Our Corporate Philosophy/Strategy

Corporate Philosophy

TOHO group will respond skillfully to the desires of our customers by thinking from their points of view, throughout our operations in each of our business domains: screen, theater, and real estate.
Our unwavering goal is sustainable growth through unceasing efforts to be a company that implements creative "Projects" or "Ki-kaku" (Ki for planning, and Kaku for visualizing in Japanese, respectively).
Embracing "Act with vivacity, modesty, fairness and grace," the spirit of TOHO founder Ichizo Kobayashi, TOHO group will continue to take on new challenges and new opportunities to deliver unsurpassed excitement and entertainment to our customers.


TOHO Group Business Principles

Ichizo Kobayashi built TOHO group with the mission which is "To widely provide inspiring entertainment to the general public." Since then, we have delivered entertainment in various forms, primarily movies and theatrical plays, inspiring joy and dreams for a wide range of customers.
We also value the founder's credo "We owe our business to the happiness of the customers," along with his dictum "Act with vivacity, modesty, fairness and grace," as corporate mottos. Based on his philosophy, we are committed to conducting fair and transparent business activities in all three of our business domains: screen, theater, and real estate, while aiming to be a corporate group that always provides the best entertainment in the world, proposing fresh and innovative projects developed with our customers' points of view in mind at all times.
TOHO will strive to increase our corporate value through group-wide efforts supported by these business principles.

The TOHO VISION 2032 TOHO Group Management Corporate Strategy

The Company has launched the "Long-term Vision 2032" and "Medium-term Management Plan 2025 (FY2023-2025)" as "TOHO VISION 2032 TOHO Group Management Corporate Strategy."
The Company believes that the (1) redefining of the TOHO Group's purpose, (2) formulation of a clear vision from a long-term viewpoint, and story of new growth strategy, (3) resilient response to and evolution of the existing three of our business domains (screen, theater, and real estate) based on customer changes and (4) reinforcement of human resources, which will support the growth strategy, and organization as well as promotion of sustainability management are necessary in the age of the new normal based on changes to the values and lifestyles of "customers" caused by the COVID-19 pandemic. As a result, the Company has stated its existing corporate philosophy "We owe our business to the happiness of the customers," as its purpose, and with "the happiness we enjoy is a gift from our customers" as its value, started a new growth strategy in light of the medium- to long-term business environment under the motto of "Act with vivacity, modesty, fairness and grace."

Long-term Vision 2032

  •  1. Corporate Slogan

    Entertainment for YOU

    • The TOHO Group believes that its purpose is "To widely provide inspiring entertainment to the general public." which was the spirit of the founder. The Group will establish a new corporate slogan for the 100th anniversary in 2032. The Group will aim to stimulate change and evolution, and further grow and improve corporate value.
  •  2. Growth Story Leading to Long-term Vision
    • With 2032, the 100th anniversary, as the target, the Group will implement a growth strategy while utilizing M&A, based on the "enhancement of the existing business foundation," "reinforcement of human resources and organization" and "promotion of sustainability management."
      The Group will aim to grow into a corporation with operating profit of ¥75.0 billion to ¥100.0 billion and ROE of approximately 8% to 10%.
    • Three important points for long-term vision
      (1) Promote investment for growth
      (2) Secure human resources & focus on training
      (3) Make Animation business the "fourth business domain"
    • Four keywords for growth strategy
      (1) Create and develop plans & IP
      (2) Expand Animation business
      (3) Utilize digital technologies
      (4) Development of overseas markets
  •  3. Direction of Business Portfolio
    • The Group will add a fourth business domain, (4) Animation business, to the three existing business domains of the (1) Cinema business (Production and Distribution business, Movie Theater Chain business, Production and Licensing business), (2) Theatrical business and (3) Real Estate business. The Group's strength is the ability to maximize income for both the Cinema business and the Animation business.

    Medium-term Management Plan 2025

  •  1. Target Figures
    • This is the time to seriously consider "investment" to properly realize the next period of growth while ascertaining recovery from the COVID-19 pandemic.
    • (1) Growth investment
      Content-related investment (movies, Animation, theatre production, new IP creation, human resource acquisition)  ¥50.0 billion
      Real estate-related investment (redevelopment of owned properties, acquisition of new properties)  ¥50.0 billion
      Opening of new cinema complexes  ¥5.0 billion
      Overseas development, DX-related investment, etc.  ¥5.0 billion
      The Group expects to invest a total of approximately ¥110.0 billion over three years, separately from the investment amount for large-scale M&A.
    • (2) Operating profit
      The Group will aim to beat its highest level of profit (¥52.8 billion) by FY2025.
    • (3) Shareholder returns
      With a base of ¥40 per year, the Group will pay dividends with a payout ratio of 30% or more and implement flexible share buy-backs.
    • (4) ROE
      The Group will aim for 8% or more.
  •  2. Overview of Individual Business Strategies
    • (1) Cinema business (production/distribution)
    • Focus on composing an amazing lineup that must be seen in movie theaters
      Focus on in-house planning and production
    • (2) Cinema business (movie theater chain)
    • Continue to open new cinema complexes
      Enhance movie-watching environment and content
    • (3) Animation business
    • Proactive investment into planning and development
      Reinforce overseas development
      Utilize digital technologies
    • (4) Theatrical business
    • Develop content
      Develop business on multiple fronts
    • (5) Real estate business
    • Maximize value through redevelopment
      Promote acquisition and development of new real estate

    Policy for Human Resources and Organization/Sustainability

    In order to realize the long-term vision and medium-term management plan, the TOHO Group formulated its basic policy for its strategy for human resources and organization, which are its foundation, and the realization of a sustainable society.

  •  1. Strategy for Human Resources and Organization
    • ・Basic policy
      The TOHO Group is an entertainment company, and "human resources" that can create new value are a significant driving force behind growth as they create high-quality works and deliver excitement. As a result, investment into securing excellent human resources and the establishment of a system and environment where they can demonstrate their abilities to the utmost are important issues that are directly connected to the growth strategy.
      While maintaining its existing policies of "small in number, but highly skilled" and "the right person for the right job," the Group will reinforce the hiring of diverse and excellent external human resources who will promote the growth strategy, and promote the establishment of human resources training and a work environment to evolve into an even more creative organization.
    • ・Specific measures
      In order to realize "increase and reinforcement of mid-career hires and enhancement of the expert employee system" and "support of diverse career paths and growth, and fair evaluation and treatment that rewards results," the Group will systematically promote the establishment of an environment that can increase engagement, such as through initiatives for "vivacity and healthy management," which aims to realize a work environment where employees can work in a healthy manner, in mind and body, and each employee can actively work, "TOHO WORK STYLE," which presents guidelines related to a TOHO-esque way of working, and "office reform," which responds to "diversity & inclusion" and a new generation of work styles.
  •  2. Basic Policy for Sustainability
    • The TOHO Group will contribute to "Act with vivacity, modesty, fairness and grace"
      for the realization of a society that is happy and enriched for everyone
      through the provision of entertainment
    • Four important issues to be worked on by the TOHO Group
    • Vivacity  Create a workplace environment where everyone can be healthy and actively participate
      Modesty  Promote clean business activities that are friendly to the global environment
      Fairness  Respect human rights, and form a constructive and fair corporate culture
      Grace   Create a rich movie and theatre culture, and work to pass it on to future generations