GUNZE LIMITED (3002) Stock Price

Market cap
¥136.4B
P/E ratio
79.7x
Gunze manufactures plastic films, medical materials, and apparel while operating sports clubs and real estate development across multiple countries.

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Market Cap

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PER

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PER.

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PBR

Business Overview

Gunze operates multiple business segments across diverse industries. Below is an overview of its main business operations.

**Functional Solutions Business**

This segment manufactures and sells plastic films and engineering plastics. Domestically, Fukushima Plastics handles manufacturing and processing, while Gunze Packaging Systems manages printing, processing, and sales. Internationally, Gunze Plastics & Engineering Corporation of America handles local manufacturing and sales.

**Medical Business**

Gunze manufactures medical materials, with Gunze Medical handling procurement and sales. Internationally, Gunze Medical Devices (Shenzhen) Co., Ltd. manages manufacturing and sales of medical materials. This segment plays a key role in meeting demand in the healthcare sector.

**Apparel Business**

This segment manufactures and sells clothing products including innerwear and legwear. Manufacturing is outsourced to companies such as Tohoku Gunze, while Gunze Logistics handles distribution processing. Domestically, Jeans Casual Dan sells outerwear, and internationally, Beijing Aimer Gunze Clothing Co., Ltd. handles local procurement and sales.

**Life Create Business**

Gunze Development plans and executes redevelopment projects on former factory sites and manages redevelopment operations. Gunze Green sells landscaping trees, and Gunze Sports operates sports clubs. Additionally, Gunze operates a solar power generation business.

Through these operations, Gunze provides products and services that meet diverse customer needs while pursuing market expansion both domestically and internationally.

Management Policy

Gunze has established a 2030 Vision: "We will contribute to the realization of a sustainable society by creating new value and providing comfort." Under this vision, the company is advancing sustainable management that balances economic and social benefits, using "transformation and challenge" as key concepts. Since fiscal 2022, Gunze has been implementing the medium-term management plan "VISION 2030" to pursue sustained growth.

From fiscal 2025 to 2027, the company will promote "VISION 2030 stage2," aiming to achieve 2030 targets through core business growth and structural reform. In particular, Gunze will pursue aggressive investment in growth businesses and reform of low-profit operations to improve capital efficiency. Additionally, through shareholder return policies and PER improvement initiatives, the company aims to achieve a PBR of 1.0x or higher in the near term.

In the Functional Solutions business, Gunze aims for sustained growth and creation of social value. In the plastic film sector, the company is deploying a circular economy model globally and introducing environmentally responsive new products. In the engineering plastics sector, Gunze is responding to growing demand in medical and semiconductor fields, and has newly established energy as a strategic business unit.

In the Medical business, Gunze aims to grow into a global medical device company through the provision of innovative biomaterials and devices. The company is pursuing market penetration strategies tailored to regional characteristics in Japan, China, Europe, and the United States. In the Middle East, South America, and Asia, Gunze is targeting rapid market entry.

In the Apparel business, to address domestic market contraction and intensifying competition, fiscal 2025 to 2026 is designated as a structural reform period, with initiatives focused on revitalization. The company will concentrate on value-creation categories and strengthen production-logistics reorganization and local production-consumption initiatives. In the real estate sector, Gunze will prioritize investment efficiency and improve low-profit assets. In the sports club sector, the company is working to expand school operations and develop new business formats.

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