RYOHIN KEIKAKU CO., LTD.
Information Resources
Financial InformationNon-Financial Information
MUJI REPORT
Information on medium-to-long-term value creation
Securities Report (Japanese only) | Sustainability (website) |
Consolidated Financial Results | https://ryohin-keikaku.jp/eng/sustainability/ |
Investor Relations (website) | |
https://ryohin-keikaku.jp/eng/ir/ |
Contents
Introduction
Medium-term Business Plan
Business Strategy
Sustainability
Basic Information
Our Philosophy | 3 |
Our History | 5 |
The Ryohin Keikaku Group in Numbers | 7 |
Message from the President | 9 |
Roadmap - 2030 Vision and Way Forward | 15 |
Message from an Executive Officer | 17 |
Global Strategy | 21 |
Core Product Lineup and Procurement and Production Processes | 25 |
A Community-Based Business Model | 31 |
Corporate Culture Reform | 33 |
MUJI's Goals | 41 |
A Leader in ESG Management | 43 |
Management Team | 57 |
Messages from Outside Directors and Message from an Outside | |
Corporate Auditor | 61 |
Corporate Governance | 65 |
Financial and Non-Financial Highlights | 71 |
11-Year Summary | 73 |
Consolidated Financial Statements | 75 |
Stockholder Information | 79 |
Corporate Information | 80 |
Global Network | 81 |
Editorial Policy
This report is intended to lead to dialogue with stakeholders by presenting goals for medium-to-long- term value creation, management policies, business conditions, and other information based on the philosophy and mission of Ryohin Keikaku, which is aiming to help create "a truthful and sustainable life for all."
Note: In this report, amounts and number of shares that are less than one unit are rounded down, and all ratios and percentages are rounded to the nearest whole number.
Scope of This Report | Consolidated subsidiaries and consolidated companies of Ryohin |
Keikaku Co., Ltd. | |
Period Covered | Fiscal year ended August 2021 (September 1, 2020 to August 31, 2021) |
Note: Information outside this period is reported when it is appropriate to show past | |
events and data or recent examples. |
Forward-Looking Statements
This report contains forward-looking statements and projections. These statements and projections are based on the Company's judgments at the time the report was produced, and include risks and uncertainties. Changes in various factors could cause actual results to differ materially from forward-looking statements and projections contained herein.
MUJI REPORT 2021 2
Introduction
Our Philosophy
Our Corporate Purpose
Our corporate purpose is to contribute to the realization of a truthful and sustainable life for all through our products, services, stores and business activities that consider the ideal relationship among people, nature and products, as well as a generous human society.
Our Two Missions
Mission 1: To provide products and services that are essential to daily life, with genuine quality and ethical value, at fair and affordable prices.
Mission 2: To serve each local region by making our stores community centers that work with stakeholders to tackle local issues and make a positive impact in the region.
Our Core Value
We make efforts to reduce our environmental burden and to respect individual human rights through our manufacturing, services and actions. Through our core value of "contributing to society and people" our employees and associates will proactively respond to issues facing society and the Earth.
Our Management Policy
We will practice "public-interest and people-centered management," where each of our employees and associates contribute to the public interest through our business activities and locally rooted stores, have a sense of ownership and take leading roles in the community.
Enhancing Our Corporate Value
Through our activities, we will create a highly profitable business structure, pay taxes properly and return profits to shareholders appropriately. Furthermore, we will strive to create long-term value for the Company by making a positive impact on society together with stakeholders.
3 MUJI REPORT 2021 | MUJI REPORT 2021 4 |
Introduction
Our History
History of Ryohin Keikaku
1980
Seiyu Co., Ltd., a Japanese retail company, established Mujirushi Ryohin (MUJI) as its private brand
1983
First directly managed store, MUJI Aoyama, opened in Japan
1985
Mujirushi Ryohin Division established within Seiyu
1986
Production and procurement started outside Japan
1989
Ryohin Keikaku Co., Ltd. established
1991
Began business outside Japan (First store in U.K. and first store in Hong Kong opened)
1995
MUJI Tsunan Campsite opened
2000
Listed on the first section of the Tokyo Stock Exchange MUJI.net Co., Ltd. established (currently MUJI HOUSE Co., Ltd.)
2001
MUJI Yurakucho opened
2005
MUJI (Shanghai) Company Limited established
2006
Business transfer from IDEE Co., Ltd.
2007
First store in U.S. opened
2011
Found MUJI Aoyama opened
2012
Muji Retail (Thailand) Co., Ltd. established
2013
Joined UN Global Compact
Launched MUJI passport smartphone app
2014
MUJI Sino-Ocean Taikoo Li Chengdu, the global flagship store in China, opened
2015
Began ReMUJI recycling initiative
2016
Entered the market in India as the first Japanese retailer there
2017
Number of MUJI stores surpassed 400 both in Japan and overseas
2018
Began sales of frozen food
2019
MUJI Ginza, MUJI Diner and MUJI HOTEL GINZA opened
2020
Established production management base in Vietnam
Launched MUJI passport Pay service
2021
Made a new start with our "Second Founding"
Operating revenue
JPY 453.6 billion
Operating profit
JPY 42.4 billion
1980 -2000 | 2000-2015 | |
Social Issues | Mass production, mass consumption and | Social disparity, quality scandals and |
mass disposal | population decline | |
2016-2020 | 2021- |
Aging society, rural depopulation and | Climate change, natural disasters and changes in daily life and |
labor shortage | values due to COVID-19 |
Our Perspective
Activities
How things should be | The relationship between daily life and things | ||||||
(objects) | |||||||
MUJI was created in 1980 in Japan as the antithesis of the consumption | Following the period of high economic growth, economic disparity widened as | ||||||
society. In a booming economy, expensive brand-name products were gaining | Japan entered the 21st century. MUJI sought to give customers a sense of rational | ||||||
popularity, but on the other hand, poor-quality,low-priced products were also | satisfaction, expressed not with "This is what I really want," but with "This will do." | ||||||
appearing on the market, causing a polarization in consumption patterns. In that | We pursued an extremely rational manufacturing process to refine quality and strip | ||||||
context, MUJI was conceived as a critique of this prevailing condition, giving no- | away frills. As a company that proposes a way of living, we also began offering | ||||||
brand (mujirushi) items the value of "good products" (ryohin) with the purpose of | houses, which are a symbol of daily life. | ||||||
restoring a vision of products that are actually useful to customers and | |||||||
maintaining an ideal of the proper balance between modern living and the | |||||||
objects that make it possible. MUJI's approach to manufacturing focused on | |||||||
eliminating excess, and started from selection of materials, streamlining of | |||||||
processes and simplification of packaging. | |||||||
Eliminate excess | Flexibility of use/ | Proven environmental | |||||
How things should be | friendliness and reliability | ||||||
1980-1988 | 1989-2000 | 2001- 2015 |
Household goods
and food
Apparel
Furniture
Bicycles | Home | |||
appliances | ||||
Cosmetics | Campsites | Houses | ||
products | ||||
"A truthful and sustainable life for all" | "A truthful and sustainable life for all," and beyond | ||||
With Japan's population declining, the number of workers continued | The increasing severity of natural disasters and the COVID-19 pandemic have dramatically altered people's | ||||
to decrease until the mid-2010s. Since then, however, more women | values. We believe that we should rethink the way we live. MUJI will offer products that are useful and truly | ||||
have joined the workforce. As a result, the number of households | essential, and are good for the environment, to producers as well as local communities at affordable prices. | ||||
where both spouses work has increased, magnifying the need to | We will also evolve our efforts to help solve local issues, and contribute to the harmonious coexistence and | ||||
simplify and streamline housework. MUJI responded by providing | development of daily life, culture and the environment together with local communities. For the future, we are | ||||
functional, streamlined products that help simplify and beautify | picturing "a truthful and sustainable life for all" that promotes unique economic activities, no matter how | ||||
people's lives with "conscience and creativity," and has contributed to | small, and a society with rich culture under the concept, "We're in this together." | ||||
solving social issues by proposing ideas for peaceful, relaxed living. | |||||
Emotions, | Sophistication | Connection, | |||
tranquility and relaxation | and rationality | agreement and empathy | |||
2021- | |||||
2016- 2020 |
From
products to
lifestyle
optionsInnovation of store
opening strategy
and store functions
Healthcare | |
(preventive care | |
and well-being) | |
Hotel | Food and |
agriculture | |
Social capital | |
Mobile | |
sales | Culture and arts |
Community | |
revitalization |
5 MUJI REPORT 2021 | MUJI REPORT 2021 6 |
Introduction
The Ryohin Keikaku Group in Numbers
In the 41 years since the creation of MUJI, we have continued to design and manufacture no-frills, quality products by focusing on selection of materials, streamlining of processes and simplification of packaging. The foundation of our ideology has not changed since MUJI's inception, and like a compass pointing north, it continues to orient us toward the essential and universal aspects of daily life.
Operating Revenue | Operating Profit | ||
JPY 453.6 billion | Operating | JPY 42.4 billion | Operating |
Revenue | Profit | ||
Price revisions, food sales and opening of new stores in residential areas | Operating profit was JPY 42,447 million as a result of ongoing efforts to | ||
drove growth in operating revenue. | control SG&A expenses. Profit attributable to owners of parent was a | ||
record JPY 33,903 million. |
Number of MUJI Products
Approx.7,500
This number includes apparel, household goods and food items.
Cumulative Total of Registered Members of MUJI Passport and Other Apps
59.2 million
The MUJI passport app is now available in eight countries and regions, including Japan (as of August 31, 2021). Registered members of various communication apps have been included from the fiscal year ended February 2019 in Japan, and from the fiscal year ended February 2020 in mainland China.
ROE (Return on Equity)
17.3% ROE
ROE for the fiscal year ended August 31, 2021 was 17.3%. We are working to improve capital efficiency with the goal of maintaining ROE at 15% or higher.
Operating Revenue by Product Category
Other 4.0% | Apparel | ||||||||
Food12.0% | 37.3% | ||||||||
Household | |||||||||
goods | |||||||||
46.7%
ROA (Return on Total Assets)
12.3%ROA
ROA for the fiscal year ended August 31, 2021 was 12.3%. We are working to improve capital efficiency with the goal of maintaining ROA at 15% or higher.
Dividend Payout Ratio
31.8%
We are committed to returning profits to our shareholders with a target annual payout ratio of 30% of consolidated earnings. The dividend for the fiscal year ended August 31, 2021 was JPY 40.0 per share.
Percentage of Women in
Management Positions
35%*
There are 221 women in management positions, including store managers at directly managed stores in Japan, accounting for 35% of all management positions.
Recycling of Textiles
66.9 tons/year*
With the aim of building a recycling-based society, we have been collecting textiles since 2010. We recovered 66.9 tons of textiles in the fiscal year ended August 31, 2021.
Number of Local Cooperation
Agreements Signed
20*
In our efforts to realize "a truthful and sustainable life for all," we are engaged in various local revitalization initiatives together with local governments and residents. As of October 31, 2021, we had 20 cooperation agreements with 17 local governments in Japan.
Number of Stores with Water Refill Stations
315*
To reduce plastic waste, we have set up water refill stations in MUJI stores. This is a free water dispensing service that uses tap water and is available to anyone who brings their own bottle. (As of August 31, 2021)
Number of Stores
1,068 stores
We operate 497 stores in Japan and 571 stores overseas. This includes licensed stores, Café&Meal MUJI and IDÉE. (As of August 31, 2021)
Countries/Regions Where We Operate
32
We operate in 32 countries and regions, including Japan. (As of August 31, 2021)
Volume of Plastic Bottles Collected
729 kilograms*
MUJI collects and recycles plastic bottles as part of its efforts to reduce plastic waste. Used bottles of Toning Water and other products sold by MUJI are collected for recycling in order to reduce plastic waste and make effective use of petroleum-derived raw materials.
FTSE Russell ESG Ratings
4.2
In June 2021, Ryohin Keikaku Co., Ltd. was selected for the first time as a constituent of the FTSE4Good Index Series and FTSE Blossom Japan Index.
* Ryohin Keikaku Co., Ltd. only
7 MUJI REPORT 2021 | MUJI REPORT 2021 8 |
This is an excerpt of the original content. To continue reading it, access the original document here.
Attachments
- Original Link
- Original Document
- Permalink
Disclaimer
Ryohin Keikaku Co. Ltd. published this content on 30 June 2022 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 30 June 2022 06:21:03 UTC.