Segment Highlights

Regarding the LP gas business, because of efforts to acquire new customers, the number of customers increased by 13 thousand from the end of the previous consolidated fiscal year, reaching a total of 819 thousand. On the other hand, due to a decrease in sales prices linked to procurement costs in industrial gas, sales amounted to 86,834 million yen (a decrease of 2.2% compared to the same period last year).

Regarding the city gas business, the number of customers remained at approximately 74 thousand, similar to the end of the previous consolidated fiscal year. Net sales amounted to 16,103 million yen (a decrease of 5.8% compared to the same period last year) due to the impact of the raw material cost adjustment system.

As a result, the total sales for this segment amounted to 102,937 million yen (a decrease of 2.8% compared to the same period last year), and operating profit was 6,980 million yen (an increase of 4.9% compared to the same period last year), reflecting both the rise in the number of customers and cost reductions, including expenses related to customer acquisition.

Regarding the consumer-oriented business, in the ISP division, as a result of focusing on acquiring customers with an emphasis on profitability, the number of broadband customers decreased by 10 thousand from the end of the previous consolidated fiscal year, totaling 664 thousand. On the other hand, the mobile business promoted customer acquisition efforts, including collaboration with major mobile carriers. Consequently, LIBMO customers increased by 5 thousand, reaching 83 thousand. As a result, net sales amounted to 22,767 million yen (a decrease of 2.8% compared to the same period last year).

Regarding the corporate-oriented business, sales increased to 39,055 million yen (an increase of 9.6% compared to the same period last year) due to the smooth progress of carrier services and cloud services.

As a result, the total sales for this segment amounted to 61,823 million yen (an increase of 4.7% compared to the same period last year), and operating profit was 4,411 million yen (an increase of 24.0% compared to the same period last year).

Regarding the CATV business, we focused on local information dissemination and program production as a community-oriented operator, striving to enhance our attractive content while actively conducting sales activities. As a result, the number of customers for broadcasting services increased by 4 thousand from the end of the previous consolidated fiscal year, reaching a total of 925 thousand, and the number of customers for communication services also increased by 17 thousand, totaling 430 thousand from the end of the previous consolidated fiscal year.

As a result, the total sales for this segment amounted to 37,389 million yen (an increase of 2.5% compared to the same period last year), and operating profit was 6,131 million yen (an increase of 10.1% compared to the same period last year).

Regarding the Construction, Equipment, and Real Estate business, Sales in this segment remained at approximately 26,724 million yen, comparable to the previous consolidated fiscal year (a decrease of 0.5% compared to the same period last year) ,but as a result of efforts to improve profit margins, operating profit amounted to 1,657 million yen (an increase of 20.3% compared to the same period last year).

Regarding the Aqua business, we have been working to further expand our customer base through event sales at large commercial facilities, web acquisition, telemarketing, and other initiatives. As a result, our customer acquisition for water supply type purification servers has progressed smoothly, increasing the number of customers in the Aqua business by 28 thousand from the end of the previous consolidated fiscal year, reaching a total of 219 thousand.

As a result, the total sales for this segment amounted to 10,087 million yen (an increase of 3.3% compared to the same period last year), but due to increased selling expenses related to customer acquisition and other factors, operating profit amounted to 351 million yen (a decrease of 21.9% compared to the same period last year).

Among other businesses, in the nursing care business, sales remained at approximately 1,410 million yen, comparable to the previous consolidated fiscal year (an increase of 0.8% compared to the same period last year). In the ship repair business, sales increased to 1,887 million yen (an increase of 11.8% compared to the same period last year) due to an increase in orders for repair work. In the wedding event business, Sales increased to 1,357 million yen (an increase of 2.8% compared to the same period last year) due to a rise in general banquets, primarily among corporations and various organizations.

As a result, the total sales for these other businesses amounted to 5,876 million yen (an increase of 7.9% compared to the same period last year), and operating profit was 210 million yen (compared to an operating loss of 72 million yen in the same period last year).