Marui Group Co., Ltd. · TSE:8252
Marui — Marui Group Co Ltd Ord — FY2025 Earnings Presentation
111 slides from Marui's earnings presentation, May 13, 2025
Slide 1: Financial Results Briefing for the Fiscal Year Ended March 31, 2025
MARUI GROUP CO., LTD Financial Results Briefing for the Fiscal Year Ended March 31, 2025, And the Direction for the Future May 13, 2025
Slide 2: Schedule for today's presentation
Schedule for today’s presentation 1 Overview of Performance in Fiscal Year Ended March 31, 2025 And Full-Year Forecast Fiscal Year Ending March 31, 2026 Hirotsugu Kato, Director, Senior Managing Executive Officer, and CFO 2 Formulation of Management Vision & Strategy Narrative 2031 Hiroshi Aoi, Pres
Slide 3: Overview of Performance in Fiscal Year Ended March 31, 2025 and Forecast
1 Overview of Performance in Fiscal Year Ended March 31, 2025 And Full-Year Forecast Fiscal Year Ending March 31, 2026 Hirotsugu Kato, Director, Senior Managing Executive Officer, and CFO
Slide 4: Overview of Performance
Overview of Performance In Fiscal Year Ended March 31, 2025 ･ Consolidated ･ Retailing ･ FinTech ･ Co-creative Investment ･ Non-operating expenses and income / Extraordinary losses and income ･ Balance sheet / Capital allocation Full-Year Forecast Fiscal Year Ending March 31, 2026 Review of the curr
Slide 5: Overview of Performance
Overview of Performance In Fiscal Year Ended March 31, 2025 ･ Consolidated ･ Retailing ･ FinTech ･ Co-creative Investment ･ Non-operating expenses and income / Extraordinary losses and income ･ Balance sheet / Capital allocation Full-Year Forecast Fiscal Year Ending March 31, 2026 Review of the curr
Slide 6: Highlights in Fiscal Year Ended March 31, 2025
Highlights in Fiscal Year Ended March 31, 2025 1. EPS up 10% to ¥143.2; ROE was 10.6%, exceeding 10% for the first time in 34 years; ROIC was 3.8% (up 0.2% year on year). All three main KPIs met Plans. 2. Operating profit increased 9% to ¥44.5 billion(up ¥3.5 billion year on year),marking the fourth
Slide 7: Main KPIs
Main KPIs ■ EPS ■ ROE and Cost of Equity ■ ROIC and WACC 200 （Yen） Record High （％） 10.6% 5.0 （％） (YoY＋0.7%) ¥143.2 ROE 9.9 3.8% (YoY 110%) 10.0 ROIC 150 (YoY＋0.2％) 8.8 8.5 4.0 3.7 3.6 131 3.5 117 109 3.5 3.5 8.1 7.8 3.0 100 6.9 3.0 3.0 6.7 WACC Cost of 5.0 2.0 Equity 50 1.0 0 0.0 0.0 FY2020 20.3 FY2
Slide 8: Main financial indicators
Main financial indicators ■ Total Group transactions ■ Operating Profit ■ Net Income Record High （Trillion yen） 4.9269 （Billion500yen） （Billion400 yen） 5 (YoY＋¥0.4397) ¥44.5 4.5 450 (YoY＋¥3.5) 4.0 41.8 418 41.0 410 300 30.0 ¥26.6 4 (YoY＋¥1.9) 400 40.0 38.8 388 25.3 253 24.7 247 2.9 21.5 215 3 350 20
Slide 9: Factors Affecting Operating Income
Factors Affecting Operating Income +¥3.6 billion -¥0.1 billion excluding the impact of liquidated accounts receivables Impacts of liquidated accounts receivables Eliminations ¥44.6 Liquidated accounts ¥44.5 FinTech /Corporate billion receivables billion Retailing ＋¥1.8 billion ＋¥2.0 billion （YoY＋¥3.
Slide 10: Segment Income
Segment Income（Revenue and Operating Income） ■ Retailing ■ FinTech （%） （%） 6.0 4.6 5.0 4.9 4.8% 6.0 3.4 3.1 % 4.0 4.0 ROIC 4.0 ROIC 2.6 1.4 2.0 2.0 2.0 0.0 0.0 （Billion yen） 2,000 ¥181.0 billion 101.6 （Billion yen） （YoY＋¥13.8 billion） 100 1,000 ¥82.3 billion 167.1 （YoY＋¥5.0 billion） 150.6 75.8 77.3
Slide 11: Overview of Performance
Overview of Performance In Fiscal Year Ended March 31,2025 ･ Consolidated ･ Retailing ･ FinTech ･ Co-creative Investment ･ Non-operating expenses and income / Extraordinary losses and income ･ Balance sheet / Capital allocation Full-Year Forecast Fiscal Year Ending March 31, 2026 Review of the curre
Slide 12: Retailing: Breakdown of Changes in Operating Income
Retailing: Breakdown of Changes in Operating Income Operating income increased by ¥1.6 billion mainly due to higher fixed-term tenant revenue Cost reduction Tenant Event ＋¥0.3 billion EC ＋¥0.1 billion and other Related business ¥8.6 billion ＋¥1.7 billion -¥0.7 billion （＋¥1.6 billion） ＋¥0.2 billion ¥
Slide 13: Tenant Rent Revenue
Tenant Rent Revenue Tenant rent revenue increased by ¥1.7 billion year on year due to an increased in fixed-term rental floor space and unit price of monthly tsubo rent ■ Effect of the increase in tenant rent revenue: ＋¥1.7 billion ¥45.1 billion Effect of fixed-term rental floor space ＋¥1.0 billion
Slide 14: Overview of Performance
Overview of Performance In Fiscal Year Ended March 31, 2025 ･ Consolidated ･ Retailing ･ FinTech ･ Co-creative Investment ･ Non-operating expenses and income / Extraordinary losses and income ･ Balance sheet / Capital allocation Full-Year Forecast Fiscal Year Ending March 31, 2026 Review of the curr
Slide 15: FinTech: Breakdown of Changes in Operating Income
FinTech: Breakdown of Changes in Operating Income Operating income increased by ¥ 1.7 billion due to the increase in revenue and curbing of the increases expenses by revising the point program, etc. Revenue ＋¥13.4 billion Expenses -¥11.6 billion Non- Transaction- transaction-linked linked Non- Trans
Slide 16: Card Credit Transactions Volume
Card Credit Transactions Volume Credit card transaction volume for the fourth quarter was ¥1.1517 trillion（+10% year on year） ■ Charges in card credit transaction volume 13,000 （％） 114 116 YoY 112 112 110 109 111 110％ 120120 （Trillion yen） 12,000 1.2 100 100 80 11,000 1.1 60 40 ¥1.1517 trillion 10,0
Slide 17: Affiliate Commission Rates
Affiliate Commission Rates Affiliate commission rate is stable at 1.21% ■ Changes in the ratio of affiliate commissions （%） 1.25 1.25 1.24 1.24 1.22 1.22 1.21 1.21 1.21 % 1H 上半期 2H 下半期 1H 上半期 2H 下半期 1H 上半期 2H 下半期 1H 上半期 2H 下半期 FY2022 22.3 FY2023 23.3 FY2024 24.3 FY2025 25.3 ＊Ratio of affiliate commi
Slide 18: Changes in Installment and Revolving Payments
Changes in Installment and Revolving Payments YoY change in installment and revolving credit transaction is stable at 110% , And commission revenue increased steadily by 8% to ¥59.6 billion ■ Changes in installment and revolving payments （％） YoY change in installment and revolving credit transaction
Slide 19: Overview of Performance
Overview of Performance In Fiscal Year Ended March 31, 2025 ･ Consolidated ･ Retailing ･ FinTech ･ Co-creative Investment ･ Non-operating expenses and income / Extraordinary losses and income ･ Balance sheet / Capital allocation Full-Year Forecast Fiscal Year Ending March 31, 2026 Review of the curr
Slide 20: Co-Creative investment
Co-Creative investment Co-creative investments for fiscal year ended March 31, 2025, amounted ¥2.0 billion, with a cumulative total investment of ¥30.0 billion to date ■ Co-creative investment （billion yen） Total amount to date ¥30.0 billion 80 8 7.1 7.2 0.9 3.3 4.7 4.2 4 40 0.9 1.5 2.9 6.3 2.0 3.8
Slide 21: Profit Contributions from Co-Creative Investment
Profit Contributions from Co-Creative Investment Contributions to profit in fiscal year ended March 31, 2025, were ¥3.1 billion, with IRR of 10% ■ Contribution to profit （billion yen） 440 3.1 （YoY＋0.3） 2.8 FinTech (Revenue) 17 - Usage of cards at co-creative investees 220 - Usage of collaboration ca
Slide 22: Overview of Performance
Overview of Performance In Fiscal Year Ended March 31, 2025 ･ Consolidated ･ Retailing ･ FinTech ･ Co-creative Investment ･ Non-operating expenses and income / Extraordinary losses and income ･ Balance sheet / Capital allocation Full-Year Forecast Fiscal Year Ending March 31, 2026 Review of the curr
Slide 23: Non-operating expenses and income / Extraordinary losses and income
Non-operating expenses and income / Extraordinary losses and income Non-operating expenses increased by ¥1.9 billion due to higher interest rates and other factors FY2024 FY2025 YoY YoY 前年差要因 change difference Billion yen Billion yen ％ Billion yen Retailing ＋1.6 Operating profit 41.0 44.5 109 ＋3.5 F
Slide 24: Overview of Performance
Overview of Performance In Fiscal Year Ended March 31, 2025 ･ Consolidated ･ Retailing ･ FinTech ･ Co-creative Investment ･ Non-operating expenses and income / Extraordinary losses and income ･ Balance sheet / Capital allocation Full-Yeat Forecast Fiscal Year Ending March 31, 2026 Review of the curr
Slide 25: Balance Sheet
Balance Sheet Total assets increased by ¥49.9 billion compared to the end of the previous fiscal year due to an increase in operating receivables and other factors Total assets ¥1.0534 trillion （＋¥49.9 billion） Total assets ¥1.0035 trillion Current assets Liabilities Current assets Liabilities Opera
Slide 26: Capital allocation
Capital allocation Allocated ¥19.9 billion for growth investments and ¥38.0 billion to shareholder returns while maintaining capital optimization. Human capital investment totaled ¥8.8 billion (25% of personnel costs) ■ Capital allocation （FY2025 ） Existing investments ¥14.5 billion Core operating I
Slide 27: Overview of Performance
Overview of Performance In Fiscal Year Ended March 31, 2025 ･ Consolidated ･ Retailing ･ FinTech ･ Co-creative Investment ･ Non-operating expenses and income / Extraordinary losses and income ･ Balance sheet / Capital allocation Full-Year Forecast Fiscal Year Ending March 31, 2026 Review of the curr
Slide 28: Full-Year Forecast for the Fiscal Year Ending March 31, 2026
Full-Year Forecast for the Fiscal Year Ending March 31,2026 The three KPIs of EPS, ROE, and ROIC are expected to exceed the previous year's figures. FY2025 FY2026 YoY YoY change % difference EPS (Yen) 143.2 155.0 108 ＋11.8 ROE (％) 10.6 11.2 - ＋0.6 ROIC (％) 3.8 3.9 - ＋0.1 Reduction of CO₂ 390 500 128
Slide 29: Ordinary Profit Forecast for the Fiscal Year Ending March 31, 2026
Ordinary Profit Forecast for the Fiscal Year Ending March 31,2026 Ordinary profit for the fiscal year ending March 31, 2026, is expected to increase 5% to ¥42 billion. Operating profit＋¥5.5 billion Non-operating FinTech expenses and income ＋¥2.9 billion -¥3.3 billion Retailing Eliminations /Corporat
Slide 30: Profit Forecast by Segment for FY2026
Profit Forecast by Segment for FY2026 Profit from retailing is expected to increase by 28% to ¥11.0 billion and from FinTech by 7% to ¥47.0 billion FY2025 FY2026 YoY YoY Change difference Billion yen Billion yen ％ Billion yen Retailing 8.6 11.0 128 ＋2.4 FinTech 44.1 47.0 107 ＋2.9 Eliminations -8.1 -
Slide 31: Retailing: Breakdown of Changes in Operating Profit for FY2026
Retailing: Breakdown of Changes in Operating Profit for FY2026 A profit increase of 2.4 billion yen is projected for the fiscal year ending March 31, 2026, primarily due to the expansion of tenant-related income. Expenses Related ¥11.0 EC and other business billion Event ＋¥0.5 billion ±¥0 billion （＋
Slide 32: FinTech: Breakdown of Changes in Operating Profit for FY2026
FinTech: Breakdown of Changes in Operating Profit for FY2026 Operating profit for the fiscal year ending March 31, 2026, is projected at ¥47.0 billion, representing an increase of ¥2.9 billion Income＋¥15.6 billion Expenses -¥12.7 billion Non- Transaction transaction-linked -linked Non- ＋¥9.9 billion
Slide 33: Overview of Performance
Overview of Performance In Fiscal Year Ended March 31, 2025 ･ Consolidated ･ Retailing ･ FinTech ･ Co-creative Investment ･ Non-operating expenses and income / Extraordinary losses and income ･ Balance sheet / Capital allocation Full-Year Forecast Fiscal Year Ending March 31, 2026 Review of the curr
Slide 34: Review of the current Medium-Term Management Plan
Review of the current Medium-Term Management Plan Starting date From FY2022 Theme Impact × Business Strategy × Capital Policy Financial KPIs EPS ¥200 or more ROE 13.0% or more ROIC 4.0% or more 34
Slide 35: Review of Impact Targets
Review of Impact Targets While progress was made in supporting “Suki” and in driving innovation in workstyles and organizations, certain areas experienced difficulties. ■ Impact 2.0（July 2024） Progress Themes Priority Measures Rate Details Creating a • The reduction of the company’s own CO₂ Help rea
Slide 36: Review of Capital Policy
Review of Capital Policy Capital Policy Capital The targeted balance sheet was achieved ahead of Optimization schedule in the fiscal year ended March 31, 2023. To enhance capital efficiency and ensure long- Shareholder term, stable dividend growth, DOE was introduced Returns starting in the fiscal y
Slide 37: Review of Business Strategy
Review of Business Strategy Business Strategy Operating profit progressed largely in line with Retailing the plan, supported by the development of eventful stores and other initiatives. While a recovery to pre-COVID levels was expected in FY2023, the rebound in new member acquisition was FinTech del
Slide 38: Forecast for FY2025 and Variance from the Medium-Term Management Plan
Forecast for FY2025 and Variance from the Medium-Term Management Plan Under the current Medium-Term Management Plan through FY2026, operating profit is projected to fall short of ¥10 billion, and the three KPIs are also expected to remain unmet. FY2026 FY2026 Disclosed Plan Forecast Variance from In
Slide 39: Progress of the Medium-Term Management Plan
Progress of the Medium-Term Management Plan The initial plan for the third year of the Medium-Term Management Plan (FY2024) was accomplished one year behind schedule in the current fiscal year. ■ EPS ■ ROE ■ ROIC Initial Plan Initial Plan Initial Plan 1-Year Delay 1-Year Delay 1-Year Delay 100 155 1
Slide 40: Future Direction
Future Direction Projection Based on Current Path Achievement of the current Medium-Term Management Plan targets is expected to be delayed by approximately 1 to 2 years. Future Direction Transition to a new Medium-Term Management Plan aimed at enhancing corporate value. 40
Slide 41: Management Vision & Strategy Narrative 2031
2 Management Vision & Strategy Narrative 2031 From FY2026 to FY2031 President and Representative Director Hiroshi Aoi
Slide 42: Management Vision & Strategy Narrative 2031 for the 100th Anniversary
Management Vision & Strategy Narrative 2031 for the 100th Anniversary For the 100th anniversary in 2031, we developed a strategic narrative to bring our vision to life. 2031 The 100th Anniversary Management Vision 2025 2021 The business strategy and impact targets will be explained at the IR Day on
Slide 43: Highlights
Highlights By transforming into a business that supports “Suki,” we are bringing our vision of “conquering the dichotomy between impact and profit” to life, while achieving both significant growth and impressive returns. Group's total transaction volume CAGR Group's total transaction volume 12% or m
Slide 44: Table of Contents
Table of Contents 1. “Suki” Economy 2. Impact and Strategy 3. Business Strategy Highlights 4. Risks 5. Capital Policy and Shareholder Returns 6. KPI 44
Slide 45: 1. "Suki" Economy
1. “Suki” Economy
Slide 46: State of the Deflationary Economy
State of the Deflationary Economy In a deflationary economy, consumers become increasingly cost-conscious, and companies respond by engaging in intense competition. It resulted in heightened anxiety among young people as they navigate stagnant social conditions. Cost- Uncertainty Cost conscious abou
Slide 47: Signs of an End to Deflation
Signs of an End to Deflation Wages, prices, interest rates, and land prices have all risen for the first time in 30 years, indicating a turning point. What is the new economic vision that will capitalize on this change? 47
Slide 48: "Suki" Economy
New Economic Vision “Suki” Economy 48
Slide 49: From a Deflationary Economy to "Suki" Economy
From a Deflationary Economy to “Suki” Economy Deflationary Economy “Suki” Economy Focusing solely on cost performance Priority-based Consumption Cost competition and the scramble Creating new markets for a limited share of the market and fostering growth Feeling exhausted and lacking Finding joy in
Slide 50: Business that Transcends Dichotomies
Business that Transcends Dichotomies Business that Supports “Suki” 50
Slide 51: Business that Supports "Suki"
Business that Supports “Suki” We are transitioning from a business model that combines retailing, fintech, and co-creation investments. Until now From now on Retailing × FinTech × Co-creation Investment Business that supports “Suki” FinTech People, organizations, Events and work styles Co-creation i
Slide 52: Scope of Business that Supports "Suki"
Scope of Business that Supports “Suki” The scope of “Suki” extends beyond just “Fan activities. ” It encompasses “Suki” in a broad sense, such as Japanese culture as viewed and embraced from international perspectives. “Suki” in the broad sense “Suki” in Pet Food culture the narrow sense Market size
Slide 53: 2. Impact and Strategy
2. Impact and Strategy
Slide 54: 2. Impact and Strategy
2. Impact and Strategy 1. Consumption that extends its benefits to others and society as a whole through the concept of “Suki” 2. Financial empowerment that supports “Suki” 3. Supporting strategies to achieve 1 and 2 4. Demonstration of creativity through Flow 5. Business development by social intra
Slide 55: 2. Impact and Strategy
2. Impact and Strategy 1. Consumption that extends its benefits to others and society as a whole through the concept of “Suki” 2. Financial empowerment that supports “Suki” 3. Supporting strategies to achieve 1 and 2 4. Demonstration of creativity through Flow 5. Business development by social intra
Slide 56: Consumption that extends its benefits to others and society
Consumption that extends its benefits to others and society as a whole through the concept of “Suki” We are committed to finding the right balance between impact and profit by using “Suki” to make consumption beneficial for individuals and society as a whole. Donation Consumption “Suki” Consumption
Slide 57: EPOS Cards that Support "Suki" with a Donation Function
EPOS Cards that Support “Suki” with a Donation Function Expanding the lineup of cards with donation options led to an increase in membership. Heralbony Card Minna Denryoku Epos Card Creative activities Renewable energy of writers producers EPOS Pet Card Pocket Marche Epos Card Animal protection Prim
Slide 58: Museum Cards
Museum Cards New “Museum Cards” were launched in March and received enthusiastic support for ideas and donations. ■ Museum Epos Card ■ Voices on SNS For every new membership, we will donate ¥ 1,000, along with 0.1% of the card purchase amount, to three organizations @----- chosen to represent the de
Slide 59: New Types of Consumers and Differentiation Strategy
New Types of Consumers and Differentiation Strategy We pursue a differentiation strategy to address the needs of the new types of consumers anticipated to grow in number. For someone else EPOS cards that support “Suki” Monetary value Happiness Card with big point rewards For myself 59
Slide 60: Expanding Membership of EPOS Cards that Support "Suki"
Expanding Membership of EPOS Cards that Support “Suki” Our goal is to have 3 million members by FY2031 and to surpass the number of Gold Card members by FY2041. 2,500 ■ Number of members by card type 2,000 (10,000) EPOS cards that 10 1,500 Over million support “Suki” members 1,000 300 790 Gold card
Slide 61: 2. Impact and Strategy
2. Impact and Strategy 1. Consumption that extends its benefits to others and society as a whole through the concept of “Suki” 2. Financial empowerment that supports “Suki” 3. Supporting strategies to achieve 1 and 2 4. Demonstration of creativity through Flow 5. Business development by social intra
Slide 62: Financial empowerment that supports "Suki"
Financial empowerment that supports “Suki” The 1930s (when founded) - The 1980s - 2025 and beyond We support your new life We support new graduates We support “Suki” “Suki” 62
Slide 63: Co-Creating Trust with New Segments
Co-Creating Trust with New Segments We plan to expand our services for individuals facing challenges in obtaining credit, regardless of their region or working style. ■ Expanding financial empowerment Work styles Foreigners working in Japan Diverse work styles Unlock the potential of *Self-employed,
Slide 64: Nationwide recruitment of new cardholders
Nationwide recruitment of new cardholders We are expanding our share in areas outside of major metropolitan areas by leveraging our unique strengths in member recruitment. ■ Recruiting cardholders through ■ Recognizing potential in non-metropolitan areas a nationwide expansion 20 (%) 15 Potential fo
Slide 65: Financial Empowerment for Diverse Work Styles
Financial Empowerment for Diverse Work Styles We support diverse work styles through the Owner’s Card, Lancers Card, and GTN Card. Owner's card Lancers Card Foreign members working in Japan 100 thousand (FY2025) Number of new Number of new Number of new cardholders cardholders cardholders (FY2031) (
Slide 66: 2. Impact and Strategy
2. Impact and Strategy 1. Consumption that extends its benefits to others and society as a whole through the concept of “Suki” 2. Financial empowerment that supports “Suki” 3. Supporting strategies to achieve 1 and 2 4. Demonstration of creativity through Flow 5. Business development by social intra
Slide 67: Supporting Strategies for Balancing Impact and Profit
Supporting Strategies for Balancing Impact and Profit We developed new, directly managed units to serve as a new point of contact for our customers. Directly managed sales floors New directly Changes in Withdrawal managed the retail PB units business Consignment Fixed lease Fixed lease revenue Custo
Slide 68: New directly managed units
New directly managed units “Suki” supporting activities, which combine events, goods, and EPOS cards, will be held on the upper floors. ■ New directly managed units ■ Image of floor development at Yurakucho Marui 8F New directly managed units Events Goods Cards 1F 68
Slide 69: The Appeal of Events that Support "Suki" to Attract New Members
The Appeal of Events that Support “Suki” to Attract New Members Events held by new, directly managed units supporting “Suki” have more capacity to recruit members than private brands. 12.2 people Private brand 2.5 times PB-to-tenant ratio 4.9 16 times 0.3 Tenant Directly managed sales floors "Suki"
Slide 70: The Appeal of Events that Support "Suki" to Attract Customers
The Appeal of Events that Support “Suki” to Attract Customers Events that support “Suki” attract a wider range of customers than shopping alone, and they bring new customers into our stores. ■ The event's ability to attract customers from a wider area. Customers who have not visited our stores befor
Slide 71: Potential of Goods that Support "Suki"
Potential of Goods that Support “Suki” Goods that support “Suki” have a high average customer spending. Profit margins are expected to improve in the future through in-house manufacturing. ■ Average customer spending on goods that ■ Gross margin improvement by in-house manufacturing support “Suki” ¥
Slide 72: Possibility of Nationwide Expansion with New Directly Managed Units
Possibility of Nationwide Expansion with New Directly Managed Units They can efficiently function in limited spaces, and their potential to attract customers through events and goods opens up new opportunities for launching additional stores. Private brand New directly managed units Area 662 - 1,653
Slide 73: Support Strategy leveraging Digital Transformation
Support Strategy leveraging Digital Transformation We are enhancing our digital transformation efforts to elevate customer experiences, implement an agile development system, and consistently attract a talented workforce. Establishment of joint venture Muture Corporation Joint venture with Goodpatch
Slide 74: A Unique Value Proposition, Both Real and Digital
A Unique Value Proposition, Both Real and Digital, for Building Customer Loyalty EPOS cards that support “Suki” Visualization of Visualization usageof usage Events Financial services Financial services Offline Offline meetings meetings Real Digital Donation and support Event notification Event and n
Slide 75: 2. Impact and Strategy
2. Impact and Strategy 1. Consumption that extends its benefits to others and society as a whole through the concept of “Suki” 2. Financial empowerment that supports “Suki” 3. Supporting strategies to achieve 1 and 2 4. Demonstration of creativity through Flow 5. Business development by social intra
Slide 76: Demonstration of creativity through "Flow"
Demonstration of creativity through “Flow” We focus on the concept of “Flow,” which is achieved through balancing skills and challenges to foster creativity and happiness. ■ State of “Flow” ■ Employees who can easily enter a state of “Flow” (2024) (%) 100 Creativity 78% 68 50 47 Skill Flow Challenge
Slide 77: Expression of Creativity and Ratio of Intangible Assets
Expression of Creativity and Ratio of Intangible Assets We plan to grow our business by leveraging our creativity and intangible assets. Our goal is to achieve an intangible asset-to-total asset ratio of 70% or higher. Voluntary participation Intangible asset ratio target Increasing opportunities to
Slide 78: 2. Impact and Strategy
2. Impact and Strategy 1. Consumption that extends its benefits to others and society as a whole through the concept of “Suki” 2. Financial empowerment that supports “Suki” 3. Supporting strategies to achieve 1 and 2 4. Demonstration of creativity through Flow 5. Business development by social intra
Slide 79: Business development by social intrapreneurs
Business development by social intrapreneurs In addition to co-creation investments with external entrepreneurs, we aim to drive innovation through business development by internal entrepreneurs. Entrepreneurs Internal entrepreneurs + Developing business by social Our Fostering innovation through in
Slide 80: Establishment of Business Promotion and Development Office
Establishment of Business Promotion and Development Office We develop business by recruiting social intrapreneurs from within and outside our Group using various employment methods. External Internal Advisors Business Promotion and Development Office Outsourcing and Projects side business Develop bu
Slide 81: Establishment of the Social Intrapreneur Development Foundation
Establishment of the Social Intrapreneur Development Foundation We founded the Social Intrapreneur Development Foundation to develop new businesses by enabling these social intrapreneurs to join our Group or engage in our projects. Universities Junior high schools and Foundation Society Our Group hi
Slide 82: 2. Impact and Strategy
2. Impact and Strategy 1. Consumption that extends its benefits to others and society as a whole through the concept of “Suki” 2. Financial empowerment that supports “Suki” 3. Supporting strategies to achieve 1 and 2 4. Demonstration of creativity through Flow 5. Business development by social intra
Slide 83: Areas of Exploration: The Global Expansion of Business that Supports "Suki"
Areas of Exploration : The Global Expansion of Business that Supports “Suki” We develop our business by recruiting talented people from around the world who love Japan. Japan as a subject of “Suki” in the eyes of the world 83
Slide 84: 3. Business Strategy Highlights
3. Business Strategy Highlights
Slide 85: Business Strategy Highlights
Business Strategy Highlights Impact and Strategy 31.3 (1)Consumption that extends its benefits to others and society as a whole through the Membership increase: 3 million or more concept of “Suki” FinTech (2)Financial empowerment that supports Increased transaction volume: ¥4 trillion or “Suki” more
Slide 86: 4. Risks
4. Risks
Slide 87: Risk of Rising Interest Rates
Risk of Rising Interest Rates We will minimize the risk of interest rate increases, which could significantly impact our earnings structure. ■ Expected future finance costs ■ Countermeasures Expected rise in interest Change in installment and rates revolving payment fee rates 180 0.5% to 1.3% Increa
Slide 88: 5. Capital Policy and Shareholder Returns
5. Capital Policy and Shareholder Returns
Slide 89: Target Balance Sheet
Target Balance Sheet We optimize the capital structure of the Retailing segment, which deviates from the target balance sheet, and set a consolidated equity ratio target of around 16%. < FinTech > End of FY2031 End of FY2031 After the capital optimization < Consolidated > < Consolidated > 10% < Reta
Slide 90: Shareholder Return Policy
Shareholder Return Policy The ROE for FY2025 has surpassed 10%. With a target of reaching 15% in the future, the DOE has now been raised to 10%. ■ Dividends and ROE Return policy Dividend payout ratio 55% DOE 8% DOE 10% 220 15% (%) 210 15 200 10.6 190 180 10 ROE 170 160 5 150 (Yen) 131 yen 140 130 0
Slide 91: Capital Allocation
Capital Allocation Of the ¥350 billion in basic operating cash flow, ¥150 billion will be allocated to growth investments including forward-looking investments, ¥30 billion to share buybacks for capital optimization, and ¥170 billion to shareholder returns. ■ Capital allocation (FY2026 to FY2031) Ex
Slide 92: 6. KPI
6. KPI
Slide 93: KPI
KPI PBR = ROE × PER 3 - 4 times 15 % or more 25 times or more 93
Slide 94: ROE
ROE We aim for a consolidated ROE of 15% or more in the fiscal year ending March 2031, achieved through group-wide corporate asset reduction and capital optimization, in addition to retail and FinTech measures. Increase in the number of members through “Suki” support premium, etc. Net income Increas
Slide 95: PER
PER We aim to achieve a PER of 25 times by significantly increasing transaction volume by 12% and reducing the beta value through expansion of the number of individual shareholders and other measures. 25 times 19 PER CAGR +12% Transaction volume Beta value FY2025 FY2031 95
Slide 96: High Growth and High Returns
High Growth and High Returns Our goal is to achieve high growth and high returns, with an annual EPS growth of 9% or more and a TSR growth of 12% or more. CAGR High Growth EPS +9% or more 7000 High Returns TSR +12% or more ¥240 or more 250 6000 200 vs. FY ended March 2025 5000 Cumulative TSR 200 % o
Slide 97: Toward a "Suki" Economy: References
Toward a “Suki” Economy P.52 References Yano Research Institute Ltd., Survey on the Character Business ,Cross Marketing Inc., Statistical Data from the Japan Pet Food Association, Anicom Holdings, Inc., 2022 Edition: Annual Spending Survey on Pets, Japan Productivity Center, Leisure White Paper 2024
Slide 98: Appendix
Appendix
Slide 99: Unoccupied Section
Unoccupied Section As of March 2025, unoccupied area had decreased to 6,600 tsubo ■ Changes in unoccupied area (operation average) 12,000 （Tsubo） 11,000 10,000 9,000 8,400 8,000 7,000 6,600tsubo 6,000 5,000 5,000 4,000 3,000 2,000 FY2024 24.3 FY2025 25.3 FY2026 26.3 （Forecast） 99
Slide 100: Progress of Stores that Don't Sell
Progress of Stores that Don’t Sell (by Category) As of March 2025, non-retail tenant space had expanded to 65% of the total ( YoY +4% ) ■ Changes in category conversion ¥51 thousand 51 （＋¥1 thousand） Fixed-term 50 Monthly tsubo unit price Experience focused 27％（＋4％） Non-retail tenants 61％ 65％ Food,
Slide 101: Expansion of non-retail tenants
Expansion of non-retail tenants Promote introduction of hands-on food and service tenants to delight customers Yotsubakai Clinic egaco （November 2024） （February 2025） Aesthetic dermatology clinic based in the Kansai region Online lessons provided by professional instructors First clinic in the Kanto
Slide 102: Changes in EC Transactions
Changes in EC Transactions Transactions in the fourth quarter decreased 1% due to the reaction from the previous year and the leap year effect, falling below the previous year's level for the first time in 13 quarters. ■ YoY change in EC transactions （%） 140 116 116 114 115 115 120 112 110 104 106 1
Slide 103: New Cardholders
New Cardholders The number of new EPOS cardholders reached a record high of 820,000, thanks in part to EPOS cards that support “Suki.” ■ New Cardholders 100 （thousand people） Record High 810 820 80 800 EPOS cards that 340 60 support “Suki” 40 400 20 0 FY2020 20.3 FY2021 21.3 FY2022 22.3 FY2023 23.3
Slide 104: Cardholder Numbers
Cardholder Numbers The number of cardholders reached a record high of 7.9 million. The ratio of EPOS cards that support “Suki” and Platinum/Gold cards has expanded to 60%. ■ Changes in Cardholder Numbers Record High （million people） 800 8 7.59 7.90 million 600 6 EPOS cards that 400 4 support “Suki”
Slide 105: Rent guarantee status
Rent guarantee status Operating revenue increased by 18% to ¥19.8 billion due to an increase in transactions. ■ Changes of operating revenue 300 （billion yen） ¥19.8 ¥16.7 （YoY billion 118%） 200 20 billion （YoY 115%） 100 10 0 20.3 FY2020 21.3 FY2021 22.3 FY2022 23.3 FY2023 24.3 FY2024 25.3 FY2025 105
Slide 106: Bad debt
Bad debt Although the balance of receivables is increasing and the bad debt ratio is transitioning at the same level as pre-covid at 1.76%. 7000 2.5 ■ Changes in Ratio of bad debt write-offs Ratio of * （％） （%） 6000 2.09 bad debt 2.1 1.88 write-offs 2 1.81 1.76% 5000 1.63 1.61 （billion yen） ¥1,006.2
Slide 107: Status of Interest Repayment
Status of Interest Repayment Although the leading indicator—intake volume—shows a declining trend, the situation will continue to be closely monitored. ■ Changes of interest repayment and YoY comparison of repayments received （%） 120 YoY Growth in inbound high-end 100 80 65% （billion yen） 60 15 1.5
Slide 108: Recurring revenue and Contracted future recurring gross profit
Recurring revenue and Contracted future recurring gross profit 674 VS. FY2016 （billion yen） ＋100％ 400 4,000 VS. FY2016 ＋41％ 3,000 300 Gross profit ¥226.9 billion Contracted future recurring gross profit 200 2,000 379.5 398.4 Retailing ¥63.5 billion FinTech ¥334.9 billion 1,000 100 199.1 151.5 140.9
Slide 109: Potential Risk: Intensifying Competitive Landscape
Potential Risk: Intensifying Competitive Landscape Differentiation reinforced through proprietary credit assessment expertise and strong face-to-face customer engagement, in response to increasing competitive pressure. Other companies Our company New directly managed units Point rebate (cost) compet
Slide 110: Promotion of Real Estate Strategy
Promotion of Real Estate Strategy Establish a system to review the status and utilization of group real estate assets from the perspective of enhancing corporate value CREO Establishment Appointment of the CRE Senior Managing Strategy Executive Officer Promotion Masao Nakamura Department Aiming to e
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Marui Group Co Ltd Ord — FY2025 Earnings Presentation on 6ix