President’s Message

Message to Our Stakeholders


Born in Chiba Prefecture, Japan
Joined Nippon Yusen Kabushiki Kaisha (NYK LIne)
President of NYK Line (North America) Inc.
Corporate Officer and General Manager of NYK Line
Director, Managing Corporate Officer of NYK Line
Chief Executive Officer of NYK Group South Asia Pte Ltd, Global Liner Management Division
Representative Director, Senior Managing Corporate Officer, Chief Financial Officer of NYK Line
President and Representative Director of Yusen Logistics Co., Ltd.

I became President and Representative Director of Yusen Logistics in June 2016, and I would like to share what I intend to do as the Yusen Logistics. In taking the helm at the Company, I will do everything in my power to make it a world-leading total logistics provider that is a global top five company and the number one market position in Asia. To achieve this, I will leverage my extensive experience in logistics in both Japan and overseas as well as the experience gained in directing financial and planning affairs as Chief Financial Officer at NYK Line.

As we forge ahead with our Medium-Term Business Plan, “GO FORWARD, Yusen Logistics―Next Challenges―,” we are posting steady progress overall as we execute our basic strategies. I recognize the fiscal year ending March 31, 2017, the final year of the plan, as the key period to pave the way to the next Medium-Term Business Plan. My first mission as President is to guide Yusen Logistics to achieve the targets of the plan by aligning the thinking of our staff in 42 countries and regions worldwide—ensuring that everyone moves in the same direction while adhering to the core tenets of our basic strategies. I will also further accelerate the speed of progress with the aim of achieving long-term goals in the years to come.

Kenji Mizushima

President and Representative Director

Business Environment and Results for FY2015

In the international logistics market in FY2015, the fiscal year ended March 31, 2016, the ocean freight forwarding was steady, while the air freight forwarding volume weakened, due primarily to the impact of an economic slowdown in emerging countries.

The Yusen Logistics Group sought to continue expanding sales in the ocean freight forwarding business, and volume handled exceeded the previous fiscal year in all regions, particularly in freight originating from Asia. In the air freight forwarding business, volume handled was down due to the absence of port congestion that had been recorded in the previous fiscal year. In the logistics business, the impact of the economic slowdown mainly in emerging countries was seen, although we worked to expand service and improve quality in targeted industry verticals.

As a result, net sales increased year on year due to our persistent effort to expand sales. As for operating income, the absence of port congestion negatively influenced Japan and the Americas, but the other efforts to reform operations have borne fruit.

Plan for FY2016

FY2016 is the final year of our Medium-Term Business Plan. First and foremost, we aim to bring the plan to a successful completion. We revised financial targets to reflect changes in the economic environment, and we believe the outline of our next Medium-Term Business Plan has become clear through further implementation of our basic strategies, namely our Growth Strategy, Operational Strategy and Investment Strategy. Under our Medium-Term Business Plan, we have set forth strategies that aim to drive efficient business development from business, sales and area perspectives based on basic management strategy such as HR development, organization development, IT and work style innovation. We will not be able to achieve our goals in a short space of time, due to the high degree of difficulty. Hardly any competitors anywhere in the world have struck a good balance between these components, so if we can do so, we will succeed in setting ourselves apart to a significant degree. We are committed to consistently tackling this challenge from a medium- to long-term perspective.

Enhancement of the Corporate Governance System

We appointed one additional outside director in June 2015 to complement our two outside audit & supervisory board members, as well as one outside director to enhance our governance system. We also compiled our Corporate Governance Principles pursuant to Japan’s Corporate Governance Code that went into force in June 2015, and are implementing initiatives in line with these principles.

In addition, we have established a new management structure in which the Chairman heads the Board of Directors and the President heads the Executive Officers Board. By clearly demarcating responsibilities for management and execution of business, we will further reinforce our corporate governance framework.

Return to Shareholders

We recognize the return of profits to shareholders as one of our top priorities, and our basic policy is to offer a stable dividend. We intend to implement returns to shareholders with a dividend payout ratio of 25% as an approximate target for the time being. Based on this policy, for FY2015, we set the interim and year-end dividends at ¥10 each, making an annual dividend of ¥20, an increase of ¥1 per share compared to the previous fiscal year. We plan to provide an annual dividend of ¥20 per share in FY2016 as well, in light of consolidated financial forecasts.

Boosting corporate value is indispensable for ensuring the stable return of profit to shareholders. We will implement our Investment Strategy, one of the basic strategies of our Medium-Term Business Plan, and strive to achieve sustainable growth with the aim of further enhancing corporate value. We ask for your continued support as we carry out our plan and achieve our targets.