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Presentation materials for financial results6503Mitsubishi Electric CorporationElectrical Equipment and Precision Instruments

Notice of the Release of Presentation Materials for Mitsubishi Electric IR Day 2026 (Infrastructure Business Area)

Mitsubishi Electric presented a new medium-term business strategy for its Infrastructure Business Area, along with financial targets for revenue and profit margins through fiscal 2030. The company identified data centers, decarbonization, and defense and space as priority areas, and outlined initiatives including collaboration, M&A, and production capacity expansion.

Worth reading
62In focus
Scored from 5 of 6 sections
Direction
Improvement
Direction inferred from the company’s description.
Scale
2.1
¥1 trillion (fiscal 2030 revenue target for the Infrastructure Business Area)
Wording
Conditional
How definitive the wording is.

Contents of this document

Medium-Term Management Plan Presentation8 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥16,400 100 million Infrastructure Business Area, fiscal 2026 forecast
Operating profit¥1,700 100 million adjusted operating profit, Infrastructure Business Area, fiscal 2026 forecast
Operating profit margin10.4%
Full-year earnings forecast
Infrastructure Business Area
Net Sales
16,400 Hundreds of millions of yen
Adjusted operating profit
1,700 Hundreds of millions of yen
Adjusted operating margin
10.4%
Social systems business
Net Sales
6,000 Hundreds of millions of yen
Adjusted operating profit
660 Hundreds of millions of yen
Adjusted operating margin
11.0%
Energy Systems Business
Net Sales
4,800 Hundreds of millions of yen
Adjusted operating profit
480 Hundreds of millions of yen
Adjusted operating margin
10.0%
Defense and Space Systems Business
Net Sales
5,600 Hundreds of millions of yen
Adjusted operating profit
560 Hundreds of millions of yen
Adjusted operating margin
10.0%
What the company explained in this material
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
  • Exchange rate (US dollar)
    FY2025¥151/US$
    Fiscal 2026¥150/US$
    FY2030¥140/US$
  • Exchange rate (euro)
    FY2025¥176/euro
    Fiscal 2026¥175/euro
    FY2030¥160/euro
  • Exchange rate (Chinese yuan)
    FY2025¥21.4/Chinese yuan
    Fiscal 2026¥21.5/Chinese yuan
    FY2030¥19.5/Chinese yuan
New initiatives
  • Create high-efficiency, high-reliability solutions for AI data centers through collaboration with Hon Hai
  • Establish solution demonstration sites in the Yokohama and Boston areas, among others
  • Expand digital services and OT security businesses by leveraging technologies from Serendie and Nozomi
  • Roll out next-generation DC800V-compatible power systems and pursue co-creation with Hon Hai and NVIDIA
  • Increase EML chip production capacity to more than 3 times the fiscal 2025 level by fiscal 2029
  • Jointly develop decarbonization components and collaborate with Holtec, Siemens Energy, Musashi Energy Solutions, and others
  • Begin operations at new power switchgear plants in North America and Japan
  • Enter the overseas geostationary communications satellite market through collaboration with Lockheed Martin
  • Enter new business areas, including unmanned aircraft
Key KPIsA metric the company considers important as a management benchmark.
  • Solution business mix (Social Infrastructure Systems and Energy Systems Businesses)14% (fiscal 2025 actual), 13% (fiscal 2026 forecast), 21% (fiscal 2030 target)
  • Data center business revenue (power systems including UPS)¥86.5 billion (fiscal 2025 actual), ¥100.0 billion (fiscal 2026 forecast), ¥180.0 billion or more (fiscal 2030 target)
  • Decarbonization component business revenue¥23.5 billion (fiscal 2025 actual), ¥35.0 billion (fiscal 2026 forecast), ¥120.0 billion (fiscal 2030 target)
  • Defense systems business revenue (including the solution business)¥310.0 billion (fiscal 2025 actual), ¥450.0 billion (fiscal 2026 forecast), ¥690.0 billion (fiscal 2030 target)
  • Data center-related business revenue¥176.3 billion (fiscal 2025), ¥400.0 billion (fiscal 2030 target)
Segment results
  • Social systems business
    Net Sales¥568.6 billion (fiscal 2025 actual)
    Adjusted operating profit¥68.9 billion (fiscal 2025 actual)
  • Energy Systems Business
    Net Sales¥473.3 billion (fiscal 2025 actual)
    Adjusted operating profit¥45.4 billion (fiscal 2025 actual)
  • Defense and Space Systems Business
    Net Sales¥421.4 billion (fiscal 2025 actual)
    Adjusted operating profit¥42.1 billion (fiscal 2025 actual)
Medium-term management plan targets
Target fiscal yearFY2030
Infrastructure Business Area
Net Sales¥2.1 trillion
Adjusted operating margin13%
ROIC9%
Social systems business
Net Sales¥700 billion
Adjusted operating margin14%
ROIC10%
Energy Systems Business
Net Sales¥600 billion
Adjusted operating margin12%
Defense and Space Systems Business
Net Sales¥800 billion
Adjusted operating margin12%
ROIC8%
Financial targets
FY2025 actual
Infrastructure Business Area
Adjusted operating margin10.7%
ROIC11.0%
Social systems business
Adjusted operating margin12.1%
ROIC12.3%
Energy Systems Business
Adjusted operating margin9.6%
ROIC12.4%
Defense and Space Systems Business
Adjusted operating margin10.0%
ROIC7.9%
FY2030 target
Infrastructure Business Area
Adjusted operating margin13%
ROIC9%
Social systems business
Adjusted operating margin14%
ROIC10%
Energy Systems Business
Adjusted operating margin12%
Defense and Space Systems Business
Adjusted operating margin12%
ROIC8%
Market Size / Share
  • Global defense spending¥460 trillion (fiscal 2025) to ¥560 trillion (fiscal 2035)
  • Data center power capacity95 GW (fiscal 2025, excluding AI) to 170 GW (fiscal 2030, AI)
  • Ethernet optical transceiver and CPO marketCAGR of 27% (2024 to 2030)
  • High-speed EML chip shareMaintain a dominant share
Capital expenditures
¥400 100 million EML chip-related investment approved in fiscal 2025
Contents of this document
ItemDetails
Document typeMedium-Term Management Plan Presentation
Net Sales¥16,400 100 million (Infrastructure Business Area, fiscal 2026 forecast)
Operating profit¥1,700 100 million (adjusted operating profit, Infrastructure Business Area, fiscal 2026 forecast)
Operating profit margin10.4%
Full-year earnings forecastInfrastructure Business Area Net Sales 16,400 Hundreds of millions of yen / Adjusted operating profit 1,700 Hundreds of millions of yen / Adjusted operating margin 10.4% / Social systems business Net Sales 6,000 Hundreds of millions of yen / Adjusted operating profit 660 Hundreds of millions of yen / Adjusted operating margin 11.0% / Energy Systems Business Net Sales 4,800 Hundreds of millions of yen / Adjusted operating profit 480 Hundreds of millions of yen / Adjusted operating margin 10.0% / Defense and Space Systems Business Net Sales 5,600 Hundreds of millions of yen / Adjusted operating profit 560 Hundreds of millions of yen / Adjusted operating margin 10.0%
Segment resultsSegment Social systems business / Net Sales ¥568.6 billion (fiscal 2025 actual) / Adjusted operating profit ¥68.9 billion (fiscal 2025 actual) / Year on year against the same period last year Not disclosed, Segment Energy Systems Business / Net Sales ¥473.3 billion (fiscal 2025 actual) / Adjusted operating profit ¥45.4 billion (fiscal 2025 actual) / Year on year against the same period last year Not disclosed, Segment Defense and Space Systems Business / Net Sales ¥421.4 billion (fiscal 2025 actual) / Adjusted operating profit ¥42.1 billion (fiscal 2025 actual) / Year on year against the same period last year Not disclosed
Key KPIsIndicator Solution business mix (Social Infrastructure Systems and Energy Systems Businesses) / Value 14% (fiscal 2025 actual), 13% (fiscal 2026 forecast), 21% (fiscal 2030 target) / Year on year against the same period last year Not disclosed, Indicator Data center business revenue (power systems including UPS) / Value ¥86.5 billion (fiscal 2025 actual), ¥100.0 billion (fiscal 2026 forecast), ¥180.0 billion or more (fiscal 2030 target) / Year on year against the same period last year Not disclosed, Indicator Decarbonization component business revenue / Value ¥23.5 billion (fiscal 2025 actual), ¥35.0 billion (fiscal 2026 forecast), ¥120.0 billion (fiscal 2030 target) / Year on year against the same period last year Not disclosed, Indicator Defense systems business revenue (including the solution business) / Value ¥310.0 billion (fiscal 2025 actual), ¥450.0 billion (fiscal 2026 forecast), ¥690.0 billion (fiscal 2030 target) / Year on year against the same period last year Not disclosed, Indicator Data center-related business revenue / Value ¥176.3 billion (fiscal 2025), ¥400.0 billion (fiscal 2030 target) / Year on year against the same period last year Not disclosed
Assumptions Underlying the Business OutlookItem Exchange rate (US dollar) / FY2025 ¥151/US$ / Fiscal 2026 ¥150/US$ / FY2030 ¥140/US$, Item Exchange rate (euro) / FY2025 ¥176/euro / Fiscal 2026 ¥175/euro / FY2030 ¥160/euro, Item Exchange rate (Chinese yuan) / FY2025 ¥21.4/Chinese yuan / Fiscal 2026 ¥21.5/Chinese yuan / FY2030 ¥19.5/Chinese yuan
Medium-term management plan targetsTarget fiscal year FY2030 / Infrastructure Business Area Net Sales ¥2.1 trillion / Adjusted operating margin 13% / ROIC 9% / Social systems business Net Sales ¥700 billion / Adjusted operating margin 14% / ROIC 10% / Energy Systems Business Net Sales ¥600 billion / Adjusted operating margin 12% / ROIC Not disclosed / Defense and Space Systems Business Net Sales ¥800 billion / Adjusted operating margin 12% / ROIC 8%
Financial targetsFY2025 actual Infrastructure Business Area Adjusted operating margin 10.7% / ROIC 11.0% / Social systems business Adjusted operating margin 12.1% / ROIC 12.3% / Energy Systems Business Adjusted operating margin 9.6% / ROIC 12.4% / Defense and Space Systems Business Adjusted operating margin 10.0% / ROIC 7.9% / FY2030 target Infrastructure Business Area Adjusted operating margin 13% / ROIC 9% / Social systems business Adjusted operating margin 14% / ROIC 10% / Energy Systems Business Adjusted operating margin 12% / ROIC Not disclosed / Defense and Space Systems Business Adjusted operating margin 12% / ROIC 8%
Capital expenditures¥400 100 million (EML chip-related investment approved in fiscal 2025)
Market Size / ShareItem Global defense spending / Value ¥460 trillion (fiscal 2025) to ¥560 trillion (fiscal 2035), Item Data center power capacity / Value 95 GW (fiscal 2025, excluding AI) to 170 GW (fiscal 2030, AI), Item Ethernet optical transceiver and CPO market / Value CAGR of 27% (2024 to 2030), Item High-speed EML chip share / Value Maintain a dominant share
New initiativesCreate high-efficiency, high-reliability solutions for AI data centers through collaboration with Hon Hai, Establish solution demonstration sites in the Yokohama and Boston areas, among others, Expand digital services and OT security businesses by leveraging technologies from Serendie and Nozomi, Roll out next-generation DC800V-compatible power systems and pursue co-creation with Hon Hai and NVIDIA, Increase EML chip production capacity to more than 3 times the fiscal 2025 level by fiscal 2029, Jointly develop decarbonization components and collaborate with Holtec, Siemens Energy, Musashi Energy Solutions, and others, Begin operations at new power switchgear plants in North America and Japan, Enter the overseas geostationary communications satellite market through collaboration with Lockheed Martin, Enter new business areas, including unmanned aircraft
Items this document does not state (18)
Fiscal Period CoveredOrdinary incomeNet incomeGross Profit MarginSelling, general and administrative expensesResults for the three months of the current quarterProgress against full-year forecastSelf-assessment against the planBreakdown of Factors Affecting the ChangeUnit price and quantity metricsNumber of stores and locationsNumber of employeesRisk amount incorporated into the outlookAnnual DividendPayout ratioAcquisition of treasury sharesOrders received and order backlogKey points of the Q&A

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 create solutions by maximizing company-wide synergies across business areas and business divisions, and to achieve sustainable growth by accelerating M&A and strategic alliances.

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.
Notice of the Release of Presentation Materials for Mitsubishi Electric IR Day 2026 (Infrastructure Business Area) | Mitsubishi Electric Corporation (6503) timely disclosure | Komori