Long-term Vision & Medium-term Management Plan

Long-Term Vision

“For The Next Future 3& 3& 3”

Our Vision for 2030

At our 50th-anniversary milestone: further elevate customer satisfaction, employee satisfaction, brand strength, and labor productivity, while expanding into new development areas.

Medium-Term Management Plan

Review of Previous Medium-Term Management Plan

The first two years of our previous plan progressed smoothly, outperforming quantitative targets. However, due to the impact of COVID-19 in 2020, we were compelled to withdraw that plan in November of that year. Even so, we steadily advanced the development plans outlined in the previous plan and—although one year behind schedule—achieved opening progress that exceeded our targets. This secured development projects that position us to pursue economies of scale in our V-shaped recovery from COVID-19.

KYORITSU Growth Vision Rise Up Plan 2028

Medium-term Management Plan Framework

To realize our Group mission and achieve sustainable growth, we practice management centered on two pillars: enhancing social value and growing shareholder value.

Enhancing Social Value

Growing Shareholder Value

Quantitative Targets

Centered on our Dormitory and Hotel Businesses, we aim to achieve steady growth, with a five-year average sales growth rate of 10% and an average operating profit growth rate of 30%.

Progress on Quantitative Targets

External Growth

We will strengthen topline performance by increasing the number of dormitory rooms and hotel rooms through new development and by optimizing pricing.

Development Plans

Dormitory Business

Dormy Inn Business

Resort Business

Dormitory / Hotel Development Plans

Internal Growth

We will improve profitability by optimizing customer acquisition costs and raising labor productivity through leveraging digital transformation (DX).

Investment, Shareholder Returns, and Fundraising

To realize our next stage of growth, we plan proactive investments in development, large-scale renovations, and digital transformation.
Investment funds will be sourced from recovering operating cash flow, real estate securitization, and financing from financial institutions.
Real estate securitization efforts have been formalized through the signing of the “New Comprehensive Basic Agreement” with SMFL MIRAI Partners Co., Ltd.

Digital Transformation Strategy

By leveraging digital technologies, we aim to enhance service quality and improve customer convenience and satisfaction, while boosting labor productivity and profitability through operational efficiency.

Business Site Renewal Improvement of Sales Support Systems	Construction and Utilization of an Integrated Core Database
Enhancement of Service Value	Enhancement of Intellectual Asset Value
Renewal of Hotel Reservation System Introduction of Hotel Smart Check-in System Provision of Web Support Services for Dormitory Residents Renewal of Corporate Sales and Contract Management Systems	Continuous Review of Business Processes Construction of Databases for “Customers,” “Buildings,” and “Human Resources” System Risk Analysis and Countermeasures Strengthening Network Security

Human Resources Strategy

We will raise employee satisfaction by expanding and reviewing our training and HR systems and ensure a stable pipeline of high-quality talent as the foundation for business expansion.

Organizational Revitalization through Improved Employee Satisfaction	Create comfortable workplaces and aim to improve engagement Promote the use of various leave systems and enhance welfare benefit systems Expand work styles that match lifestyles
Organizational Standardization through Functional Integration of Labor Management, Recruitment, and Education	Centralized management of quantitative and qualitative personnel information across departments Standardization of personnel information throughout the Group
Problem Solving through Expanded Recruitment of Diverse Human Resources and System Review	Enhancement of recruitment channels Establishment of diverse employment and work formats Revision to personnel evaluation system and appropriate salary system
Issue Identification through Enhanced Education and Training	Strengthening of new employee training programs Enhanced development of executive candidates through OJT Subdivision of training by job responsibilities

Sustainability Strategy

In anticipation of changes in our operating environment, we have set four key themes and 11 material topics aligned with our Group’s mission. We aim to enhance corporate value over the medium to long term and help realize a sustainable society of “Healthy & Happy People.”

Development Business and Overseas Business Expansion

• Actively expanding the Senior Life Business (senior housing business) as our third pillar.
• With regard to overseas expansion, which was suspended due to the impact of COVID-19, we will, during the new Medium-Term Management Plan period, resume surveys centered on the Dormitory and Dormy Inn businesses and advance to the business-feasibility verification stage.

Development Business

Overseas Business Expansion