Long-Term Vision & Medium-Term Business Plan

Our long-term vision "RAIZNEXT Group V-2032" is based on three major changes in the external environment that we expected to see in the future: the "Advent of low-carbon and decarbonized society," the "Decline of working population in Japan," and the "Progress of digital revolution."

Toward advanced plant services in changing times

As the government is aiming to achieve a carbon-neutral society by 2050, demand for plant maintenance in the petroleum refining and petrochemical fields, our main business, is expected to decline in the future. Additionally, the decline of working population will make it difficult to secure mobilization capacity, which is one of our strengths, and could potentially affect our ability to attain the necessary amount of completed construction work. Furthermore, as the movement to promote DX spreads within the industry, it is essential that our Group stays ahead of its competitors in continuing to provide high-value-added services utilizing digital technology in order to maintain its superiority.

In light of all risks, we will promptly prepare for a new era of change to create growth opportunities. Our long-term vision was designed to serve as a compass for this purpose.

Long-Term Vision

Long-Term Vision

Change1The Advent of Low-Carbon and Decarbonized Society

2050 Greenhouse Gas Emissions and Removals Targets and Progress toward Net-Zero

Risks
Decline in demand in the petroleum refining and petrochemical fields
Opportunities
Utilization of our technologies toward achieving a carbon-neutral society

Change2Decline of Working Population in Japan

Trends and Future Projections
of the Working-Age Population

Risks
Supply constraints due to tight mobilization capacity
Opportunities
Expansion of supply capacity through initiatives for the mechanization and automation of construction work

Change3The Progress of Digital Revolution

Status of Digitalization Initiatives

Risks
Decline in competitive advantage based on our strength in mobilization capacity
Opportunities
Improvement of productivity through the utilization of digital technology

Three Vs for Value Creation

Valuable Services with Higher Customer Value

MeasuresOptimization of Existing Businesses

  • Promote the expansion of orders and market share in the petroleum and chemical fields
  • Execute the optimization of the existing business structure in anticipation of the downsizing of petroleum refining and petrochemical facilities
  • Promote the introduction of cutting-edge technologies and provide high-value-added services
Ideal State
Constantly introduce and refine the latest technologies, and deliver maximum customer value together with partner companies through the dual approach of maintenance and engineering
Vitality A Vibrant Company Where Employees Can Work with a Sense of Purpose

MeasuresEvolution of the Management Foundation

  • Promote work style reforms
  • Transform business processes through the promotion of DX
  • Promote the strengthening of governance and ESG initiatives
Ideal State
A company where employees can work with a sense of purpose, taking pride in being the pillar that maintains the stable operation of plants
Vision Ideal State

MeasuresTaking on Challenges in New Businesses, Fields, and Services

  • Promote initiatives in areas such as the renewable energy field
  • Accelerate the creation of new businesses and services
  • Expand business domains in anticipation of the advent of a carbon-neutral society by 2050
Ideal State
Fulfill our social responsibility as a company involved in energy, and contribute to achieving a carbon-neutral society

SDG Goals We
Contribute To

  • 4. QUALITY EDUCATION
  • 5. GENDER EQUALITY
  • 7. AFFORDABLE AND CLEAN ENERGY
  • 8. DECENT WORK AND ECONOMIC GROWTH
  • 9. INDUSTRY, INNOVATION AND INFRASTRUCTURE
  • 12. RESPONSIBLE CONSUMPTION AND PRODUCTION

Basic Strategy of our Long-Term Vision & Medium-Term Business Plan

Long-Term Vision

RAIZNEXT Group
V-2032Toward advanced plant services in changing times

  • We will fulfill our social responsibilities as a company involved in the energy sector and contribute to the realization of a carbon-neutral society.
  • We will constantly introduce and refine the latest technology to continue providing maximum customer value in maintenance and engineering together with our partners.
  • We will aim to be a company that enables employees to work with satisfaction, taking pride in playing a central role in maintaining the stable operation of plant that supports people's lives.

Third Medium-Term Business Plan
(2025-2028)

2025-2028 Third Medium-Term Business Plan

Take on All Transformation Challenges and
Solidify the Foundation and Execution Capabilities
That Will Lead to the Next Phase

Basic Strategy of the Third Medium-Term Business Plan

Numerical Targets for the Third Medium-Term Business Plan

Fiscal year ending March 2029

    3rd Medium-Term
Plan Targets
FY2029		 2nd Medium-Term
Plan Targets
FY2025
Financial Targets Net sales 195 billion yen 157.3 billion yen
Operating income 16.3 billion yen 10.8 billion yen
Net income 11.2 billion yen 8.1 billion yen
Targets for Financial Data ROE 10% or higher 9.6% or higher
Dividend payout
ratio		 Minimum annual dividend of ¥117 per share (actual dividend for FY2026); dividends set at the higher of a 60% payout ratio or 7% DOE. Payout ratio 60%

Action to Implement Management That is Conscious of Cost of Capital and Stock Price

1Improvement of capital efficiency

Second Mid-Term Plan Initiatives
  • Completion of the sale of leased and idle real estate
  • Progress in the sale of cross-shareholdings
  • Investment securities as of the end of March 2025
    • Ratio to net assets: 5.5%
    • Reduction of 0.6 billion yen on a book-value basis since the establishment of the Company in 2019
Third Mid-Term Plan Initiatives
  • Continued progress in reducing cross-shareholdings
  • ROE target of 10% or higher under the Third Medium-Term Business Plan (raised from the 8% target under the Second Medium-Term Business Plan).

2Enhancement of shareholder returns

Second Mid-Term Plan Initiatives
  • Change in dividend policy to a dividend payout ratio of 60% or higher
  • Payment of a special dividend to commemorate the 5th anniversary
Third Mid-Term Plan Initiatives
  • Introduction of a shareholder benefit program
  • With a minimum annual dividend of ¥117 for the fiscal year ended March 2026, the dividend shall be the higher of a 60% payout ratio or a 7% return on equity (DOE), effective from the fiscal year ending March 2027.

3Strengthening of IR activities

Second Mid-Term Plan Initiatives
  • Exhibited at the Nikkei/TSE IR Fair 2025
  • Participated in seminars for individual investors (twice in total)
  • Obtained an "A-" issuer rating
Third Mid-Term Plan Initiatives
  • Enhancement of IR activities for individual investors
  • Promotion of dialogue with investors through appropriate information disclosure
  • Significantly strengthen IR activities for overseas institutional investors, which had previously been limited

4Improvement of profitability

Second Mid-Term Plan Initiatives
  • Expansion of orders utilizing our nationwide network
  • Improving the efficiency of resource utilization through the integration of business divisions and structural reviews
Third Mid-Term Plan Initiatives
  • Steady execution of X CHALLENGE measures
  • Sophistication and efficiency improvement of construction management and design technologies through the promotion of DX
  • Shift to data-driven management