We thank you for the generous and continued support you provide us.
The First Half of FYE March 2020 resulted in a 1.3% increase in earnings year on year. Despite consolidated sales in Japan falling, Indonesia and other overseas markets performed well. However, profit at all stages decreased. Sales turnover and profit at all stages did not reach our target figures.
Analysis of sales turnover by segment reveals that we suffered a decrease in earnings as the men's brand GATSBY's seasonal summer products struggled in Japan due to unfavorable weather conditions and the women's brand Bifesta and Barrier Repair failed to grow due to in-bound demand seeing reactionary fall that exceeded what we had factored into our target planning. In Indonesia, we achieved an increase in earnings thanks to PIXY selling well after rebranding as well as to good foreign trade sales. Other overseas markets also performed well, with Bifesta gaining brisk sales in many countries and as ACGI, which became consolidated during the fiscal year, boosting sales results. Profit overall suffered a dip. This is because of the decline in earnings in Japan together with the impact of worsening cost rates resulting from differences in product mix between Japan and abroad as well as differences in sales by region in Indonesia.
Looking to the Second Half of FYE March 2020, we will aim to achieve the initial targets we had set for the year, with no readjustment to the figures forecast. Overseas markets other than Indonesia are getting good business results and a large number of new products are planned to be rolled out in Indonesia. We also hope that autumn-launch products in Japan will be well received by customers.
We positioned MP-12, our 12th Middle Range Plan, as the Corporate Infrastructure Development Period for Realizing VISION 2027. The basic policies we adopted are: Promotion of category strategies and thorough implementation of activities; Improvement of growth in overseas operations focusing on Indonesia; and Building a group operation system and improving productivity per unit. We have been dedicating our efforts to develop into a truly global company. To this end, we have been building our group operation system focusing on global standardization starting with a full and meticulous implementation of business management grounded in our corporate philosophy, the very cornerstone of our global vision. Work has been ongoing in shaping and improving our management platform to support the group operation system.
Our next middle-range plan (MP-13) will commence in the next fiscal year. We are positioning it as a Reformation and challenges Period for Realizing VISION 2027. Once we have a stable and large foundation, we can then take a huge leap. That is why we hope to see in FYE March 2020, the last year of MP-12, the completion of the corporate infrastructure that we have been working very hard to build.
I would appreciate your further support for our drive to reach our goal.
President Executive Officer & Director