Growth of value provided as a social DX company

U-NEXT Holdings has newly established its purpose as a “social DX (digital transformation) company that brings the future closer.” In 2001, we became the first private-sector company in the world to provide a commercial fiber-optic communication service. Since then, we have grown consistently based on the conviction that expansion of the IT infrastructure will contribute to social progress in many ways.
Today, we are witnessing an enormous shift in social paradigms as the world continues to live with the pandemic and looks ahead to life after the pandemic ends. These events will continue to increase the number of roles that our group should fulfill. The mission of the USEN&U-NEXT Group is to make the DX part of every aspect of our lives and step up the pace of the evolution of society.

People are our most valuable asset

Our progress as a social DX organization is backed by key strengths such as relationships with more than 900,000 customers and a diverse network infrastructure. People are the greatest strength of all.
We require people with the skills for providing DX solutions to customers throughout Japan along with support needed to start receiving the benefits of these solutions. Our group has a nationwide sales team of about 2,000 and about 1,000 field engineers. These individuals have considerable DX expertise and can assist customers with processes for incorporating the DX in their businesses and other activities. In addition, our team will quickly help customers with issues involving the use of our DX products and services.
This powerful workforce that we have assembled over the two decades since the launch of our Internet service is an extremely valuable asset of ours. We are confident that we can continue to upgrade and enlarge the value that these people can offer to our customers.

The “Road to 2025” medium-term business plan

In February 2022, we started a medium-term business plan called “Road to 2025” that will finish with the fiscal year ending in August 2025. During the plan’s four fiscal years, our goal is to increase our net income by at least 150% mainly through organic growth of current businesses.
We expect steady sales and earnings growth in all five of our business segments. In this plan, the content distribution business is expected to make the largest contribution to the growth of our sales and earnings.
We have several businesses with consistently high earnings, such as content distribution, business systems and ICT services for businesses. We plan to use the cash generated by these businesses to make substantial investments in the content distribution, store DX and other rapidly growing business categories. The goal is more growth in the earnings of these businesses.
Reinforcing our commitment to sustainability programs is one more way we plan to achieve consistent growth. In addition, we plan to continue paying a steady dividend during this business plan with a dividend payout ratio target of 10% to 30%.
We are grateful for the support and understanding of shareholders and other investors and are confident that our group is well positioned for more progress in the coming years.