Worth reading
52Recurring
0–100. This measures how worthwhile something is to read, not how good or bad the company is.Direction
Deterioration
Direction inferred from the company’s description.Scale
5
¥100 millionWording
Avoiding a definitive answer
How definitive the wording is.Items stated in the management plan
FormulatedNet SalesNot disclosed → ¥11,900 million
Operating profitNot disclosed → ¥2,300 million
Only the target level is shown because the current level for comparison was not provided.Statements about the use of capital
Self-assessment of PBR and share priceThe share price declined as business performance deteriorated, causing free-float market capitalization to fall below the criteria. Free-float market capitalization was ¥9.5 billion, and the average of the daily closing prices used in the calculation was ¥184.13.PBR is a measure of how many times the share price is the book value per share.
Key initiatives
01Initiatives to improve revenue
02Pursue the development of new customers.
03Develop ESS and IEM projects.
04Begin transactions with multiple new customers.
05Increase the number of ESS and IEM projects.
06Focus on power tools, e-bikes and electric bicycles.
07Initiatives to improve profitability
08Improve operating rates through higher revenue.
09Improve productivity through a shift from labor to software and equipment.
10Increase production capacity through equipment modifications.
11Level out fixed costs as stable orders begin.
12Increase value added through the assembly of ion-exchange membrane modules.
13Diversify customers and applications to prepare for fluctuations in demand by application.
14Continue to focus on expanding customers and applications for IEM projects.
Plan assumptionsRecovery in EV production in Europe and the United States is expected from 2028 onward., Recovery in demand for EVs in Europe and the United States is expected from the fiscal year ending January 2029., A sharp increase in capital investment in ESS applications for AI data centers, grid power and renewable energy storage is expected., The plan was formulated based on the current corporate structure, with WSK as a consolidated subsidiary and WCP as an equity-method affiliate.
Segment targetSegment Separator business: EV applications / Target In the fiscal year ending January 2029, EV applications are planned to account for approximately half of the mix, on par with ESS and IEM., Segment Separator business and IEM business / Target Add new customers to each of the separator and IEM businesses and budget for them by the fiscal year ending January 2029.
Risks identified by the company
If compliance with the free-float market capitalization criteria cannot be confirmed during the improvement period through the end of January 2027, the company will be designated as a security under supervision (pending confirmation).
If compliance is not confirmed in a subsequent review by the Tokyo Stock Exchange, the company will be designated as a security to be delisted and delisted on 1 August 2027.
Dependence on a single major battery manufacturer as a sales destination
Concentration of product applications in EVs
Global weakness in EV demand
Reason for revision or withdrawal
The decline in global EV demand since 2024 caused a sharp decline in revenue and deterioration in business performance, which in turn led to a decline in the share price and caused free-float market capitalization to fall below the criteria. The company plans to diversify its product applications and sales destinations, increase revenue, restore business performance and achieve compliance with the free-float market capitalization criteria.
| Item | Details |
|---|---|
| Plan name | Plan for Compliance with the Prime Market Listing Maintenance Criteria |
| Plan period | Fiscal years ending January 2027 to January 2029 |
| Progress against the plan | Formulated |
| Sales Target | Not disclosed → ¥11,900 million |
| Operating profit target | Not disclosed → ¥2,300 million |
| Self-assessment of PBR and share price | The share price declined as business performance deteriorated, causing free-float market capitalization to fall below the criteria. Free-float market capitalization was ¥9.5 billion, and the average of the daily closing prices used in the calculation was ¥184.13. |
| Segment target | Segment Separator business: EV applications / Target In the fiscal year ending January 2029, EV applications are planned to account for approximately half of the mix, on par with ESS and IEM., Segment Separator business and IEM business / Target Add new customers to each of the separator and IEM businesses and budget for them by the fiscal year ending January 2029. |
| Plan assumptions | Recovery in EV production in Europe and the United States is expected from 2028 onward., Recovery in demand for EVs in Europe and the United States is expected from the fiscal year ending January 2029., A sharp increase in capital investment in ESS applications for AI data centers, grid power and renewable energy storage is expected., The plan was formulated based on the current corporate structure, with WSK as a consolidated subsidiary and WCP as an equity-method affiliate. |
| Key initiatives | Initiatives to improve revenue, Pursue the development of new customers., Develop ESS and IEM projects., Begin transactions with multiple new customers., Increase the number of ESS and IEM projects., Focus on power tools, e-bikes and electric bicycles., Initiatives to improve profitability, Improve operating rates through higher revenue., Improve productivity through a shift from labor to software and equipment., Increase production capacity through equipment modifications., Level out fixed costs as stable orders begin., Increase value added through the assembly of ion-exchange membrane modules., Diversify customers and applications to prepare for fluctuations in demand by application., Continue to focus on expanding customers and applications for IEM projects. |
| Reason for revision or withdrawal | The decline in global EV demand since 2024 caused a sharp decline in revenue and deterioration in business performance, which in turn led to a decline in the share price and caused free-float market capitalization to fall below the criteria. The company plans to diversify its product applications and sales destinations, increase revenue, restore business performance and achieve compliance with the free-float market capitalization criteria. |
| Risks identified | If compliance with the free-float market capitalization criteria cannot be confirmed during the improvement period through the end of January 2027, the company will be designated as a security under supervision (pending confirmation)., If compliance is not confirmed in a subsequent review by the Tokyo Stock Exchange, the company will be designated as a security to be delisted and delisted on 1 August 2027., Dependence on a single major battery manufacturer as a sales destination, Concentration of product applications in EVs, Global weakness in EV demand |
| Publication date | 10 April 2026 |
Items this document does not state (13)
Operating profit margin targetNet income targetROE targetROIC targetPayout ratio / DOE policyTreasury share acquisition policyCost of capitalTotal investment planInvestment amount by sectorNon-financial targetsResults under the previous planSize of the Target MarketDate 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.The company explained that its free-float market capitalization fell below the criteria because the global downturn in EV demand since 2024 caused a sharp decline in revenue and deterioration in business performance, which in turn led to a decline in the share price. It also identified its dependence on a single major battery manufacturer as a sales destination and the concentration of product applications in EVs as issues to be addressed.
How to read this page
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Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.