NPR-RIKEN CORPORATION (6209) Stock Price

Riken NPR is a joint holding company established on October 2, 2023, through the management integration of Riken Corporation and Nippon Piston Ring Co., Ltd. The company is responsible for formulating group-wide management strategies, overseeing management operations, and handling related business functions.

The Riken NPR Group manufactures and sells automotive and industrial machinery components, piping and construction materials, and other products both domestically and internationally. The group consists of 36 consolidated subsidiaries, including Riken NPR, and 6 affiliated companies accounted for using the equity method.

In the automotive and industrial machinery components business, Riken Corporation and Nippon Piston Ring Co., Ltd. handle manufacturing and sales. Products manufactured by Riken Castec and Nippon Piston Ring Fukushima Manufacturing are procured and sold by Riken and Nippon Piston Ring, respectively.

In the piping and construction materials business, Nippon Coupling Co., Ltd. manufactures and sells products, while Riken, Riken Shoji Corporation, and others procure and sell products manufactured by Riken CKJV. This business provides materials necessary for construction and piping applications.

In other business segments, Riken Environmental Systems manufactures and sells anechoic chambers, while Riken Heat Techno and Shinwa Spring provide industrial furnaces and electric heating materials. Additionally, R.K.E. undertakes construction projects and environmental improvement services.

Riken NPR is a joint holding company established in October 2023 through the management integration of Riken Corporation and Nippon Piston Ring Co., Ltd. The company aims to create synergies through this integration and continue efforts toward realizing a sustainable society as its management philosophy.

Riken NPR's growth strategy is based on its first medium-term management plan with fiscal year 2026 as the final year. The plan is built on three pillars: "synergy creation through management integration," "business portfolio reform," and "strengthening sustainability management and building growth foundations." Specific targets for fiscal year 2026 include net sales of 180 billion yen, operating profit margin of 9% or higher, and ROE of 8% or higher.

The company is strengthening profitability in its existing engine-related parts business while advancing expansion and reinforcement of next-generation core businesses. It is also practicing sustainability management and pursuing long-term enhancement of corporate value. These efforts aim to realize a sustainably growing economy and society.

As a financial strategy, the company is making aggressive investments for business portfolio reform and enhancing shareholder returns. Specifically, it is allocating funds to capital expenditures, M&A, and research and development, targeting ROE that exceeds the cost of equity capital. The company is also working to reduce the cost of equity capital through enhanced investor relations activities.

Riken NPR maintains and strengthens its position as a global No. 1 supplier in the piston ring business, focusing on improving engine performance and developing new technologies. It is also expanding new businesses in semiconductors and electronics, using M&A to enhance both the quality and scale of its operations. Through these initiatives, the company aims to increase corporate value.