Notice of Review of Mid-term Management Plan

FY2025 Full-year Performance Review

FY2025 full-year actuals include sales of 62 billion yen, operating income of 1.47 billion yen, operating profit margin of 2.4%, and net income of -0.2 billion yen. Compared to the same period last year, there was a decline in revenue and profit, pressured by significant reductions in OEM production volumes, increased variable costs, and one-time losses recorded by overseas subsidiaries. While recovery from the COVID-19 pandemic is underway, low production volumes in key OEM customers and rising costs due to inflation have contributed to the deterioration of operating profit.

Revision of Mid-term Management Plan and Future Strategy

The FY2025–2027 mid-term management plan has been revised, setting targets of 65 billion yen in sales and 2.5 billion yen in operating income for FY2027. After the structural reform phase (2025–2027), the company will gradually restore profitability toward an expansion phase and a sustainable growth phase beyond 2030. Key strategies include diversification with OEM partners, expansion across global markets, growth investments in the medical device business, improving breakeven points, strengthening product strategies (ADAS-related, electrification-compatible products), and regional strategic development. Particular focus will be on restructuring earnings in Japan, North America, and China, aiming for an early achievement of an ROE above 8%.