Di-Nikko Engineering Co.,Ltd.【JP:6635】Stock Price

Dainichi Kogaku Engineering specializes in contract manufacturing of electronic components. Specifically, the company performs electronic component assembly on printed circuit boards and mechanical assembly including assembled boards. Through these services, the company manufactures electronic modules used in final products for automobiles, medical devices, industrial equipment, office equipment, and other sectors.

The company's domestic subsidiaries engage in personnel dispatch services, contract operations, office equipment sales, printed circuit board manufacturing, and parts processing. This enables the company to provide contract manufacturing services across a wide range of product categories and actively pursue new customer acquisition.

Overseas subsidiaries primarily perform electronic component assembly for automotive equipment and consumer electronics. For example, TROIS ELECTRONICS (WUXI) CO., LTD. and Wuxi Rongzhi Electronics Co., Ltd. focus mainly on automotive equipment. Additionally, TROIS (THAILAND) CO., LTD. utilizes related companies in Thailand as contract manufacturing facilities.

Dainichi Kogaku Engineering can provide end-to-end services from pre-production stages through product logistics. This allows the company to participate in proposing optimal circuit designs during the customer's product design phase, procuring components with volume advantages, and manufacturing prototypes.

The company employs a division-of-labor production system in which small-lot, high-value-added products are manufactured domestically and large-lot mass-production items are produced by overseas subsidiaries. This approach enables the company to establish optimal production systems tailored to the products and customers it serves.

Taiheiyo Engineering renewed its management structure in fiscal 2020 and formulated the "DNE WAY Long-Term Management Plan 2030." Under this plan, the company aims to contribute to society through technology and innovation while building trust with stakeholders. In the "Medium-Term Management Plan Phase 2" spanning 2024 to 2026, the company prioritizes improved profitability and capital efficiency, while advancing ESG initiatives and workforce diversity.

The company's growth strategy focuses on improving profitability in existing business areas and building a segment portfolio resilient to external risks. Specifically, it is expanding revenue share in Southeast Asia, healthcare, and semiconductor sectors while pursuing opportunities in aerospace and battery-related equipment. This approach targets the acquisition of high-value-added projects.

The financial strategy emphasizes cost of capital awareness to improve return on invested capital (ROIC). The company strengthens its financial foundation through inventory reduction, debt optimization, and foreign exchange exposure management. These measures support sustainable growth.

To strengthen operational foundations, the company is restructuring human resources management, developing talent, and improving productivity through digital transformation. New training programs and enterprise system implementations enhance organizational efficiency. The company also pursues sustainability improvements through ESG initiatives.

In ESG and SDGs efforts, the company deploys concrete measures across environmental, social, and governance areas. These include greenhouse gas reduction based on carbon neutrality commitments, contributions to local economies, and workforce diversity expansion. These initiatives support the realization of a sustainable society.

For human capital development, the company implements tiered training programs and talent placement considering career paths. It promotes work style reform and health management by expanding no-overtime days and increasing paid leave and parental leave utilization. These efforts enhance employee motivation and productivity.