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Growth Strategies

Large Stores and Maintenance Shops

There are two growth strategies.

Open large stores emphasizing capital efficiency, and start a maintenance business.

Large stores

  • ・Large stores achieved a lot during the transition period. We will open large stores to increase retail unit sales steadily and expand market share.
  • ・We will accelerate store openings without focusing on the number of stores while assessing the capital efficiency of existing stores.

Maintenance business

  1. 1. The Japanese automobile maintenance market is a 5.4 trillion yen market. Like the used car market, it is a huge market.
  2. 2. We can connect the maintenance business to the retail used car business in a cycle of transactions.
  3. 3. We will significantly enhance cost efficiency simply by shifting outsourced operations to in-house operations.
  4. 4. We believe that now is the time to invest in the latest equipment under the new law and start this new business.

We have decided to enter the maintenance business for the above four reasons.

Management Indicators Emphasized by IDOM

  1. 1.Expansion of Operating Income

    We will increase operating income steadily.

  2. 2.Expansion of Free Cash Flow over the Medium and Long Term

    We will expand free cash flow in the medium to long term, considering whether we are in an investment phase or a payback phase.

  3. 3.Maximization of ROIC

    We will maximize ROIC, taking capital cost into consideration.

Shareholder returns

Focus on dividends
Performance-linked dividend policy

Previous fiscal year’s profit attributable to owners of parent × 30%