Medium-Term Plan

<As of 5/14/2020>

Numerical targets

(unit:million yen)

FY2021 FY2022 FY2023
Sales 140,700 152,000 158,000
Operating profit 3,240 5,000 7,500
Operating margin 2.3% 3.3% 4.7%
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Basic policy

We forecast that FY2021, the first year of our new Medium-Term Plan, will see intensifying competition from the internet as well as a difficult revenue environment due to the impact of the novel coronavirus pandemic. In particular, the impact of the coronavirus is significant. At the very least, we forecast first half full-year, time/spot revenues will see declines on par with FY2010 during the Lehman Shock. For the full-year, we are forecasting a YoY decline of 9.2% to 67.5 billion yen, which would be on par with our lowest revenue levels in the past 30 years.

Amid a difficult advertising market, we will strengthen cost controls and work to minimize declines in broadcast revenues. At the same time, we will expand the anime & content business and the event & EC business to achieve growth by consolidating our Group strengths towards accelerating our expansion into non-broadcast and broadcast-related businesses. In particular, the anime business contributed significantly to income in FY2020 by achieving record net sales and from FY2021 onward we forecast an even greater leap in sales driven by the start of production by our affiliate in China. We also will advance the development of a business that combines live performances with net streaming through Mixalive TOKYO, the Ikebukuro live entertainment project in which we are a participating company.

Since early this year, we have been implementing our BCP (business continuity plan) as part of efforts to prevent the spread of infection. We will overcome the issues with program creation and workstyles that have arisen during this period in order to adopt new norms required as part of life with the coronavirus. We will reevaluate how we engage in program creation and conduct sales, and using telecommuting to implement workstyle reforms. We will implement revenue structure reforms that strengthen our corporate structure and lead to productivity improvements.

Through these structural reforms, we will rebound in FY2022 and beyond as we aim to achieve record high net sales and operating income by the final fiscal year of the plan period.