What We Aim to Achieve
Reinforcing our GHO/4SBU structure and enhancing our corporate governance framework to encourage ambitious endeavors to boost corporate value over the medium to long term
Individual Issues
The Pigeon Group comprises Pigeon Corporation and 26 consolidated subsidiaries. The Global Head Office (GHO) oversees all Group companies and four core business segments: Japan Business, China Business, Singapore Business, and Lansinoh Business. We view strengthening Group governance as a key issue that is essential for enhancing growth and profitability over the medium to long term. Critical challenges include ensuring governance functions effectively on both the “offensive” and “defensive” sides of management, optimizing the business portfolio, and enhancing the overall effectiveness of Group governance.

The Pigeon Group has been implementing compliance-related measures with a focus on the following three pillars: 1) Formulate (revise) and implement compliance-related rules, 2) compliance education, and 3) compliance monitoring. We are examining and implementing these measures to 1) prevent compliance violations and 2) detect and resolve compliance violations as soon as possible.

The Pigeon Group has formulated the Rules for Risk Management, which systematically stipulate the Pigeon Group's risk management responses, and are committed to effective risk management. We have established a framework that facilitates the collection of risk-related information across the entire Group, implements necessary controls, and enables swift response to risk issues by each segment.

The Pigeon Group considers its customers, suppliers, government and local governments, local communities, employees, and shareholders as stakeholders who are deeply involved in its business activities. Based on the opinions and evaluations obtained through active communication with various stakeholders, we strive to identify issues and reflect them in our business activities in order to promote higher quality activities and enhance corporate value.

Targets and Progress
| Individual issues | 8th Medium-Term Business Plan Targets (2025) | 2025 Progress |
|---|---|---|
| Action/Review | ||
Reinforcing group governance |
・Promoting cash flow management |
・CCC: 126.5 days in FY2025 |
Reinforcing compliance |
・Promotion of improvement measures based on the results of compliance monitoring conducted in 2023 |
・Implementation of compliance training across the entire group |
Reinforcing risk management |
・Convene the GHO Risk Management Committee at least once a year |
・Held the GHQ Risk Management Committee twice. |
Dialogue with stakeholders |
・Engage in dialogue with the capital markets and focus on the recovery and growth of Pigeon Value Added (PVA) to enhance corporate value |
Reinforcing group governance
| 8th Medium-Term Business Plan Targets (2025) |
|---|
| ・Promoting cash flow management Improvement of CCC (Cash Conversion) |
| 2025 Progress/Action/Review |
|
・CCC: 126.5 days in FY2025 |
Reinforcing compliance
| 8th Medium-Term Business Plan Targets (2025) |
|---|
|
・Promotion of improvement measures based on the results of compliance monitoring conducted in 2023 ・Implementation of compliance training across the entire group |
| 2025 Progress/Action/Review |
・Implementation of compliance training across the entire group |
Reinforcing risk management
| 8th Medium-Term Business Plan Targets (2025) |
|---|
・Convene the GHO Risk Management Committee at least once a year ・Implement Group-wide risk assessments annually |
| 2025 Progress/Action/Review |
|
・Held the GHQ Risk Management Committee twice. ・Reviewed key risks at the GHQ Risk Management Committee and added "Business Management & Subsidiary Control" as a new key risk. ・Conducted a company-wide risk assessment. |
Dialogue with stakeholders
| 8th Medium-Term Business Plan Targets (2025) |
|---|
・Engage in dialogue with the capital markets and focus on the recovery and growth of Pigeon Value Added (PVA) to enhance corporate value |
| 2025 Progress/Action/Review |




