Medium to Long-term Strategies and Numerical Targets
Medium to Long-term Strategies and Numerical Targets
Leopalace21 has been working on resolving construction defects, implementing recurrence prevention measures, and enhancing corporate governance in order to restore trust that has been damaged by construction defects problem. In addition to selling a part of our businesses and assets, we have been working on business structural reforms such as improving productivity, reducing costs, and refining business model centered on the Leasing business. In order to restore the trust of stakeholders and ensure the recovery of business results, we completed the strategic review process, and have established and implemented the business plan from the fiscal year ending March 2021 based on the "Drastic Business Strategies Reconstruction".
Medium to Long-term Strategies
Roadmap for Short Term and Mid to Long Term
Numerical Targets
Operating loss and net loss for the FY21/3 was 9.8 billion yen and 8.0 billion yen respectively, due to COVID-19 effect, etc.. Operating profit and net income for the FY22/3 will increase to 11.3 billion yen and 9.9 billion yen respectively by reinforcing corporate salesforce and making use of IT (AI and IoT) for efficiency improvement in order to increase occupancy rates. Profits will recover to the same level as that recorded before construction defects problem was disclosed with operating profit of 23.5 billion yen and net income of 19.1 billion yen for FY23/3.
Financial Plans
| (Billion yen) | FY18/3 Actual |
FY19/3 Actual |
FY20/3 Actual |
FY21/3 Plan |
FY22/3 Plan(ref.) |
FY23/3 Plan(ref.) |
|---|---|---|---|---|---|---|
| Sales | 530.8 | 505.2 | 433.5 | 431.1 | 451.7 | 475.2 |
| Gross Profit | 96.0 | 76.2 | 25.4 | 43.0 | 63.1 | 76.3 |
| SGAE | 73.1 | 68.8 | 61.9 | 52.8 | 51.9 | 52.8 |
| Operating profit |
22.9 | 7.3 | -36.4 | -9.8 | 11.3 | 23.5 |
| Recurring profit |
22.3 | 7.0 | -36.3 | -10.2 | 10.7 | 23.0 |
| Net income* | 14.8 | -68.6 | -80.2 | -8.0 | 9.9 | 19.1 |
| Occupancy rate (average) |
90.59% | 88.34% | 80.78% | 81.63% | 86.87% | 89.67% |
- * "Net income" refers to "net income attributable to shareholders of the parent".
- * Recorded deferred tax assets for the following one year in FY21/3 (Plan), FY22/3 (Reference), and FY23/3 (Reference)
More information about Leopalace21's growth strategy
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Our President and CEO provides investors with details of our quarterly management performance.
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Introduction of Leopalace21 Board of Directors
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Introduction of Leopalace21's Corporate Governance
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Explanation of business and other risks.
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Business Reports (Japanese only)
Download annual and interim Business Reports
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Download details of our current Medium-term Management Plan
