We would like to express our sincere gratitude to our shareholders and investors for your continued and exceptional support.

Business Policy and Issues for FY2021

In line with the 10-year Management Vision "CRESCO Group Ambition 2030" and the three Medium-term Management Plans (FY2021 to FY2023, FY2024 to FY2026, FY2027 to FY2030), the CRESCO Group is aiming to be a corporate group under the guiding principle of "We will realize a stimulating future through the best technology and partnerships."

Through the execution of our "Basic Strategy" in order to promote our core business (IT services) and "Key Strategy" to create new business pillars centered on our new business (digital solutions), in FY2021, the first fiscal year in the "Medium-Term Management Plan 2023 (FY2021 to FY2023)," which is the first step for the realization of the Management Vision, we developed our business by aiming to achieve business performance targets, as well as by striving to establish an agile management foundation and practice people-centered management and further improving corporate value.

Issues in FY2021
  • Acquiring new customers and strengthening relationships with customers
  • Expanding the digital solutions business and conducting research and development of new technologies
  • Promotion of M&A and alliance and reinforcement of Group companies management
  • Hiring of human resources and expansion of development environment
  • Promotion of DX and realization of flexible management
  • Promotion of health management
  • Promotion of work style reform and creation of a healthy work environment
  • Enhancement of quality
  • Pursuit of productivity
  • Securing human resources engaged in development and strengthening structures
  • Initiatives to promote diversity
  • Strengthening corporate governance
  • Business portfolio optimization and flexible organizational management

 

Business Environment and Performance for FY2021

In FY2021, business sentiment improved across a wide range of industries amid the COVID-19 pandemic, and the execution of corporate IT strategies accelerated against the backdrop of the "trend of digital transformation (DX)." Furthermore, both sales and profit increased as the trend toward normalization of economic activities continued in a lively manner.
Centered on the "Medium-Term Management Plan 2023," the CRESCO Group focused on "reviewing its customer portfolio and business structure in response to changes in the business environment," "securing orders mainly from existing customers" and "developing new businesses and services incorporating advanced technology (AI, the cloud, etc.)," and implemented aggressive initiatives, such as "promoting DX within the Group (strengthening the teleworking system, utilizing online communication tools and strengthening digital marketing)" and "optimizing the office spaces."
Furthermore, as a part of evangelist activities, the CRESCO Group implemented various promotions, such as external seminars related to AI, the cloud and RPA (Robotic Process Automation) as well as lectures at various events.

Outlook for FY2022

With regard to the business environment in FY2022, the outlook for the future will by no means become optimistic as concerns are increasing that commodity prices and the economy will be significantly influenced by rising raw material prices, the deterioration of supply of crude oil, etc. caused by the Russia/Ukraine conflict in addition to the inability to completely get rid of the risk of economic downturn caused by the occurrence and spread of new variant strains of COVID-19. However, although there are differences between regions, business sectors and business categories, "new lifestyles" and the "new normal" have been established based on the "with corona" and "post-corona" periods, and the trend toward normalization of economic activities continues in a lively manner. The CRESCO Group has judged that the "influence on the CRESCO Group's performance will be limited" as the possibility that the trend of digital reform that utilizes IT will stop is low.
The various services and solutions provided by the CRESCO Group are in the position of generally incorporating the trend of "digital reform," and the CRESCO Group is anticipated to be the "main IT partner" from customers. The CRESCO Group works to proactively capture needs, which are becoming increasingly sophisticated, diverse and complex, and is determined to realize innovation to secure our competitive edge and contribute to the development of society. In addition, by utilizing our core technologies and experience that we have acquired over many years and actively collaborating within the Group and forming business alliances with other companies, we are able to provide new, convenient IT services and digital solutions that lead our customers' "digital transformation."

 

May, 2022
Hiroyuki Nemoto, Chairman & CEO
Hiroshi Tominaga, President