Message from President and CEO

Providing richer lifestyles for our regional customers

Since opening our first store in Tsuchiura City in Ibaraki Prefecture, Joyful Honda Co., Ltd. has been expanding the scale of our stores and number of products by incorporating the feedback of our customers. We aspire to help our customers in each region enjoy richer lifestyles by thoroughly examining the concept of “living,” which not only includes our main home DIY businesses, but also countless other aspects of living and lifestyles.

We will continue to devote ourselves to making our customers happy and to remain the preferred company in the region by offering our customers practical solutions and using our large-scale stores to develop products that satisfy our customers’ regional needs and reflect modern changes in society. In doing so, we will endeavor to develop innovative services and businesses that are pivotal to local communications.

[Operating Performance for the First Six Months of Fiscal 2018]

Joyful Honda Co., Ltd. (hereinafter the “Company”) has set the 43rd fiscal year ending June 20, 2018, as the First Year for Reforms, and established the three policies below with the basic theme, Create New Value with Customers to achieve further growth towards a highly profitable company in the medium- and long-term perspective.

  1. Creation of business growth areas and markets through selection and concentration
  2. Building of a strong management structure
  3. Enhancement of active use of human resources that sustain the Company and placement of corporate culture

Under the above three policies, the Company has been working to establish a structural foundation toward further growth, with the implementation of reforms, which are 1. Business Structural Reform, 2. Merchandising Structural Reform, 3. Organization Structural Reform, and 4. Cost Structural Reform.

In the first six months of the fiscal year under review, consolidated net sales decreased 2,448 million yen or 3.2% year on year to 74,695 million yen. The decline was largely due to a long period of rain, typhoons, and other unfavorable weather conditions which continued in October and November of last year. Gross profit margin stood at 27.0%, a year-on-year increase of 0.8%, backed by more proactive sales of value-added products. Sales, general and administrative expenses decreased 3.0% year on year to 18,363 million yen, attributable to the implementation of the organization and cost structural reforms.

The Company posted an operating income of 4,163 million yen, a year-on-year increase of 629 million yen or 17.8%, an ordinary income of 4,456 million yen, a year-on-year increase of 252 million yen or 6.0%, and profit attributable to parent company shareholders of 2,788 million yen, a year-on-year increase of 25 million yen or 0.9%.

In the second half, the Company will carry on the structural reforms to achieve the goal of the reporting fiscal period.

  • Yukio Yaguchi
  • President and CEO