Benesse Holdings, Inc (E04939) Stock Price

Benesse Holdings and its affiliated companies operate three major business segments: Domestic Education, Kids & Family, and Care & Childcare. In the Domestic Education segment, the company provides correspondence education courses such as "Shinken Zemi" for elementary through high school students, cram school and classroom services, university entrance exam mock tests "Shinken Mock," learning and career guidance materials, English proficiency test "GTEC," and ICT education support services "Mirai Seed." Additionally, the company offers a wide range of educational services across all age groups, including cloud-based learning support services, school administration support services, study abroad support services, and "Udemy," an online education platform for working adults.

The Kids & Family segment operates correspondence education courses for infants such as "Kodomo Challenge" and "Kodomo Challenge English," pregnancy, childbirth, and parenting magazines including "Tamago Club" and "Hiyoko Club," lifestyle information magazine "Thank You!," and pet-related direct sales magazines. The company also operates mail-order sales businesses.

The Care & Childcare segment provides residential care services for seniors, home care services, adult day care services, care worker training programs, and childcare facility and after-school program operations. Through a broad range of services including nursing and care worker staffing and dispatch services, meal delivery services for seniors, and care consultation services, the company addresses diverse social needs.

Additionally, the company engages in information system maintenance and operations, information processing services, and other businesses across diverse fields. Benesse Holdings supports a wide customer base by providing services tailored to different life stages, from education through senior care.

Benesse Holdings has adopted a corporate mission to support people in living well at every stage of life. The group provides services that support individuals from infants to seniors, addressing their challenges and aspirations while offering lifelong support. In February 2023, the company announced its group purpose: "Everyone can grow throughout their lives. Toward a world where people can live authentically." The company is working to realize this vision.

Benesse is executing a five-year medium-term management plan titled "Evolution of Core Businesses and Challenge in New Domains," which began in fiscal year 2021. This plan aims to recover from the impact of COVID-19 and drive business evolution. Fiscal years 2021-2022 comprise Phase 1, focusing on recovery of existing operations. Fiscal years 2023-2025 comprise Phase 2, targeting further growth through core business evolution and expansion into new domains.

At the start of Phase 2, the company formulated a "Transformation Business Plan." This plan addresses social issues centered on "people" and aims to achieve sustainable profit growth through portfolio restructuring. Specifically, the company targets a profit structure built on three pillars: "Core Education," "Core Care," and "New Domains."

In education, the company will redesign product value and sales methods, reform cost structures, and transform business models. In care services, it will focus on improving occupancy rates and expanding property development areas. In new domains, it will expand university and adult education programs, care-related businesses, and overseas operations.

To realize portfolio transformation, the company is also restructuring its CXO framework, building management systems, and improving corporate productivity. Through these strategies, Benesse Holdings targets operating profit of 320 billion yen or more and ROE of 10% or more by fiscal year 2025, with the aim of achieving balanced profit generation across all three pillars by fiscal year 2028.