AEON KYUSHU CO., LTD. (2653) Stock Price

Aeon Kyushu serves as a core member of the Aeon Group in the Kyushu region. The company primarily operates in retail, selling clothing, food, home and leisure products, and home center merchandise. Its business segments are divided into "Supermarkets and Discount Stores, General Merchandise Stores (SM/DS, GMS)," "Home Centers (HC)," and "Drug & Food."

In the "SM/DS, GMS" segment, Aeon Kyushu handles clothing, shoes, bags, fashion accessories, food, daily necessities, and home and leisure products. This also includes home fashion items such as information technology equipment, cosmetics, pharmaceuticals, bedding, and bath products, as well as consumables.

The "Home Center (HC)" segment sells building materials, lumber, repair materials, household goods, pet supplies, gardening products, and food. This addresses a wide range of needs related to homes and gardening.

As other operations, Aeon Kyushu sells food and bicycle-related products and provides food and beverage services. The company also manages and operates tenant spaces within stores, as well as operates childcare facilities and daycare centers. It actively conducts business with other Aeon Group companies, including purchasing merchandise, leasing store space, and recruiting tenants.

Its subsidiary, Aeon Welcia Kyushu Co., Ltd., operates in the "Drug & Food" segment, selling pharmaceuticals, food, cosmetics, and household goods. The company also operates prescription pharmacies, addressing the health needs of local communities.

Aeon Kyushu is pursuing a unique growth strategy aimed at expanding in the Kyushu region. The company operates under the basic principle of "Everything for Our Customers," pursuing customer satisfaction and employee self-realization. Through this approach, the company aims to contribute to Kyushu's growth and improved quality of life.

Aeon Kyushu has formulated a medium-term management plan beginning in fiscal year 2024, with a target to increase ROE to 10% by fiscal year 2026. This plan seeks to enhance corporate value through expanded operating profit and the establishment of a low-cost management structure.

To respond to changes in the business environment, Aeon Kyushu has identified five priority areas: "shift to growth sectors," "product reform," "enhancement of existing assets," "improved productivity and operational efficiency," and "promotion of sustainability management." Through these initiatives, the company aims to become the most trusted No. 1 company in Kyushu.

Aeon Kyushu is making aggressive investments against the backdrop of Kyushu's economic growth, expecting positive ripple effects throughout the regional economy. However, the company must also address external uncertainties, including international economic conditions and fluctuations in resource prices.