2024 Medium-term Business Plan
Accelerating Towards Excellence
May 10, 2024
AUTOBACS SEVEN CO., LTD.
1.Long-term Vision "Beyond AUTOBACS Vision 2032"
2
3
Changes in the Business Environment and Direction of Our Evolution
Changes in the environment
The environment surrounding the |
automotive industry |
has entered a once-in-a-century period |
Issue recognition
Society, cars, and people's lifestyle will continue to change even more rapidly and dramatically in the future.
of great change | |
1 | Greater interest in the environment |
2 | Diversification of customer needs and |
purchasing behavior | |
3 | Advancement in automobile maintenance and |
shortage of certified mechanics | |
4 | Increase in connected cars |
5 | Popularization of autonomous vehicles |
6 | Shift from car ownership to car sharing |
7 | Shift to carbon neutrality |
Our Evolution
Sustainable society
New value creation
Connections with customers
Goods and services
DX innovation
Diversification of channels
To become a company that
consistently offers the enjoyment of going out
Into a presence that will realize, on a global scale, a safe, secure, and gentle society in which people, cars, and the environment exist in harmony.
Into a group of companies that meets customers' fundamental needs for safety and enriched lives.
Into a presence that cares for traffic safety in society and customers' life stages and that continues to support mobility lifestyles.
Into a group of companies that continues to offer products and services to suit mobility lifestyles.
Into a mobility lifestyle innovator that will speed up enjoyment with optimal, data-based services.
Into a place where we can forge connections with customers from all our channels.
4
Envisaged Business Growth
We will adapt to environmental changes and continue to take on the challenge of the expansion of business areas and the creation of new businesses, and aim for consolidated net sales of 500 billion yen in FY2032.
Envisaged Business Growth
- New business creation
- Used car purchasing and sales
- Statutory safety inspections and services
- Automotive goods sales
Consolidated
net sales
¥236.2 billion
Consolidated net sales
¥500 billion
Discontinuous innovations
Continuous growth
Entry into/creation of micromobility markets Become a mobilityinformationplatformer
Become a major dealer of ZEVs, including EVs
Expansion of safety and security value provision
Evolution of content using DX
FY2022 | Automotive goods | Statutory safety | Used car purchasing | New business | FY2032 |
sales | inspections and | and sales | creation | 5 | |
services | |||||
2. Review of the "Five-year Rolling Plan"
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Review of the Five-year Rolling Plan
We established the "Five-year Rolling Plan" in 2019 to respond to rapid changes in the business environment.
While continuously adjusting our direction and strategy, we have been developing our business infrastructures.
Conceptual diagram: Six Networks, Five Business Infrastructures, and Eleven Businesses
■Mission: Continue to create new car lifestyle culture
■Method: Continuously adjust our direction and strategy for the next five years in light of current trends
■Vision: Establish Six Networks to offer a variety of
services tailored to customers' car-use situations and link them
■Targets: Announce specific numerical targets for each year
Five-year Rolling Plan 2022
7
Review of the Five-year Rolling Plan
Promoted initiatives to advance each business and establish business infrastructures. Also embarked on a structural transformation of the Group to increase the speed of implementation of these initiatives and improve profitability.
Initiatives for businesses and business infrastructures
Structural transformation
Strengthening of points of contact with customers
- Increase in the number of bases
- Establishment of a customer information platform
- Greater convenience
Active response to changes in the environment
• All stores designated for performing statutory |
safety inspections in AUTOBACS Group |
Reform of the management structure
- Streamlining of the headquarters
- Abolition of the officer system
- Development of executive candidates
Strengthening of the earnings base
- Promotion of DX strategy
- Revision of the personnel system
acquired Specific Maintenance Certifications
Human resource development initiatives
- Promotion of reskilling
- Review of the business portfolio
- Change of the franchise chain package
- Promotion of management using ROIC
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Review of the Five-year Rolling Plan
Leveraging the business infrastructures cultivated by the Domestic AUTOBACS Business, consolidated net sales other than the Domestic AUTOBACS Business increased by about 27 billion yen.
Consolidated operating income improved* compared to FY2018 before the launch of the Five-year Rolling Plan.
Net sales
250
200
Significant decrease in net sales compared to the initial plan due to the transfer of shares of two consolidated subsidiaries in the Car Dealership Business
(Billions of yen)
Operating income
20
15
10
5
FY2018 | FY2019 | FY2020 | FY2021 | FY2022 | FY2023 | |||||
Consolidated net sales (initial plan) | Consolidated net sales | Consolidated operating income (initial plan) | Consolidated operating income | |||||||
*Operating income in FY2023: excluding the temporary decrease (about 3.0 billion yen) due to the change in FC chain package | 9 |
Review of the Five-year Rolling Plan
Building upon the policy established in FY2019 to achieve a five-year cumulative total return ratio of 100%, we implemented stable and flexible shareholder returns. Excluding one-time profits from the transfer of the BMW/MINI authorized dealership business, the five-year cumulative total return ratio is 102.9%.
200%
180%
160%
140%
120%
100%
80%
60%
Five-year cumulative total return ratio
182.8%
Excluding the gain on sale of the BMW/MINI authorized dealership business: 102.9%
108.0% 108.6%
102.9%
95.9%93.9%
FY2019 | FY2020 | FY2021 | FY2022 | FY2023 |
80
60
40
20
0
(Yen)
10,000
8,000
6,000
4,000
2,000
0
(Millions of yen)
Dividends per share
First half | Second half | |||||
30 | ||||||
30 | 30 | 30 | 30 | |||
30 | 30 | 30 | 30 | 40 | ||
FY2019 | FY2020 | FY2021 | FY2022 | FY2023 |
Dividends and share buybacks
Share buybacks
Dividends
2,0882,999
4,793 4,794 4,678 4,679 5,460
FY2019 | FY2020 | FY2021 | FY2022 | FY2023 |
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Autobacs Seven Co. Ltd. published this content on 10 May 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 10 May 2024 06:24:01 UTC.