FY02/20–FY02/22
Medium-Term Management Plan

Contents of FY02/20–FY02/22 Medium-Term Management Plan

ContentsPage

1. Results of FY02/17–FY02/19 Medium-Term Management Plan

3

2. FY02/20–FY02/22 Medium-Term Management Plan

5

3. Operating Profit

6

4. Three Growth Strategies

7

5. Financial Strategy

13©Copyright ONWARD HOLDINGS CO., LTD.

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Results of FY02/17–FY02/19 Medium-Term Management Plan

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1. Results of FY02/17–FY02/19 Medium-Term Management Plan(Billion Yen)

FY02/16

FY02/19ResultsResults

Forecasts

Consolidated Sales

263.5

240.7

280.0

Operating Profit

3.8

4.5

10.0

Operating Profit Margin

1.4%

1.9%

3.6%

ROE

2.4%

3.1%

5.0%

E-Commerce Sales (% of Total)

5%

11%

13%

Overseas Sales (% of Total)

20%

24%

24%

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FY02/20–FY02/22 Medium-Term Management Plan

©Copyright ONWARD HOLDINGS CO., LTD.

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2. FY02/20–FY02/22 Medium-Term Management Plan

FY02/19

FY02/22

Results

Forecasts

Consolidated Sales

240.7

280.0

Operating Profit

4.5

10.0

Operating Profit Margin

1.9%

3.6%

ROE

3.1%

5%

E-Commerce Sales (% of Total)

11%

15%

Overseas Sales (% of Total)

24%25%(Billion Yen)

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3. Operating Profit(Billion Yen)

Growth Strategies

FY02/19
Creation FirstBusiness

Factory toCustomer (F2C)
Business

High-Quality
Lifestyle BusinessBusiness StructuralReforms+1.5

FY02/2210.0+1.5+1.5+1.0
4.5

4.0 billion yen from growth strategies+1.5 billion yen from business structural reforms+5.5 billion yen
over three fiscal years©Copyright ONWARD HOLDINGS CO., LTD.

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4. Three Growth Strategies
Increase in Operating Profitdue to Growth Strategies(Billion Yen)

Roll out the “Creation First Business”

1.0

in pursuit of distinctive brand value.

Accelerate the “Factory to Customer (F2C) Business”
in keeping with an era of mass customization.

Develop the “High-Quality Lifestyle Business”
generating synergies with the apparel business(Total)

1.5

1.5
4.0
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4. Three Growth Strategies(1) Roll out the “Creation First Business” in pursuit of distinctive brand value.

GRACE CONTINENTAL

Nijyusanku

gotairiku©Copyright ONWARD HOLDINGS CO., LTD.

8

4. Three Growth Strategies(1) Roll out the “Creation First Business” in pursuit of distinctive brand value.

ATON HEAD STORE (AOYAMA)TOCCA "SPRING WALTZ" 2019SS Capsule Collection©Copyright ONWARD HOLDINGS CO., LTD.

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4. Three Growth Strategies(1) Roll out the “Creation First Business” in pursuit of distinctive brand value.

JOSEPHJIL SANDER

J.PRESS©Copyright ONWARD HOLDINGS CO., LTD.

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4. Three Growth Strategies(2) Accelerate the “Factory to Customer (F2C) Business” in keeping with an era of masscustomization.
SUITS

MOBILESHIRTS

Expand KASHIYAMA the Smart Tailor business

MODERN TAILOREDGUIDE SHOPS IN JAPANGinza

GUIDE SHOPS OVERSEASWOMEN’S SUITSNew York©Copyright ONWARD HOLDINGS CO., LTD.

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4. Three Growth Strategies(3) Develop the “High-Quality Lifestyle Business” generating synergies with the apparel business.
Gifts & Dining/Food Sales

Beauty & Wellness

Catalog gifts

The Product

Chacott Cosmetics(Yamato Co., Ltd.)(Kokobuy Inc.)(Chacott Co., Ltd.)

Onward Marche(Onward Kashiyama Co., Ltd.)

Chacott Balance(Chacott Co., Ltd.)

Family ValuePet Paradise(Creative Yoko Co., Ltd.)

Shirotan

Mother Garden©Copyright ONWARD HOLDINGS CO., LTD.

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5. Financial Strategy

Financial Strategy and Capital Policy
Supported by a sound capital base, improve capital efficiency by proactively investing ingrowth and maintaining appropriate shareholder returns by paying dividends and acquiring
treasury stock.
 Financial Strength
We have built up solid financial strength, with a shareholders’ equity ratio of around 55%
as of end-February 2019. We aim to maintain this level, manage assets efficiently, andutilize debt in a disciplined manner.
 Shareholder Returns(1) Dividends: Stable, ongoing dividends(2) Acquisition of treasury stockRoutinely consider, taking into account the company’s cash holdings, opportunities touse cash to invest in growth, forecasts of free cash flow, and the share price.

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The information in this presentation is not a solicitation to purchase or sell Onward Holdings
stock. Opinions, forecasts, and other statements not based on historical facts represent thejudgments of the company at the time this presentation was prepared. Onward Holdings
makes no guarantee regarding the accuracy of the information in this presentation and may
make revisions without prior notice. Onward Holdings and the providers of this information
assume no responsibility whatsoever for any losses incurred in association with this information.