Notice on Formulation of Medium-term Business Plan
USEN-NEXT HOLDINGS Co., Ltd. (the "Company") hereby announces that it has formulated "Road to 2025," a four-yearmedium-term business plan that begins in the fiscal year ending August 31, 2022.
Period of the Plan
Four-year period from August 2022 to August 2025
Purpose of the Plan
On June 6, 2019, the Company announced its medium-term business plan "NEXT for 2024," with the fiscal year
ending August 31, 2024 as the final year. However, in the consolidated financial results for the fiscal year ended August 31, 2021, operating profit, ordinary profit and profit attributable to owners of parent exceeded the planned values for the final year, and the current business environment is significantly different from the premise of "NEXT for 2024" due to the COVID-19 crisis. By formulating and implementing a medium-term business plan with the current fiscal year as the first year, we will work to achieve sustainable growth and further enhance corporate value.
Basic Strategy
Be a source of added value as a provider of digital transformation support for customers with the objective of functioning as a Social DX Company
Use organic growth of current businesses to make the USEN-NEXT Group even more profitable
Aim for even faster growth by using financial leverage for investments for M&A and other actions
Execute a multi-faceted financial strategy while maintaining financial discipline
Distribute earnings to shareholders with stability and consistency
Management Targets
Results for the fiscal year
Plan for the fiscal year
ended August 31, 2021
ending August 31, 2025
Net sales
208.4 billion yen
274.0-286.0 billion yen
Operating profit
15.6 billion yen
22.0-25.0 billion yen
Profit attributable to owners of parent
8.0 billion yen
12.0-13.5 billion yen
Profit attributable to owners of parent (Adjusted)*
11.3 billion yen
15.0-16.5 billion yen
EBITDA
24.4 billion yen
33.0-36.0 billion yen
EBITDA-CAPEX (Including growth investments)
13.8 billion yen
16.5-19.5 billion yen
ROE
27.2%
Around 20%
Equity ratio
23.6%
30% to 40%
Leverage ratio
2.6 times
1.5 times or less
D/E ratio
1.9 times
1.0 times or less
Dividend payout ratio
10.1%
10% to 30%
*Profit adjusted after adding "amortization of goodwill" to profit attributable to owners of parent
5. Reference
For more details, please refer to the attachments.
Road to 2025
Medium-term Business Plan FY8/22 ～ FY8/25
February 28, 2022
USEN-NEXT HOLDINGS Co.,Ltd.
Index
Ⅰ. Assessment of the Previous Medium-term Plan
Medium-termbusiness plan "Road to 2025"
Ⅲ. Growth strategy for business segments
Ⅳ. Appendix
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Disclaimer
USEN NEXT HOLDINGS Co. Ltd. published this content on 28 February 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 28 February 2022 06:21:05 UTC.
U-Next Holdings Co Ltd, formerly known as Usen Next Holdings Co Ltd, is a Japan-based company engaged in the store service business and telecommunications business. The Company operates through five business segments. The Content Distribution segment provides and sells the video distribution service U-NEXT for individuals. The Store Services segment engages in the provision, sale, and construction store solutions, the provision of customer attraction support for restaurants, the management and development of music copyright. This segment also provides other solutions necessary for store operations. The Telecommunications segment provides services to corporations under the USEN GATE02 brand, and broadband Internet lines for individuals. The Commercial Systems segment provides automatic payment machines and front desk management systems for medical institutions and hotels. The Energy segment provides energy consulting services, including low-voltage power, high-voltage power, and others.
U-NEXT HOLDINGS CO.,LTD. 
