(E00718) Stock Price

Asahi Shimbun Company operates as a comprehensive media company centered on "Asahi Shimbun," a major national newspaper. The company's core business is newspaper publishing, supplemented by publishing operations including magazines and books, electronic media such as digital editions and internet services, and real estate rental operations. The group comprises 41 subsidiaries and 67 affiliated companies, providing diverse media-related services.

The company's revenue structure consists of two reporting segments: media business, which is supported by newspaper sales and advertising revenue, and real estate business, which generates stable earnings. In media operations, general readers and corporate advertisers are primary customers. The company publishes and sells newspapers including Asahi Shimbun, Nikkan Sports, and Asahi Shogakusei Shimbun, while also operating insert advertising and mail-order sales businesses. The real estate segment ensures a stable revenue base through leasing company-owned buildings.

Within the media and content segment, Asahi Shimbun Publishing produces magazines such as "AERA," while Asahi Culture Center operates cultural programs. The company also engages in broadcasting operations through 28 affiliated companies, including TV Asahi Holdings. Through this diversification, the company has established itself as a comprehensive media company that extends beyond traditional newspaper operations.

Asahi Shimbun has launched its "Medium-Term Management Plan 2026," a three-year strategy beginning in 2024. The company aims to strengthen earnings across the entire group and establish a sustainable management foundation as a media organization by 2029, marking the company's 150th anniversary. Under the overarching message "Connect, and clarity emerges," the company is advancing structural reforms through three key policies: "refining the sources of corporate value," "accelerating growth investments," and "reshaping the company's structure."

As priority investment areas, Asahi Shimbun positions its print and digital editions as core media platforms, focusing on enhancing the appeal of both content and distribution channels. The company is working to slow the decline in print newspaper circulation while continuously upgrading its high-growth digital edition, with particular emphasis on expanding digital operations. As a differentiation strategy, the company is accelerating "selection and concentration" of existing businesses, narrowing focus to business areas with synergy potential and growth prospects within the group, and concentrating resources accordingly.

For new market development, the company has formulated a new investment plan spanning fiscal 2024 through 2029 to transition away from a print media-centered business structure. Asahi Shimbun has established a new Group Management Conference to promote communication among group companies and is pursuing consolidated management to maximize synergies across the group. This approach aims to develop new business areas and achieve steady growth.

Regarding technological innovation, the company established a CTO Office in April 2024 to lead technology strategy under centralized technical oversight. This organization manages engineering teams across the company and prioritizes engineer recruitment, development, and optimal placement. Particularly regarding generative AI, the company is actively promoting business transformation and service creation through its use while strengthening risk management, thereby addressing rapid changes in digital technology.