Worth reading
58In focus
0–100. This measures how worthwhile something is to read, not how good or bad the company is.Direction
Improvement
Direction inferred from the company’s description.Scale
631.7
¥100 million (FY2029.2 revenue target)Wording
Conditional
How definitive the wording is.Items stated in the management plan
FormulatedNet Sales+0.1%
基準 2,026.2Target2,029.2million
Operating profit+0.1%
基準 2,027.2Target2,029.2million
Operating profit margin+1.6pt
基準 4.2Target5.8%
Each line is the climb from the baseline the document states to the target it sets. The slope is scaled against the largest climb in this document. For metrics expressed as percentages, differences are shown in percentage points (pt).The increase shown by the dotted line is calculated from the two reported figures because the company did not provide the amount of growth.
Investment amount by sectorThe plan refers to growth investment, initial data center investment, capital expenditure, and investment for withdrawals and downsizing, but the amounts by category are not disclosed.
Statements about the use of capital
Payout ratio / DOE policyThe company is considering a commemorative dividend for the new business (2026.01) and a performance-linked dividend policy, while maintaining a balance with shareholder returns. Specific target figures and periods for the payout ratio and DOE are not disclosed.The payout ratio is the proportion of profit paid out as dividends, while DOE is the ratio of dividends to net assets.
Key initiatives
01Secure a long-term contract with MiTAC-SYNNEX and early access to B200 units. Optimize working capital by maintaining inventory turnover of under 45 days.
02Reduce OpEx (personnel costs) by introducing automated recovery systems for utilization monitoring and failure detection.
03Transition from sales to a subscription model. Target a GPU rental ARR ratio of more than 40%, contributing to the company-wide recurring revenue target of 60%.
04Integration of training and inference infrastructure
05Liquid cooling with PUE below 1.1
06Modular design
07SLA guarantees
08Long-term contracts
09Modular data centers: phased expansion designed to limit initial investment
10Strictly manage ROIC (return on invested capital) for each investment project
11Balance personnel cost optimization with high availability by automating GPU utilization monitoring and failure detection
12Demand-linked procurement
13Dynamic pricing
14Secure power grid connection rights
15Install battery storage facilities
16Grid interconnection
17Phased closures
Plan assumptionsThe global AI server market is expected to grow from approximately $50B in 2025 to approximately $120B in 2028, representing a CAGR of more than 30%. Japan's data center market is expected to grow from approximately ¥1.5 trillion in 2025 to approximately ¥2.5 trillion in 2028. Japan's battery storage market is expected to reach approximately ¥1.5 trillion in 2030, according to NEDO forecasts. AI-related investment in Japan is expected to total approximately ¥1 trillion annually across the public and private sectors. The figures in the materials are based on assumptions that the company considers reasonable. Specific assumptions for foreign exchange rates and raw material prices are not disclosed.
Segment targetSegment GPU Servers / Net Sales ¥33.75 billion (FY2029.2) / Operating profit ¥1.01 billion (FY2029.2; operating margin 3.0%), Segment Data centers / Net Sales ¥18.00 billion (FY2029.2) / Operating profit ¥1.01 billion (FY2029.2; operating margin 10%), Segment Batteries for electricity storage / Net Sales ¥10.14 billion (FY2029.2) / Operating profit ¥1.80 billion (main text) / ¥1.81 billion (Appendix), Segment Apparel / Net Sales ¥1.28 billion (FY2029.2) / Operating profit Profitability
Non-financial targetsIndicator Company-wide stock revenue ratio / Target 60% / Timing FY2029.2, Indicator GPU rental ARR ratio / Target >40% / Timing Not disclosed, Indicator GPU utilization rate / Target 90%+ / Timing Not disclosed, Indicator Data center utilization rate / Target 95% / Timing FY2029.2, Indicator Data center PUE / Target Below 1.1 / Timing Not disclosed, Indicator CCC (cash conversion cycle) / Target 30–45 days / Timing Not disclosed, Indicator Hardware inventory turnover / Target Under 45 days / Timing Not disclosed, Indicator Apparel aged inventory / Target Under 90 days / Timing Not disclosed, Indicator Annual in-house battery storage shipment capacity / Target 200+MWh / Timing Not disclosed, Indicator Battery storage order backlog / Target More than ¥5 billion / Timing Not disclosed, Indicator Apparel revenue / Target Reduce by 20% annually / Timing Through FY2029.2
Size of the Target MarketGlobal AI server market: approximately $50B in 2025 and approximately $120B in 2028, with a CAGR of more than 30%. Japan's data center market: approximately ¥1.5 trillion in 2025 and approximately ¥2.5 trillion in 2028. Japan's battery storage market: approximately ¥1.5 trillion in 2030, according to NEDO forecasts. AI-related investment in Japan: approximately ¥1 trillion annually across the public and private sectors.
Risks identified by the company
GPU supply, including H100, H200 and B200 units, and changes to NVIDIA's allocation policy
Fluctuations in demand in the AI-related market and intensifying competition
Progress of data center construction and delays in obtaining permits and approvals
Fluctuations in electricity market prices related to the battery storage business and changes to national and local government subsidy programs
Fluctuations in exchange rates (USD/JPY and CNY/JPY) and changes in the interest-rate environment
Changes in laws and regulations, natural disasters, infectious diseases and other force majeure events
Large-scale CAPEX
Delays in data center construction
Securing AI infrastructure personnel
Dependence on China for battery cell procurement
Fluctuations in electricity market prices and exchange rates
Intensifying price competition
Competition with major data center operators
Rising electricity costs
Entry by major energy companies
| Item | Details |
|---|---|
| Plan name | Medium-Term Management Plan FY2027.2 — FY2029.2 |
| Plan period | FY2027.2 — FY2029.2 |
| Progress against the plan | Formulated |
| Sales Target | 100.2 (FY2026.2 actual) → 631.7 (FY2029.2 target) |
| Operating profit target | 11.0 (FY2027.2 target) → 36.7 (FY2029.2 target) |
| Operating profit margin target | 4.2% → 5.8% |
| Payout ratio / DOE policy | The company is considering a commemorative dividend for the new business (2026.01) and a performance-linked dividend policy, while maintaining a balance with shareholder returns. Specific target figures and periods for the payout ratio and DOE are not disclosed. |
| Investment amount by sector | The plan refers to growth investment, initial data center investment, capital expenditure, and investment for withdrawals and downsizing, but the amounts by category are not disclosed. |
| Segment target | Segment GPU Servers / Net Sales ¥33.75 billion (FY2029.2) / Operating profit ¥1.01 billion (FY2029.2; operating margin 3.0%), Segment Data centers / Net Sales ¥18.00 billion (FY2029.2) / Operating profit ¥1.01 billion (FY2029.2; operating margin 10%), Segment Batteries for electricity storage / Net Sales ¥10.14 billion (FY2029.2) / Operating profit ¥1.80 billion (main text) / ¥1.81 billion (Appendix), Segment Apparel / Net Sales ¥1.28 billion (FY2029.2) / Operating profit Profitability |
| Non-financial targets | Indicator Company-wide stock revenue ratio / Target 60% / Timing FY2029.2, Indicator GPU rental ARR ratio / Target >40% / Timing Not disclosed, Indicator GPU utilization rate / Target 90%+ / Timing Not disclosed, Indicator Data center utilization rate / Target 95% / Timing FY2029.2, Indicator Data center PUE / Target Below 1.1 / Timing Not disclosed, Indicator CCC (cash conversion cycle) / Target 30–45 days / Timing Not disclosed, Indicator Hardware inventory turnover / Target Under 45 days / Timing Not disclosed, Indicator Apparel aged inventory / Target Under 90 days / Timing Not disclosed, Indicator Annual in-house battery storage shipment capacity / Target 200+MWh / Timing Not disclosed, Indicator Battery storage order backlog / Target More than ¥5 billion / Timing Not disclosed, Indicator Apparel revenue / Target Reduce by 20% annually / Timing Through FY2029.2 |
| Plan assumptions | The global AI server market is expected to grow from approximately $50B in 2025 to approximately $120B in 2028, representing a CAGR of more than 30%. Japan's data center market is expected to grow from approximately ¥1.5 trillion in 2025 to approximately ¥2.5 trillion in 2028. Japan's battery storage market is expected to reach approximately ¥1.5 trillion in 2030, according to NEDO forecasts. AI-related investment in Japan is expected to total approximately ¥1 trillion annually across the public and private sectors. The figures in the materials are based on assumptions that the company considers reasonable. Specific assumptions for foreign exchange rates and raw material prices are not disclosed. |
| Key initiatives | Secure a long-term contract with MiTAC-SYNNEX and early access to B200 units. Optimize working capital by maintaining inventory turnover of under 45 days., Reduce OpEx (personnel costs) by introducing automated recovery systems for utilization monitoring and failure detection., Transition from sales to a subscription model. Target a GPU rental ARR ratio of more than 40%, contributing to the company-wide recurring revenue target of 60%., Integration of training and inference infrastructure, Liquid cooling with PUE below 1.1, Modular design, SLA guarantees, Long-term contracts, Modular data centers: phased expansion designed to limit initial investment, Strictly manage ROIC (return on invested capital) for each investment project, Balance personnel cost optimization with high availability by automating GPU utilization monitoring and failure detection, Demand-linked procurement, Dynamic pricing, Secure power grid connection rights, Install battery storage facilities, Grid interconnection, Phased closures |
| Size of the Target Market | Global AI server market: approximately $50B in 2025 and approximately $120B in 2028, with a CAGR of more than 30%. Japan's data center market: approximately ¥1.5 trillion in 2025 and approximately ¥2.5 trillion in 2028. Japan's battery storage market: approximately ¥1.5 trillion in 2030, according to NEDO forecasts. AI-related investment in Japan: approximately ¥1 trillion annually across the public and private sectors. |
| Risks identified | GPU supply, including H100, H200 and B200 units, and changes to NVIDIA's allocation policy, Fluctuations in demand in the AI-related market and intensifying competition, Progress of data center construction and delays in obtaining permits and approvals, Fluctuations in electricity market prices related to the battery storage business and changes to national and local government subsidy programs, Fluctuations in exchange rates (USD/JPY and CNY/JPY) and changes in the interest-rate environment, Changes in laws and regulations, natural disasters, infectious diseases and other force majeure events, Large-scale CAPEX, Delays in data center construction, Securing AI infrastructure personnel, Dependence on China for battery cell procurement, Fluctuations in electricity market prices and exchange rates, Intensifying price competition, Competition with major data center operators, Rising electricity costs, Entry by major energy companies |
| Publication date | 17 April 2026 |
Items this document does not state (10)
Net income targetROE targetROIC targetTreasury share acquisition policyCost of capitalSelf-assessment of PBR and share priceTotal investment planResults under the previous planReason for revision or withdrawalDate of board resolution
These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.
The reasons the company gives
The company's own explanation, not something inferred from the numbers.To pursue high growth through a fundamental transformation of its earnings structure. The company expects GPU servers and data centers to drive growth and has stated its policy of making a complete transition to an AI infrastructure company.
How to read this page
This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.
Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.
Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.