Message from the Chairman & CEO

We will continue to adhere to the ethos of our founder. Specifically, we will be a visionary leader, we will act with integrity, we will value diversity, and we will all continue to take on challenges with passion.

On April 26, 2019, we announced our fiscal 2019 business results as well as the Fiscal 2020 Management Plan. This will be our guide for the second year of the current medium-term management plan, “Brand-new Deal 2020.”

In fiscal 2019, the first year of “Brand-new Deal 2020,” net profit attributable to ITOCHU reached ¥500.5 billion, up ¥100.2 billion year on year, exceeding the forecast of ¥500.0 billion and setting a record high for a third consecutive year. Core profit, at ¥472.0 billion, also reached a record high for a fourth consecutive year,. At the same time, we have steadily improved our financial position, with core operating cash flow of ¥515.0 billion, another all-time high, and NET DER of 0.82, our best ever. Moreover, ITOCHU received upgrades from every major credit-rating agency in just one year’s time, from 2017 to 2018, becoming the only listed company in Japan to gain this distinction in the past decade.

Under the medium-term management plan “Brand-new Deal 2020,” we are focusing on responding to rapid changes in the business environment, including the “fourth industrial revolution,” by expanding and advancing our existing businesses to steadily secure earnings while at the same time actively reinventing business models. In fiscal 2020, we will make aggressive growth investments and work to adopt a market-oriented perspective by breaking down vertical-oriented mindset and building new business models that are better aligned with markets and consumers. In this way, we aim to realize a new vision of what a trading company can achieve.

For fiscal 2020, we estimate net profit attributable to ITOCHU of ¥500.0 billion. Amid global economic uncertainty, we plan to use the year to prepare for greater growth, keeping net profit roughly level. All members of the ITOCHU Group will work as one to achieve this ¥500.0 billion target by focusing on growth in the non-resource sector, which is more resilient to fluctuations in the economy. Please refer to this page for an overview of the fiscal 2019 results and more details on the Fiscal 2020 Management Plan.

To enhance shareholder results in fiscal 2020, we plan to increase the guaranteed minimum dividend another ¥2 from the fiscal 2019 level to ¥85 per share, its highest ever.

By steadily implementing the management strategies of “Brand-new Deal 2020” and promoting the growth of the ITOCHU Group, we will continue working to meet the expectations of our stakeholders. We look forward to your continued support and guidance.


Masahiro Okafuji
Chairman & CEO
April 26, 2019