Management strategy

1. Basic management policy

The MTI Group believes that continuously creating services that meet the evolving needs of a constantly changing world and delivering them globally is essential to building a society in which people can live more freely and true to themselves. As a partner that walks alongside our customers in their daily lives, we are committed to realizing a better future society by providing services that make everyday life more convenient and more fulfilling.

2. Target management indexes

The MTI Group believes that sales growth rate and degree of improvement in operating margin are important management indices. Through the sustained improvement of these indices, we aim to continuously enhance corporate value. In addition, the Group’s policy regarding the total return ratio is to return profits to shareholders targeting a payout ratio of 35% over the medium term.

3. Medium to long-term management strategy

The MTI Group aims to achieve sustained sales growth and continuous profit accumulation by utilizing earnings from the content business to make upfront investments in the healthcare business and school DX business, which are expected to have high growth potential. Additionally, we will foster and develop multiple new business areas that can generate stable revenue.
Our medium to long-term management strategy is as follows.

(1) Suppressing the earnings decline in the content business

In the content business,while the number of paid subscribers remains broadly flat, we are allocating the earnings generated from this segment to upfront investments in the Healthcare Business and the School DX Business, which we view as having strong growth potential. Accordingly, we will continue to maintain our paid subscriber base while focusing on fostering the growth of these high-potential businesses.
As there is room for future expansion in the number of paid subscribers for security-related services, we will continue to focus on increasing the number of paid subscribers. We will also expand the business of providing original comic to comic distributors by increasing the number of original comic.

(2) Sales growth in the healthcare business

The healthcare business has great potential for future growth. If we build a service of providing long-term support for medical institutions, namely hospitals, pharmacies and health check institutions, as well as health insurance societies, local governments and other customers, it is expected to be a more stable stock-type business. We will therefore work on it for the medium and long term.
The Company provides an array of services related to the medical and healthcare fields and will work to make each service profitable at an early stage. At the same time, the Company will strive to establish services that are convenient for customers by integrating services in which multiple organizations such as medical institutions, dispensing pharmacies, medical checkup facilities, health insurance associations, and local governments collaborate with one another.

(3) Sales growth in the school DX business

In the School DX business, we will aggressively pursue this business because it has large future growth potential and can become a stable stock-type business by building services that support school corporation (private and public schools) customers over the long term.

4. Issues to address

The environment in which we operate continues to change. Advanced digital technologies continue to penetrate society, and demand for solutions and services based on digital transformation (DX) and artificial intelligence (AI), which has been rapidly put to practical use in recent years, is increasing in a variety of industries.
The MTI Group will continue to adapt quickly to the ever-changing environment while creating DX services through the use of advanced digital technology, and will work to continuously provide high value-added solutions and services to its customers.

(1) Apply the latest technologies such as AI to high-value-added solutions and services

Generative AI is rapidly permeating not only the business domain but society as a whole. The domestic AI systems market in Japan exceeded JPY 1.3 trillion in 2024 and is expected to grow to nearly three times that size by 2029 (according to a survey conducted by IDC Japan in May 2025).
At present, we utilize technologies such as image and speech recognition and text generation primarily to enhance UX (user experience) in our solutions and services by automating user input. Looking ahead, by incorporating more advanced applications such as AI agent functions that support customer actions, we aim to significantly expand the value we deliver to all customers.

(2) Development and utilization of a shared data platform, and the standardization of user authentication and authorization

The MTI Group has a key strength in comprehensively offering a wide range of services within the same business domain—most notably in the healthcare business—thereby maintaining multiple touchpoints with users. By fully leveraging this strength, we are strengthening data integration and standardizing user authentication and authorization in order to deliver a seamless user experience across related services.
In addition, we are not limited to linking user data within a single business domain; we are also working to create new value for customers by combining businesses from entirely different domains.
Furthermore, to energize these initiatives, we will continue to place greater emphasis on project-based solution and service development.
To maximize synergies within the Group, we will continue to challenge ourselves to organically connect and combine multiple businesses and services across the Group.

(3) Recruitment and development of AI and security talent

Amid the rapid advancement and widespread adoption of AI, we are promoting “AI-driven development,” under which AI is utilized across the entire service development process to automate and improve efficiency at each stage. Through these efforts, we aim to enhance development quality, shorten lead times, and establish a framework that enables us to deliver value to customers more quickly. Furthermore, in light of the growing need to apply AI not only to service development but also to all areas of our operations, we recognize the importance of strengthening the recruitment and development of personnel with AI utilization capabilities.
At the same time, advances in AI technology may also benefit cyber attackers. Given the increasing frequency and diversification of cyberattacks, and the potential for such attacks to cause significant and wide-ranging impacts on our customers and business partners, we consider security talent to be just as critical as AI talent in implementing comprehensive cybersecurity measures.
To ensure our continued growth and survival as a next-generation company, we will continue to invest in the recruitment and development of AI and security talent.

(4) Human resource development

The MTI Group aims to enable each employee to fully leverage their individuality and capabilities, thereby maximizing performance and value creation.
To this end, we have identified the early identification and development of next-generation executive candidates as a key priority. As part of our efforts to cultivate the qualities required of future leaders, we provide opportunities such as external training programs designed to develop managerial perspectives and decision-making skills, as well as opportunities to engage with external experts, thereby fostering talent capable of leading the Company’s future management.
For all employees, we promote flexible management practices tailored to individual characteristics and circumstances, with the goal of enabling each person to perform at their best and strengthening overall organizational capability.
In addition, alongside initiatives to enhance productivity through the introduction of telework and flexible working arrangements, we are developing systems that accommodate employees’ life stages, including pregnancy, childbirth, childcare, and caregiving. Through these initiatives, we seek to enhance employee satisfaction and secure and retain talented personnel.