Securities Code:5411
JFE Group
Seventh Medium-Term
Business Plan
(FY2021-2024)
May 7, 2021
JFE Holdings, Inc.
A table of contents
- Review of Sixth Medium-Term Business Plan
- Business environment recognition
- Mid/long-termdirections
JFE's mission(Environmental and Social sustainability, Economic sustainability)
- Economic & Social Sustainability(helping to solve
critical issues)
- Economic Sustainability(stable earnings power)
- Initiatives of operating companies
(Steel Business, Engineering Business, Trading Business)
- Group initiatives:Digital transformation strategy
- Balance Financial Soundness with Effective Investment
- Main Financial Data and Performance &
Profitability Targets | 2 |
JFE-HD
Review of Sixth Medium-Term Business Plan
Financial results from FY2018 to FY2020 were significantly underachieved to the original 6th mid-term plan targets amid the significant loss resulting from trade friction between the US and China and COVID-19 pandemic from FY2019.
(billion yen) | FY2018 | FY2019 | FY2020 | 6th mid-term | |
business plan | |||||
Business Profit | 232.0 | 37.8 | (12.9) | 290.0/year | |
Segment Profit | |||||
Steel Business | 161.3 | (8.7) | (65.4) | 220.0/year | |
Engineering Business | 20.1 | 23.1 | 24.0 | 30.0/year | |
Trading Business | 35.7 | 27.0 | 20.0 | 35.0/year |
On the other hand, we promoted following initiatives to establish a foundation for the sustainable growth.
JFE Group
Announced the individual target of the reduction of CO₂ emissions reduction
Proactively promoted Digital Transformation
JFE Steel | JFE Engineering | JFE Shoji | |
Reinforced manufacturing base | Expanded O&M business | Strengthened electrical steel | |
processing base | |||
Decided structural reform etc. | Executed M&A etc. | Expanded supply chain | |
management etc. | 3 |
JFE-HD
Business environment during 7th mid-term business plan
Rapid and extensive changein social and economic conditions is surrounding JFE
Intensified global competition | Increasing economic uncertainty |
amid the ascendency of China | due to US-China conflict |
Increasing geopolitical risk | Decreasing domestic demand |
amid declining population | |
Necessity to address climate | Emergence of innovative |
change such as carbon neutrality | new digital technologies |
Spread of COVID-19
JFE aims to rise to a new level by taking bold steps to establish
a foundation for sustained, long-term growth, signaling the beginning
of the most transformative period in the company's history.
4
Mid/long-term directions
JFE-HD
Biggest transformation in company's history aimed at achieving global success
JFE's corporate vision
Contributing to society with the world's most innovative technology
JFE's mission
To be essential to society's sustainable development
and to create safe, comfortable lives for people everywhere
Environmental & Social | Economic sustainability |
sustainability | |
(stable earnings power) | |
(helping to solve critical issues) | |
Ensuring environmental & social sustainability and establishing
economic sustainability will enable to ensure the resiliency of JFE's operational
foundations and allow the company to achieve sustainable growth
and increased value over the mid/long-term.
5
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JFE Holdings Inc. published this content on 07 May 2021 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 07 May 2021 07:02:02 UTC.