Japan Post (6178) Investor presentation summary

Strategic direction and management plan

• Launched JP Plan 2028, a three-year medium-term management plan focused on sustaining universal service and driving growth in new business areas, including real estate and logistics.

• Key strategies include business structure reform, profit growth in new areas, and strengthening the management base through DX, human capital, and governance.

• Targets include ROE exceeding 7% (if postal charge revisions occur), cumulative shareholder return ratio of 50%+, and progressive dividends starting at ¥60 per share.

Postal and logistics business transformation

• Consolidating collection and delivery bases from 3,200 to 2,700, aiming for ¥5 billion in efficiency gains and improved governance.

• Productivity improvements and labor-saving investments, including AI and robotics, will reduce net headcount by about 7,000 by FY2028.

• Reviewing postal services for sustainability, including potential fee and service level adjustments, as mail volume declines sharply.

• Expanding B-to-B logistics domestically and internationally via M&A (Tonami Holdings) and alliances (LOGISTEED), aiming to become a comprehensive logistics company.

Real estate business expansion

• Real estate positioned as a new revenue pillar, targeting business income of ¥28 billion and ROA of 2.6% by FY2028, with future targets over ¥50 billion and ROA above 4%.

• Actively developing and commercializing group-owned properties, including major urban redevelopment projects linked to post office reorganization.