Our corporate mission for sustained growth is stated as: "We create excitement the world has never seen before." We are working toward our vision of becoming a lifelong partner in the motorcycle lifestyle.In addition to that, we have established a UX (user experience) gross model and have been working on 1. Increasing customer contact point through store development, 2. Build a customer relationship management (CRM) system for marketing activities using data, and 3. Expansion of services and networking maintenance business.During the 27th fiscal year (ending November 30, 2024), we dedicated ourselves to engaging in activities and improving the composition of profits in order to find new paths for growth in our motorcycle business, which is one of our primary businesses. Specifically, we addressed issues such as improvement of ad efficiency and increasing the number of units procured by improving contract rate during appraisals as well as transitioning from a purchase-oriented business model to a retail-oriented business model to strengthen storefront procurement (brought in and trade-in) and auction procurement.In addition, we have implemented organizational restructuring of back-office departments, reduction of ad spending, and reduction of costs by tightening expenditure standards to improve the company-wide profit structure.Through these efforts, the retail business turned around, and furthermore, the profit structure significantly improved through the company-wide effort to overhaul the management and business structures.

Motorcycle Business
Regarding procurement, ad efficiency steadily improved since the consolidated second quarter of the accounting period due to significantly reduced ad spending to improve profitability. In addition, as a result of efforts to cover the decrease in the number of units procured with reduced ads and efforts to strengthen storefront procurement (brought in and trade-in) and auction procurement to secure stock for retail sales, the number of units procured from these channels has increased.
With regards to sales, our wholesale business experienced a major decrease over the previous fiscal year in the number of units sold due to a decrease in the number of units purchased and securing stock for retail sales. Meanwhile, per-vehicle unit sales price (sales per vehicle) has slightly increased from the previous fiscal year owing to our efforts of sales to maintain the sale price level and the auction marketing trending favorably.For retail, existing stores and new stores both performed favorably, and the number of vehicles sold increased significantly from the previous fiscal year. In addition, despite focusing on securing high-quality inventory, per-vehicle unit sales price (sales per vehicle) fell slightly below the previous fiscal year.As a result of these, the average (per-vehicle) gross profit exceeded the previous fiscal year owing to continuous optimization of purchasing prices, a favorable auction market, and the growth of ancillary revenue. However, sales decreased, and gross profit was at the same level as the previous fiscal year due to a decrease in the number of units purchased resulting from reduced ad spending and the number of vehicles sold significantly decreasing as a result of securing stock for sales.
Other
We made a resolution to merge our fully-owned subsidiaries Life & Company and BIKE O Direct Co., Ltd. in October 2023 to directly operate their businesses under the parent company and rationalizing operations, generate synergy through optimizing management resources, and reducing costs as well as for building a resilient and efficient corporate management system, and completed the merger in December. In addition, our subsidiary, Toyo Motor International Co., Ltd., has been included in the scope of consolidation from the second quarter of the consolidated accounting period and transitioned from the conventional unconsolidated accounting to consolidated accounting.
We were struggling during the cumulative first quarter, but as a result of these changes, we were able to become profitable for the year due to the measures taken to improve the profit structure since the consolidated second quarter.

At BIKE O & COMPANY, we believe that dividends are an important way of returning profits to shareholders. We decide on dividend amounts by deliberating factors such as business performance while keeping in mind the need for stable dividend distribution.
In accordance with this basic policy, we will not decrease the year-end dividend for the 26th fiscal year. Our forecast at the beginning of the fiscal year was \15 per share, and the dividend for the year will be \30 per share.
With regards to the dividends in the 27th fiscal year, based on our dedication to activities and improving the composition of profits in order to find new paths for growth in our motorcycle business and in accordance with this basic policy, we are aiming for a 30% dividend payout ratio, with a planned dividend for the year of \11 yen (interim dividend of \5.5 and year-end dividend of \5.5).