Message from the President

To be a business partner chosen for its commitment to the SDGs

The world is currently facing a broad array of social and environmental issues, such as the growing severity of climate change, the transition to new energy sources, and widening economic disparity. On the domestic front, changes in the structure of society are beginning to emerge, most notably through a decline in the birthrate and shift in demographics followed by the subsequent drop in population as well as the deterioration of local communities. As the world becomes increasingly fragmented, the issue of energy security attracts widespread attention due to mounting geopolitical risks, and such technological innovations as generative AI transform the structure of industry, we are also entering an era in which companies must look increasingly to the future with a more flexible and innovative perspective.

Under these circumstances, SMFL Group has identified the goal to be "chosen for its commitment to SDGs" as one component of Our Vision. This goal embodies our commitment to tackle the SDGs (Sustainable Development Goals) head-on, contribute to the sustainable development of society going forward, and be chosen by the next generation.

Since the start of our leasing business, we have leveraged our expertise on equipment to expand into diverse financial services and other wide-ranging businesses with the support of customers, partners, and many other stakeholders.

In recent years, we have also developed various solar, wind, biomass, hydropower, and other renewable energy power generation businesses, engaged in on-site and off-site power generation projects to provide CO₂-free electricity, and provided energy conservation support and related services. And we work actively to resolve social issues by promoting circular economy businesses and advancing regional revitalization while helping customers improve the efficiency of their DX and business operations using DX solutions developed in-house. As far as the company itself is concerned, we are implementing work style reforms and are endeavoring to grow in concert with customers and society.

Taking the aforementioned into consideration, we identified the five Material Issues - " Environment," " Coexistence with Society," " Diversity and Human Rights," “Innovation,” and " Governance " - and we designated eleven of the 17 Sustainable Development Goals (SDGs) as priority areas. Positioning SDGs management as a growth strategy, and leveraging our areas of expertise and strengths, we work to contribute to the realization of a decarbonized and circular society and the conservation of the natural environment. At the same time, we foster coexistence with local communities, the alleviation of poverty and inequality affecting the next generation, and the creation of a society in which everyone can thrive in their own way. Furthermore, by promoting innovation through the development of new technologies and co‑creation with stakeholders, we ensure that these efforts lead to the creation of new business opportunities.

As the foundation of these initiatives, we fulfill our responsibilities as a company by maintaining and strengthening a robust governance framework, and by actively engaging with the vision of the world to which future generations aspire, we too will secure our own sustainable growth and become a company of choice for the future.