OMRON CORPORATION (6645) Stock Price

Market cap
¥982.6B
P/E ratio
32.3x
Omron manufactures industrial automation equipment, healthcare devices, and electronic components, serving businesses and consumers across 130+ countries worldwide.

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Business Overview

Omron operates 154 subsidiaries and 10 affiliated companies globally, manufacturing and selling electrical machinery, electronic equipment, and related products. The company's business spans from industrial control equipment to consumer and public infrastructure systems.

1. **Industrial Automation Business (IAB)**

Omron's control equipment business drives manufacturing automation and contributes to industrial development. Under its proprietary "i-Automation!" concept, the company addresses social challenges through control equipment and aims to improve the well-being of workers.

2. **Healthcare Business (HCB)**

Omron's healthcare division operates in over 130 countries worldwide, offering medical devices including blood pressure monitors, thermometers, and nebulizers. The company also provides remote diagnostic services, enabling physicians to monitor patients and support treatment.

3. **Social Systems Solutions & Services Business (SSB)**

The social systems division supports infrastructure by providing power conditioners for solar power generation, automatic ticket gates, and traffic management systems. The company also delivers comprehensive solutions through software development and maintenance services.

4. **Devices & Module Solutions Business (DMB)**

The electronic components division supplies devices such as relays, switches, and sensors to diverse industries including EV mobility and energy infrastructure. As a core business, it operates globally.

5. **Data Solutions Business (DSB)**

The data solutions division leverages data from Omron's products and services to provide solutions for lifestyle disease prevention, operational efficiency, and greenhouse gas emission reduction. The company addresses diverse customer needs.

Management Policy

Omron has established the long-term vision "Shaping The Future 2030" (SF2030), aiming to realize a sustainable society by 2030. This vision seeks to address social challenges and contribute to societal development through the practice of corporate principles. Omron aims to build a sustainable society together with stakeholders by leveraging sensing and control technology.

SF2030 focuses on three social challenges: achieving carbon neutrality, promoting digitalization, and extending healthy life expectancy. To address these challenges, Omron aims to create social value by utilizing automation technology and customer assets. This contributes to mitigating global warming, bridging the digital divide, and enabling healthy living.

Omron creates social value through four domains. Industrial Automation advances sustainable manufacturing, while Healthcare Solutions focuses on cardiovascular disease prevention. Social Solutions promotes renewable energy adoption, and Device & Module Solutions drives the proliferation of new energy and high-speed communications. These efforts support the realization of a sustainable society.

The medium-term business plan "SF 1st Stage" positioned fiscal years 2022 through 2024 as a period of accelerated growth, targeting value creation through solving social challenges. However, due to changes in the business environment, the plan was revised, designating 2024 through 2025 as a "structural reform period" and executing "NEXT2025." This program aims to revitalize the control equipment business and rebuild the profit base.

Through its data solutions business, Omron supports customers in solving their challenges. Through collaboration with JMDC, Omron is advancing new value provision in healthcare, social solutions, and industrial automation domains. This contributes to disease prevention, operational cost reduction, and carbon neutrality initiatives.

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