then look to exceed this level by FY2031.
To achieve these goals, with the four key elements as the main driving force, we will further accelerate the development of a portfolio with high profitability and growth potential, the optimization of capital allocation, the realization of more advanced and agile management through digital utilization, our corporate culture transformation, and other initiatives.