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Message from the President and CEO

信太明

Thank you for your support. On Thursday, January 10, 2019, AUN Consulting Inc. announced its financial results for the second quarter of the fiscal year ending May 2019. I would like to give a brief update on these results.

During the second quarter of this consolidated fiscal year under review (June 1, 2018, to November 30, 2018), despite the impact on the economic environment caused by successive natural disasters, the Japanese economy posted a gradual trend toward moderate recovery against a background of improved corporate earnings and a stronger employment and income environment.
However, the corporate environment remains uncertain—for instance, the impact on the world economy of protectionist trade policies in the United States and increasing geopolitical risks.
Given this situation, the AUN Group’s top priority has been ensuring stability and expansion of profitability, and in this consolidated fiscal year, it has devoted its efforts to further expanding profitability in the area of overseas and multilingual marketing support, as well as developing business and services that will play a core role in future profitability and strengthening the organization through human resources development in order to expand business.
In particular, with regard to further expansion of profitability of overseas and multilingual aspects of our marketing business, and given the expanding inbound tourism market, by providing high-level services through the multilingual marketing expertise we possess and adding value by utilizing our network of overseas affiliates, we have been able to capture a broad range of demand.
In the inbound tourism market, despite some stagnation of demand for Japan following natural disasters such as torrential rains in western Japan, typhoons, and earthquakes, inbound demand picked up again in October 2018, with the number of overseas visitors to Japan from January 2018 to December 18, 2018 breaking 30 million for the first time in history (Japan National Tourism Organization (JNTO) "Overseas visitors to Japan"). Demand by Japanese companies for promotional activities aimed at foreigners is expected to continue to increase.

As a result of the above factors, performance in the second quarter of this consolidated fiscal year saw a total turnover of 880.975 million yen (down 6.6% compared to the same period of the previous year), with an operating loss of 28.230 million yen (operating loss was 3.692 million yen in the same period of the previous year), ordinary loss of 5.509 million yen (ordinary profit was 11.136 million yen in the same period of the previous year), and a quarterly net loss of 6.485 million yen attributable to parent company shareholders (quarterly net profit attributable to parent company shareholders was 8.575 million yen in the same period of the previous year).

We look forward to your continued generous support.

AUN Consulting, Inc.
President & CEO
Akira Shida

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