Funai Research Institute Group expands its consulting services for mid-market aspirants

Funai Soken Holdings Inc. (Headquarters: Chuo-ku, Tokyo; President Group CEO: Takayuki Nakatani) has formulated a new medium-term management plan, " sustainable growth 2028," covering the three-year period from FY 2026 to FY In this plan, in order to realize the group purpose of " Sustainable Growth for More Companies " we will expand our support for strengthening the "earning power" of medium-sized and small businesses, which is also a national policy, and our consulting services for mid-market aspirants to become 10 billion yen enterprises®. *We plan to have 2,000 group employees by 2028.

■Background and Significance of the Transformation: mid-market aspirants consulting service that turns drastic changes in the market Environment into growth opportunities.

As the Japanese economy faces structural challenges such as labor shortages and delays in digital transformation (DX mid-market aspirants aiming for 10 billion yen in annual sales is seeing a surge in demand for personalized support to address complex management challenges. Our group is seizing this market shift driven by national policy to consolidate businesses into mid-market leaders , and is strategically shifting from a traditional "consulting firm for mid-sized and small businesses" to a "leading consulting firm for mid-market leaders ." We will further accelerate the "10 Billion Yen Company® Project," launched in 2021, to create " sustainable growth companies" across the country that achieve sustainable growth. The growth of mid-market leaders is directly linked to Regional Revitalization , improved productivity across Society , and ultimately, strengthening national power.

■Quantitative targets: Aiming for a sales growth rate of 11.3% and a return on equity (ROE) of 30%.

In our new medium-term management plan, we aim to further accelerate the growth rate of the previous plan (2023-2025) and achieve sustainable enhancement of corporate value. For fiscal FY 2028, we have set financial targets Net sales (average growth rate of 11.3% over three years) and 11.5 billion yen Operating income (average growth rate of 9.3%). Furthermore, by pursuing capital efficiency, we aim for Return-to-shareholders ratio Shareholder Returns ratio of 65% or more (continuation of progressive dividends), envisioning a growth image that meets the expectations of investors and all stakeholders.

■Key Strategy: Implementing Transformation for mid-market leaders - "Becoming a 10 Billion Yen Company, AX/DX, M&A "

As concrete strategies to achieve our goals, we will promote (1) the expansion of thematic Management Workshops for mid-market leaders mid-market aspirants (2) the enhancement of our services in areas such as becoming a 10 billion yen company, human capital management, AIDX M&A , and supply chain consulting, and (3) the expansion of our customer base through collaboration with regional banks. In particular, we have established a system that can provide a one-stop service, from consulting to implementation support, using the specialized functions of each group company to address the "challenges that are difficult to solve on your own" that companies aiming to become mid-sized companies face. Furthermore, we will dramatically enhance our consulting capabilities through proactive M&A.

■Future Vision for 2028: Sustainable Growth with 1,400 Consultants and a Total of 2,000 Employees

By 2028, the final FY of this plan, we aim to expand our group of consultants to 1,400 and our total workforce to 2,000, deepening our human capital management to maximize the lifetime value (ELTV) of our employees. Building on our 10,000-member Management Workshops , we will leverage the power of "people and technology" to lead the way to a future of continuous growth in any era. Funai Soken Group itself will also continue to pursue sustainable transformation together with our stakeholders through this medium-term management plan.

* mid-market leaders : Refers to a company with 100 to 2,000 employees.
*For details on the 10 Billion Yen Enterprise Project, please visit https://10billion.funaisoken.co.jp/

[Reference Material] New Medium-Term Management Plan " sustainable growth 2028"
https://hd.funaisoken.co.jp/ir/strategy.html

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Funai Soken Holdings Inc. Co., Ltd.
Public Relations & Branding Team E-mail: pub@funaisoken.co.jp