Marui Group Co Ltd Midterm Business Plan Briefing Transcript

The following is excerpted from the question-and-answer section of the transcript.

Question: Toshio Takahashi - Mizuho Securities Co., Ltd. - Analyst : Yes, this is Takahashi from Mizuho Securities. So well, first one, I'd like to thank you for this great opportunity given to us as a part of this IR day. I have few questions. First question is having to do with the point, Aono, you mentioned -- sorry, this is on disallocation concerning the cost. For FY March '25, actually cost went up. At the same time for FY March '26, cost is going to come down. So please help me. How I should interpret that? Actually, asset-related cost actually on the gap here is going to be JPY900 million. This year, coming down, but why it is going to go up next fiscal year? I'd like to know the reason. And also I may go into some of the details. And actually, replacement of the payment terminals actually going up and coming down. I wonder if you could expand on those and factors why you believe that the course is going to come down next year. My second question is actually, you seem to be enjoying really good efficiency in EC. And non-fashion are, of course, one of the important areas, so we are really enjoying the good result. But in terms of the fashion, again, what's the revenue on the scale in the fashion? That moving into the next fiscal year, do you have a plan to increase the fashion retail or do you plan to increase the non-fashion revenue more? What you think? You believe that the fashion as well as non-fashion, both categories are going to be quite important. Appreciate if you could further explain all the details in terms of the business and growth opportunities. Now the third question is having to do with OMEMIE. And thank you again for sharing the details in this OMEMIE aspect. Again, I'd like to actually get to know overall picture. So to the extent possible, not OMEMIE areas, I think there could be some important initiatives you have in mind. So what are the differences between OMEMIE and non-OMEMIE? Actually, an event accounts for -- OMEMIE accounts for the 60%. But when it comes to the non events, probably OMEMIE aspects and probably is having the [lounge] share. What you think as time goes on, moving into the future, this OMEMIE section should grow according to your expectations, whether or not you believe that you know these two things should be treated separately. OMEMIE, and actually, unit price. Well then a sell sider, probably maybe a sell side should become a lot more aggressive, I think . And one year ago, actually I raised the same question. Maybe you should become a lot more aggressive, particularly in an OMEMIE activities. So OMEMIE versus non-OMEMIE actually, what kind of feedbacks are you receiving? And what kind of special activities you have in mind going forward?

Question: Toshio Takahashi - Mizuho Securities Co., Ltd. - Analyst : Thank you. In the last part, I understand your explanation very well. OMEMIE is higher in the unit cost. Is it going to continue or are you going to use OMEMIE know-how to increase your unit revenue as well? Is that what you're going to do?

Question: Toshio Takahashi - Mizuho Securities Co., Ltd. - Analyst : And I think it could be more bullish, but I think I understand very well. Thank you very much. Unidentified Company Representative [Okasan]. Unidentified Participant I have one question. I'd like to ask you to help me. Well, today, actually you talked about actually on combining the training aspects and training operations and that is making this great contributions to the retail and the results. Thank you again for sharing that information. But again having said that, I have one question I'd like to ask here. Going forward, increasing the number of retail customers, what kind of co-creation will be needed? What types of product and services would be needed? Well, you have card holders end data. And how you are utilizing the data without the prior written consent of Thomson Reuters. 'Thomson Reuters' and the Thomson Reuters logo are registered trademarks of Thomson Reuters and its affiliated companies. JUNE 06, 2024 / NTS, 8252.T - Marui Group Co Ltd Midterm Business Plan Briefing on the card holders that be utilized here? And also, out of this data on system, what kind of potential would you say on the mid-term or the long-term basis (inaudible) there? Is it okay for me to have some possible -- I'm sorry my question may be sounding somewhat abstract, but I ask you to actually share your thoughts.

Question: Toshio Takahashi - Mizuho Securities Co., Ltd. - Analyst : My name is Takahashi from Mizuho Securities. I have two questions. First question in regards to the cardholder's data to each individual's interest. And in your introduction, you have the 11 planning and is the new, how you do develop this new cars are tailored to each individual interest is very important, but the your interest is also the issuance as well. My question is, in this card the data to each individual interest, when the -- what is the difficulty in getting the card issuance compared to other card companies, even if they imitate what you're trying to do only Marui can do it, or is it something that your other companies can also do that? I think it's not really possible for them and compare that to achieve, how much advantage you would have in the issuance of this card? Is my first question. In the second question is, as you have introduced in the new business, it has been accumulated very well. So when does have been accumulated to put all of them in fintech business. I think you can also have other achieve the revenue income. But then in the basic card portion, for example, in this new business growth --for example, in your own -- is that within your own company -- group companies and they're cannibalizing your customers? Or is there such a possibility? In the total revenue growth, it has been very good as you have explained, but the revenue and income is not getting a lot of good momentum, I think, should we wait for three or four -- two or three years, and then new business impact the substantiate the further growth and then it would be quite relieved, could you explain about that, please? without the prior written consent of Thomson Reuters. 'Thomson Reuters' and the Thomson Reuters logo are registered trademarks of Thomson Reuters and its affiliated companies. JUNE 06, 2024 / NTS, 8252.T - Marui Group Co Ltd Midterm Business Plan Briefing