The G-7 group will continue to promote ESG (Environmental, Social, and Governance) management and work towards building a revenue foundation through proactive investments that lead to the future, such as new store openings, new business ventures, and the development of new business formats.
How did the Group perform during the fiscal year under review, and what were the principal factors behind that performance?
The consolidated financial results for the 48th fiscal year (April 1, 2022 to March 31, 2023) showed an increase in net sales by 5.0% to 176,922 million yen compared to the previous fiscal year. However, operating profit decreased by 12.7% to 6,504 million yen, ordinary profit decreased by 13.5% to 6,813 million yen, and net income attributable to shareholders of the parent company decreased by 27.2% to 3,824 million yen, resulting in increased revenue but decreased profit.
The G-7 Group continued to prioritize the safety and health of our customers and employees, implementing measures against the COVID-19 pandemic across all our locations. Additionally, guided by our group policy of 'enhancing profit generation,' we worked on enhancing human resources and organizational development, aiming for greater productivity and increased profitability, aligning with our management theme.
Regarding net sales, the effect of new store openings contributed to steady growth. On the profit side, the increase in costs due to rising energy prices and expenses related to new store openings impacted negatively, leading to reduced earnings.
Could you please share the goals and initiatives for the upcoming period and beyond?
Despite the continued uncertainty resulting from factors such as the impact of the situation in Ukraine and the escalation of raw material prices and energy costs, our group remains committed to the reformation of human resources and organizational structures. We are actively working to enhance profit-oriented productivity, polishing our capability for generating revenue, and expanding profitability. Through a robust management system resilient to market fluctuations and diversified business operations, we are dedicated to establishing a corporate structure that ensures stable growth.
For the 49th fiscal year (April 1, 2023, to March 31, 2024), our projected consolidated financial results anticipate net sales of 185,000 million yen (a 4.6% increase from the previous fiscal year), operating profit of 7,700 million yen (an 18.4% increase), ordinary profit of 8,000 million yen (a 17.4% increase), and net income attributable to shareholders of the parent company of 5,500 million yen (a 43.8% increase).
Message to all shareholders, please.
At the G-7 Group, we are intensifying our efforts towards sustainability by leveraging the strengths of each of our businesses to contribute to a more sustainable society (For details, please refer to 'Serial Feature Vol.4' in this issue and our company website). We will continue to respond to the expectations of stakeholders, including our shareholders, by contributing to a sustainable society through the strengths of each business.
Regarding dividends for this fiscal year, we have set the interim dividend at 19 yen per share and the year-end dividend at 19 yen per share.
To all our shareholders, we sincerely request your unwavering guidance and support as we move forward. Thank you very much.
