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JAG Integrated Report 2019

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JAG Integrated Report 2019 Integrated Report 2019 日本アジアグループ 統合報告書 2019_P1-2 Japan Asia Group, LTD Corporate Philosophy Our Values Our Mission Integrity, Imagination, Save the Earth, and Entrepreneurship Make Communities Green Our Vision Growth through integrating Japan Asia Group strives to create green communities. Contents technological innovation Section 01 Section 02 Section 03 Section 04 History and Vision Business Overview and Strategy Corporate Governance Financial Data and Company Profile 03 Group History 13 Geospatial Information 21 Compliance and Risk Management 31 Financial Strategy and financial expertise 05 The Year at JAG 17 Green Energy 23 Directors and Corporate Auditors 33 Financial/Non-Financial 07 Message from the CEO 19 Forestry Revitalization 25 External Director Interview Highlights 09 Value Creation 26 Participation in Global Initiatives 35 Consolidated Financial 11 Contributing to Resolving 27 Human Resource Development Results Critical Social Issues and the 29 Third-Party Opinion 37 Company Profile SDGs 30 Dialogue with Shareholders and Investors Integrated Report 2019 is intended as a stakeholders’ guide to Japan Asia Group's (JAG's) financial results and business activities for the Forward-looking statements included in this integrated report are based on information currently available to JAG. fiscal year ended March 31, 2019, and our group-wide efforts to contribute to a sustainable society through actively addressing environmen- Disclaimer on forward-looking statements Forecasts are subject to unknown risks and uncertainties. Actual results may thus differ from forecasts due to a range Editing policy tal and social issues. Our editing policy references the International Integrated Reporting Framework issued by the International Integrated of factors, including but not limited to changes in the business environment or foreign exchange rates. Reporting Council (IIRC). 01 Japan Asia Group Integrated Report 2019 Japan Asia Group Integrated Report 2019 02 日本アジアグループ 統合報告書 2019_P3-4 Group History Group History Geospatial Information Snapshot of the Group in numbers Green Energy Forestry Revitalization Geospatial Information Local government Number of patents Renewable energy Owned forest land Consolidated subsidiaries business partners + + 70 475 700 195MW 5,053ha 100 years of experience (Japan and overseas) (as of March 2019) (as of March 2019) (as of March 2019) The Group’s largest subsidiary, Kokusai The Group files and obtains many patents The Group boasts a valuable network of The Sano SolarWay (approx. 16.6MW) was The Group has been increasing its owned The Group’s portfolio of consolidated Kogyo Co., Ltd., has embraced the business every year. Patents obtained in FY2018 partners built on strong ties of trust with completed in Tochigi Prefecture (in March forest land, starting with Miyoshi, subsidiaries has been growing every year. principle of “capture, process, and make (April 1, 2018 to March 31, 2019) included local governments across the nation forged 2019), and the Group’s power generation Tokushima Prefecture, and gradually Recently, we launched JAG Forest Co., Ltd. Core competency use” since its founding in 1947, and it has “Real-time Tsunami Inundation and through the 70+ years of history at Kokusai facilities have grown to encompass 83 expanding to Kochi, Niigata, and Nara to make a full-fledged entry into new areas mainly provided consulting services Damage Forecasting System (Patent No. Kogyo Co., Ltd., which operates the locations nationwide with a total capacity prefectures. We will continue to leverage of business. Our policy is to focus on leveraging its aerial photo measurement 6323880)” and “Tsunami Information Geospatial Information business. of over 195MW. In addition, we established our laser measurement technology to autonomy and speed as we continually and analysis technology. Recently, it has Provision System (Patent No. 6362178).” Leveraging these ties with local a regional corporation to operate a retail promote a data-driven forestry business, expand into growing businesses. The been promoting the development of The number of patents indicated are for governments, our other two businesses electricity business and started providing as we strive to turn undeveloped forests expansion of our business scope is cutting-edge technology and businesses patents with valid rights in FY2018. (Green Energy and Forestry Revitalization) regional energy services. into productive forests and revitalize the reflected in the number of our consolidated through the adoption of AI and IoT. have been steadily expanding the number domestic forestry industry. subsidiaries. of orders from local government offices. Addressing social issues We will continue our efforts to solve social We will accelerate research and develop- We will provide various solutions to support We will support local governments in We have been introducing data-driven We will work to expand into new business issues, ranging from the maintenance of ment with universities, government offices, and enhance services for the community, promoting regional energy policies with an forestry operations to solve labor shortages areas, aimed at boosting our business social infrastructure (which supported and companies to advance and practically bolstered by an ongoing expansion of our eye to producing local benefits (e.g., local and ensure a stable supply of wood capacity to create greener communities. Japan’s post-war reconstruction) to more apply technologies in order to realize local government network. production and local consumption of energy, materials. recent measures for disaster prevention and improved safety and security. job creation). reduction, as well as national resilience. Group history Japan Asia Group Limited Kokusai Kogyo Co., Ltd. 1999 2002 2012 2017 2019 Japan Asia Group Limited • Opened a representative office in Tokyo • Merged Marukin Securities with Kaneman • Made Kokusai Kogyo Holdings Co., • Strengthened the geospatial • KHC Ltd.’s shares were listed on Securities and launched full-fledged Ltd. a wholly owned subsidiary information business through capital the Second Section of the Tokyo 1998 operations at Japan Asia Securities Co., Ltd. through Group restructuring 2016 participation in Meiji Consultant Co., Ltd. Stock Exchange • Japan Asia Holdings Limited • Established JAG Energy Co., Ltd., • Entered the forestry • Sold all outstanding shares in Japan • Unified all units of the forestry (Head Office: Hong Kong) was and focused on the domestic revitalization business Asia Securities Co., Ltd. revitalization business under JAG founded by Tetsuo Yamashita and 2001 2009 renewable energy power generation • Reinforced the forestry revitalization Forest Co., Ltd. • Acquired Kohtoku Real Estate Co., Sandra Wu Wen-Hsiu • The newly formed Japan Asia Group business business through capital participation in Ltd. and changed name to Japan (TSE Mothers: 3751) began Sakazume Seizaisho Co., Ltd. Asia Holdings (Japan) Limited operations as a pure holding company 2014 2015 2018 Kokusai Kogyo Co., Ltd. • Bolstered the small hydropower • Transferred shares to the First Section of the • Started collaboration in digital devices and generation business through capital Tokyo Stock Exchange geospatial information business with Xacti participation in Seabell International • Dissolved the interim holding company structure Corporation through capital participation 1947 1949 1954 1978 2011 Co., Ltd. (currently JAG Seabell Co., (Japan Asia Holdings [Japan] Limited, Kokusai • Sold all outstanding shares in Japan Asia Asset • Founded Sanro Kogyo Co., Ltd. • Established subsidiary Nippon • Changed company name to • Commenced Japan’s first • Launched a reconstruction Ltd.) Kogyo Holdings Co., Ltd.) Management Co., Ltd. Kosoku Co., Ltd. and entered the Kokusai Kogyo Co., Ltd. computer mapping business support project following the • Began operations as the new JAG Energy Co., Ltd. aerial photography mapping in earnest Great East Japan Earthquake after the merger of JAG Energy Co., Ltd. and business Kokusai Land & Development Co., Ltd. 03 Japan Asia Group Integrated Report 2019 Japan Asia Group Integrated Report 2019 04 日本アジアグループ 統合報告書 2019_P5-6 The Year at JAG The Year at JAG Geospatial Information Green Energy Forestry Revitalization Overseas April June November February April Released SPHERE, an interactive globe for Started a regional energy business at Fuchu and Chofu Jointly established Miyoshi Energy Co., Ltd. with the town Received the Minister of Internal Affairs and Unified all units of the forestry revitalization business under JAG Forest Co., Ltd. to accelerate the formation visualizing global issues Machinaka Energy Co., Ltd. to promote the local production of Higashimiyoshi in Miyoshi, Tokushima Prefecture Communications Award of the 1st Japan Open of a new value chain and local consumption of energy Innovation Prize for the development and operation of Upstream the Real-time Tsunami Inundation and Damage Forecasting System Kaneko Nursery Tamagawa Nature Information Museum New energy business aimed at Using geospatial information technology (right: analysis of forest volume) to facilitate collaboration with revitalizing local communities regional forestry businesses and revitalize forest real estate businesses Midstream Downstream Energy procurement Regional energy supply companies Energy supply (retail electricity businesses) Energy supply New retail Energy procurement Regional renewable electricity business Regional public facilities, energy sources Electricity fees private
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