Overview of business strategy in the Mid-Term Management Plan

In addition to the core Operator business, the MTMP newly designates the Platform business and the Wellbeing business as earnings pillars, and aims to transform and develop the overall nursing care industry

• Calculated by assuming that each user has two family members

In addition to the core Operator business, our Mid-Term Management Plan, which started in FY2024, newly designates the Platform business—undertaken as a main player in the group—and the Wellbeing business as earnings pillars. We are working not just on the profit growth of our Group’s nursing care business, but to transform and develop the nursing care industry as a whole.

In FY2024 adjusted profits, occupancy rate, and business-specific ROE all progressed on target. In addition to growth for existing operations and new buildings, we are deploying the “future nursing care” model to all care homes, and achieving greater productivity along with quality. Increased sales of ND Software’s software, and progress with outside meal sales, tied into expansion for the Platform business.

Progress in KPIs

1. Previous domestic accounting standards (Japanese GAAP) to FY2023, IFRS basis from FY2024
2. Calculated by using adjusted profit generated mainly from public long-term care insurance benefits received for facility-based and at-home care, etc. as the numerator. Previous domestic accounting standards to FY2023, IFRS basis from FY2024

Major initiatives

Operator business

We have worked to improve profitability, develop the “future nursing care” model, and adopt to rising prices and other aspects of the external environment, managing to raise the occupancy rate of nursing care facilities to 94.7%, the highest level since we entered the industry. We have completed deployment of the “future nursing care” model to all nursing care homes, achieving an increase in productivity equivalent to 1.8 people per month per home (10% of the total working hours of nursing care staff working in nursing care homes). We have also carried out full-fledged development of “private service” beyond the scope of longterm care insurance, with the aim of providing service to help users live life to the fullest.

Platform business

We have worked to develop and provide nursing care and welfare operational support software via ND Software, and external sales of meals and consulting service with know-how and service built up in the Operator business. In FY2024 we made progress beyond previous-year results with ND Software sales and outside sales of meals for senior care facilities.

Wellbeing business

We have worked to develop new services around nursing care providing a one-stop response to concerns over health, nursing care, and retirement funds. We are broadening people’s options for living by advancing the creation of mechanisms for pre-illness and preventive care, end-of-life planning and asset management support, and Wellbio consulting service for seniors and their families.