Worth reading
62In 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
12
% (fiscal 2030 adjusted operating margin target: at least 12%)Wording
Conditional
How definitive the wording is.Items stated in the management plan
FormulatedNet Sales-3,864.7pt
基準 5,894.7Target2,030billion / %
Operating profit+0.2%
基準 2,025Target2,030100 million
Operating profit margin+5.0pt
基準 2,025Target2,030％
ROE+5.0pt
基準 2,025Target2,030％
ROIC+5.0pt
基準 2,025Target2,030％
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.
Net income for the current fiscal yearFiscal 2025 actual: ¥407.7 billion → Not disclosed
Only the target level is shown because the current level for comparison was not provided.What happened to the previous planNot disclosed → Fiscal 2021–Fiscal 2025 actual: ¥280 billion in cross-shareholdings sold, ¥1.5 trillion in growth investment, and ¥0.7 trillion in shareholder returns
Investment amount by sectorField Growth Investment / Amount ¥2.0 trillion / Period Covered Fiscal 2026–Fiscal 2030, Field Capital expenditure, M&A and equity investments / Amount ¥1.0 trillion / Period Covered Fiscal 2026–Fiscal 2030
Statements about the use of capital
Payout ratio / DOE policyFor fiscal 2026–fiscal 2030, the company will maintain stable dividends based on adjusted DOE of 3% and target a total payout ratio of 60% or higher.The payout ratio is the proportion of profit paid out as dividends, while DOE is the ratio of dividends to net assets.
Treasury share acquisition policyThe company will conduct flexible share buybacks to increase shareholder returns. Specific details on the acquisition amount and timing were Not disclosed.
Key initiatives
01Investment in priority growth businesses
02Building an organizational framework to realize circular digital engineering
03Strengthening components through frontline knowledge combined with AI and digital technologies
04Maintaining continuous connections with customers and continuously acquiring data
05Creating advanced solutions
06Strengthening existing businesses
07Expanding Global Operations
08Creating solution businesses
09Entering new business areas
10Prioritizing growth investment to expand the earnings base over the medium to long term
11Increasing shareholder returns through flexible share buybacks, based on stable dividends with adjusted DOE of 3% as the standard
12Acquiring and developing talent to drive business transformation
13Developing and appointing management leaders globally
14Cultivating a culture that encourages autonomous challenges and co-creation
Plan assumptionsThe fiscal 2030 foreign exchange assumptions are ¥140/US$, ¥160/euro and ¥19.5/RMB. Market assumptions include an electrification rate rising from 21% in 2024 to 55% in 2050, data center power capacity increasing from 95 GW in fiscal 2025 to 170 GW in fiscal 2030, the smart manufacturing market expanding from ¥40 trillion in fiscal 2024 to ¥114 trillion in fiscal 2035, global defense spending increasing from ¥460 trillion in fiscal 2025 to ¥560 trillion in fiscal 2035, and the space industry market expanding from ¥80 trillion in 2023 to ¥250 trillion in 2035.
Segment targetSegment Infrastructure / Net Sales ¥2.1 trillion / Adjusted operating margin 13％ / ROIC 9％, Segment Social Systems / Net Sales ¥700 billion / Adjusted operating margin 14％ / ROIC 10％, Segment Energy Systems / Net Sales ¥600 billion / Adjusted operating margin 12％ / ROIC 10％, Segment Defense & Space Systems / Net Sales ¥800 billion / Adjusted operating margin 12％ / ROIC 8％, Segment FA system / Net Sales ¥0.9 trillion / Adjusted operating margin 16％+ / ROIC 14％+, Segment Life / Net Sales ¥2.8 trillion / Adjusted operating margin 12％ / ROIC 11％, Segment Building Systems / Net Sales ¥800 billion / Adjusted operating margin 12％ / ROIC 12％, Segment Air Conditioning & Home Appliances / Net Sales ¥2.0 trillion / Adjusted operating margin 12％ / ROIC 11％, Segment Digital Innovation / Net Sales ¥0.4 trillion / Adjusted operating margin 17％ / ROIC 18％, Segment Semiconductor & Device / Net Sales ¥0.4 trillion / Adjusted operating margin 20％ / ROIC 12％, Segment Strengthened businesses related to smart energy and automation / Net Sales ¥3.8 trillion / Adjusted operating margin 15％ / ROIC Not disclosed, Segment Strengthened businesses related to defense and space / Net Sales ¥800 billion / Adjusted operating margin 12％ / ROIC Not disclosed
Non-financial targetsIndicator DX and AX talent / Target value 20,000 people / Timing Fiscal 2030, Indicator Succession candidate readiness ratio for management executives, including overseas site heads / Target value 200％ / Timing Fiscal 2030, Indicator Employee engagement score / Target value At least 70% / Timing Fiscal 2030
Size of the Target MarketElectrification rate: 21% in 2024 and 55% in 2050 (net-zero emissions scenario in the IEA's World Energy Outlook 2025). Data center power capacity: 95 GW in fiscal 2025 and 170 GW in fiscal 2030. Smart manufacturing market size: ¥40 trillion in fiscal 2024 and ¥114 trillion in fiscal 2035. Global defense spending: ¥460 trillion in fiscal 2025 and ¥560 trillion in fiscal 2035 (both figures prepared by the company based on reports from research firms and other sources). Space industry market size: ¥80 trillion in 2023 and ¥250 trillion in 2035 (converted into yen by the company from the WEF report Space: The $1.8 Trillion Opportunity for Global Economic Growth).
Risks identified by the company
Global economic and social conditions, and developments in regulations, tax systems and other laws and regulations
Foreign Exchange Rates
Equity Markets
Funding Environment
Product supply and demand, and the procurement environment for materials and components
Granting and licensing of material patents, and patent-related disputes
Litigation and Other Legal Proceedings
Issues concerning the quality, defects or deficiencies of products and services
Laws, regulations and issues related to the global environment, including climate-related measures
Laws, regulations and issues related to human rights
Rapid technological innovation, and the development, production and timing of market launches for products using new technologies
Business Structure Reform
Information Security
Large-scale natural disasters, including earthquakes, tsunamis, typhoons, volcanic eruptions and fires
Growing geopolitical risks and social, economic and political disruption caused by wars, conflicts and terrorism
Social, economic and political disruption caused by infectious disease outbreaks and other events
Material matters concerning the company's officers, major shareholders and affiliated companies
| Item | Details |
|---|---|
| Plan name | New Medium-Term Management Strategy |
| Plan period | Fiscal 2026–Fiscal 2030 |
| Progress against the plan | Formulated |
| Sales Target | Fiscal 2025 actual: ¥5,894.7 billion → Fiscal 2030 target: revenue CAGR of 3–5% (fiscal 2025–fiscal 2030)（3～5％（CAGR）） |
| Operating profit target | Fiscal 2025 actual: adjusted operating profit of ¥501.2 billion → Fiscal 2030 target: absolute amount of adjusted operating profit Not disclosed |
| Operating profit margin target | Fiscal 2025 actual: adjusted operating margin of 8.5% → Fiscal 2030 target: adjusted operating margin of 12%+ |
| Net income target | Fiscal 2025 actual: ¥407.7 billion → Not disclosed |
| ROE target | Fiscal 2025 actual: 9.7% → Fiscal 2030 target: 12% |
| ROIC target | Fiscal 2025 actual: Infrastructure 11.0%, Social Systems 12.3%, Energy Systems 12.4%, Defense & Space Systems 7.9%, FA Systems 7.4%, Automotive Equipment 8.9%, Building Systems 12.2%, Air Conditioning & Home Appliances 7.1%, Digital Innovation 4.9%, Semiconductor & Device 8.6% → Fiscal 2030 target: Infrastructure 9%, Social Systems 10%, Energy Systems 10%, Defense & Space Systems 8%, FA Systems 14%+, Building Systems 12%, Air Conditioning & Home Appliances 11%, Digital Innovation 18%, Semiconductor & Device 12% |
| Payout ratio / DOE policy | For fiscal 2026–fiscal 2030, the company will maintain stable dividends based on adjusted DOE of 3% and target a total payout ratio of 60% or higher. |
| Treasury share acquisition policy | The company will conduct flexible share buybacks to increase shareholder returns. Specific details on the acquisition amount and timing were Not disclosed. |
| Investment amount by sector | Field Growth Investment / Amount ¥2.0 trillion / Period Covered Fiscal 2026–Fiscal 2030, Field Capital expenditure, M&A and equity investments / Amount ¥1.0 trillion / Period Covered Fiscal 2026–Fiscal 2030 |
| Segment target | Segment Infrastructure / Net Sales ¥2.1 trillion / Adjusted operating margin 13％ / ROIC 9％, Segment Social Systems / Net Sales ¥700 billion / Adjusted operating margin 14％ / ROIC 10％, Segment Energy Systems / Net Sales ¥600 billion / Adjusted operating margin 12％ / ROIC 10％, Segment Defense & Space Systems / Net Sales ¥800 billion / Adjusted operating margin 12％ / ROIC 8％, Segment FA system / Net Sales ¥0.9 trillion / Adjusted operating margin 16％+ / ROIC 14％+, Segment Life / Net Sales ¥2.8 trillion / Adjusted operating margin 12％ / ROIC 11％, Segment Building Systems / Net Sales ¥800 billion / Adjusted operating margin 12％ / ROIC 12％, Segment Air Conditioning & Home Appliances / Net Sales ¥2.0 trillion / Adjusted operating margin 12％ / ROIC 11％, Segment Digital Innovation / Net Sales ¥0.4 trillion / Adjusted operating margin 17％ / ROIC 18％, Segment Semiconductor & Device / Net Sales ¥0.4 trillion / Adjusted operating margin 20％ / ROIC 12％, Segment Strengthened businesses related to smart energy and automation / Net Sales ¥3.8 trillion / Adjusted operating margin 15％ / ROIC Not disclosed, Segment Strengthened businesses related to defense and space / Net Sales ¥800 billion / Adjusted operating margin 12％ / ROIC Not disclosed |
| Non-financial targets | Indicator DX and AX talent / Target value 20,000 people / Timing Fiscal 2030, Indicator Succession candidate readiness ratio for management executives, including overseas site heads / Target value 200％ / Timing Fiscal 2030, Indicator Employee engagement score / Target value At least 70% / Timing Fiscal 2030 |
| Plan assumptions | The fiscal 2030 foreign exchange assumptions are ¥140/US$, ¥160/euro and ¥19.5/RMB. Market assumptions include an electrification rate rising from 21% in 2024 to 55% in 2050, data center power capacity increasing from 95 GW in fiscal 2025 to 170 GW in fiscal 2030, the smart manufacturing market expanding from ¥40 trillion in fiscal 2024 to ¥114 trillion in fiscal 2035, global defense spending increasing from ¥460 trillion in fiscal 2025 to ¥560 trillion in fiscal 2035, and the space industry market expanding from ¥80 trillion in 2023 to ¥250 trillion in 2035. |
| Key initiatives | Investment in priority growth businesses, Building an organizational framework to realize circular digital engineering, Strengthening components through frontline knowledge combined with AI and digital technologies, Maintaining continuous connections with customers and continuously acquiring data, Creating advanced solutions, Strengthening existing businesses, Expanding Global Operations, Creating solution businesses, Entering new business areas, Prioritizing growth investment to expand the earnings base over the medium to long term, Increasing shareholder returns through flexible share buybacks, based on stable dividends with adjusted DOE of 3% as the standard, Acquiring and developing talent to drive business transformation, Developing and appointing management leaders globally, Cultivating a culture that encourages autonomous challenges and co-creation |
| Results under the previous plan | Not disclosed → Fiscal 2021–Fiscal 2025 actual: ¥280 billion in cross-shareholdings sold, ¥1.5 trillion in growth investment, and ¥0.7 trillion in shareholder returns |
| Size of the Target Market | Electrification rate: 21% in 2024 and 55% in 2050 (net-zero emissions scenario in the IEA's World Energy Outlook 2025). Data center power capacity: 95 GW in fiscal 2025 and 170 GW in fiscal 2030. Smart manufacturing market size: ¥40 trillion in fiscal 2024 and ¥114 trillion in fiscal 2035. Global defense spending: ¥460 trillion in fiscal 2025 and ¥560 trillion in fiscal 2035 (both figures prepared by the company based on reports from research firms and other sources). Space industry market size: ¥80 trillion in 2023 and ¥250 trillion in 2035 (converted into yen by the company from the WEF report Space: The $1.8 Trillion Opportunity for Global Economic Growth). |
| Risks identified | Global economic and social conditions, and developments in regulations, tax systems and other laws and regulations, Foreign Exchange Rates, Equity Markets, Funding Environment, Product supply and demand, and the procurement environment for materials and components, Granting and licensing of material patents, and patent-related disputes, Litigation and Other Legal Proceedings, Issues concerning the quality, defects or deficiencies of products and services, Laws, regulations and issues related to the global environment, including climate-related measures, Laws, regulations and issues related to human rights, Rapid technological innovation, and the development, production and timing of market launches for products using new technologies, Business Structure Reform, Information Security, Large-scale natural disasters, including earthquakes, tsunamis, typhoons, volcanic eruptions and fires, Growing geopolitical risks and social, economic and political disruption caused by wars, conflicts and terrorism, Social, economic and political disruption caused by infectious disease outbreaks and other events, Material matters concerning the company's officers, major shareholders and affiliated companies |
| Publication date | 29 May 2026 |
Items this document does not state (5)
Cost of capitalSelf-assessment of PBR and share priceTotal investment 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 prioritize improving profitability and capital efficiency while pursuing stable revenue growth. The company will also transition from a phase of structural reform to one of business model transformation, driving both the creation of solutions leveraging Serendie and the strengthening of components.
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.