Fundamental Management Policy
This section introduces the basic management policy of the directors. We explain here our corporate philosophy, dividend policy, medium- to long-term management strategies, and each of our challenges.
Basic Management Policy
The Park24 Group (hereinafter called “the Group”) conducts its business with a focus on the parking service, in which spaces are offered to customers for parking vehicles, and the rent-a-car/car sharing services, in which vehicles are offered as convenience-enhancing mobile units, under the Group’s philosophy of creating new forms of comfort and convenience by responding to the needs of today and anticipating the needs of tomorrow. To establish an environment in which more convenient and comfortable mobility-related services are expected to be provided to many people, the Group seeks to make sustainable improvements to corporate value by establishing trusting relationships with all stakeholders while facilitating the expansion and enhancement of all types of mobility services, including the parking service.
In addition, the Group expects that the expansion and enhancement of its mobility services will be helpful in providing solutions to environmental and social challenges, such as resolving parking space shortages, alleviating traffic congestion and reducing greenhouse gas emissions, eventually leading to the creation of a sustainable society. With this in mind, the Group strives to record a double-digit increase in recurring profit as the top management objective.
Medium- to Long- term Management Strategies
The business environment surrounding the Group has been changing significantly as new technologies and ideas emerge one after another, such as autonomous driving, changes in automobile fuel and a shift from ownership to access. Looking toward a future society that embraces mobility, the Group seeks to further expand and enhance the four networks that it has developed pertaining to people (members), vehicles, communities (destinations) and parking facilities, and ensure the creation of a mobility-based society in which it expects to continue offering new forms of comfort and convenience by responding to the needs of today and anticipating the needs of tomorrow in the world, as well as in Japan.
In the Parking Business in Japan, which is the Group’s core business, it will move forward with the expansion of its parking network while working on the development of parking services that respond to a range of market needs, which are expected to be further diversified.
The Mobility Business, which the Group has been promoting through its parking network, is growing as its second pillar. In this business, the Group will focus its efforts not only on enhancing the capacity of rent-a-car and car sharing services, but also establishing a new Times Car mobility service by integrating these two services.
The Group will work to increase membership for both the parking and mobility services, and make intangible enhancements to ensure that members can use the Group’s facilities more conveniently. It will also establish a network that consists of many stores operating in respective communities, namely destinations, and connect the Group’s services, members and destinations. Through such efforts, it will create new services and provide a new level of comfort. In addition, it will utilize data obtained from resources owned by the Group to develop new services featuring high levels of convenience and safety.
The Parking Business overseas has been expanding significantly due to the addition of two companies to the Group in 2017, Secure Parking and National Car Parks, from the perspective of achieving the Group’s sustainable growth on a long-term basis. The two companies will focus their efforts on the improvement and reinforcement of governance on a medium-term basis, thereby establishing a base to facilitate the growth of businesses going forward. Moreover, efforts will be made to expand businesses in the existing operating areas through the integration of parking networks established by the two companies, and expertise and management skills developed by the Group in Japan.
The Group strives to enhance corporate value to become a leading company that provides mobility services, including parking services, in many parts of the world.
Placing top priority on increasing its corporate value through higher profits, Park24 adopts the basis policy of distributing profits to its shareholders mainly in the form of a dividend paid from surplus funds, taking its internal reserve into account as necessary investment funds for the future.
We adopt a basic dividend policy of paying one dividend each year, at year end. The decision-making body for year-end dividends is the shareholders meeting.
Issues to be Addressed
The Group will aim to create new forms of comfort and convenience by responding to the needs of today and anticipating the needs of tomorrow. In doing so, it will address the following challenges.
(i) Building networks of services in the new mobility society
We aim to build not only highly convenient, environmentally conscious parking facilities and mobility service networks but also service networks that can respond to the new mobility society encompassing further progress in sharing economy, the development of autonomous vehicles, etc.
(ii) Evolving the Times brand
Efforts will be made not only to strengthen the tangible aspects of the Times PARKING, Times CAR RENTAL, and Times CAR SHARE services, but also to enhance the intangible aspects of these services by promoting such services as Times CLUB, a members-only program designed to increase the level of convenience of the said services and Times PAY, a program designed to include stores, or destinations, in the network. Times will transform all service facilities, including parking facilities, into places that are indispensable for a comfortable mobile life, thereby forming a mobility link that appeals to people.
(iii) Expanding the network of parking facilities
Efforts will be made not only to increase the capacity of parking facilities, including those operated under the Times PARKING service, but also offer more choices in parking facilities, such as the Standard that utilizes idle sites, the Partner Service that utilizes parking spaces equipped with facilities, and the B, parking facilities that can be booked in advance. By doing so, the Group strives to improve the level of its customer services.
(iv) Expansion of the mobility network
The Company will expand its rent-a-car and car sharing services to help expand the “mobility network” in Japan, mitigate inconveniences in traveling, and develop an environment that ensures safe, secure, and convenient driving.
(v) Deepening and expanding parking services overseas
Through the combination of the parking facilities networks of Secure Parking (Australia, New Zealand, the United Kingdom, Malaysia and Singapore) and National Car Parks (the United Kingdom) and the Group’s knowhow and management capabilities cultivated in Japan and the provision of services outside Japan that are equally safe, secure and convenient, we will seek to strengthen and expand our business foundations in the existing business areas in which we operate.
(vi) Promoting the development of high added value in the services we offer
Efforts will be made to respond to the diversification of payment procedures for services and develop websites and applications that can be used easily by customers, thereby ensuring the provision of highly convenient service. In addition, the Group will strive to introduce vehicles that operate in response to telecommunication systems and develop services featuring enhanced novelty and safety by leveraging data obtained through the adoption of such vehicles.
(vii) Improved efficiency through the optimum allocation and integration of management resources
Through the optimum allocation and integration of management resources including people, goods, money and information, we will strive to boost efficiency and productivity while bolstering the financial standing of the Group as a whole.