IDEC CORPORATION (6652) Stock Price

IDEC operates in six business segments: HMI, Industrial Components, Automation & Sensing, Safety & Explosion-Proof Equipment, and Systems. These operations are conducted through domestic and international subsidiaries and affiliated companies.

The HMI business provides control operation switches, joysticks, indicator lights, and programmable display units. IDEC Sales Support Co., Ltd. and IDEC CORPORATION are key entities in this segment.

The Industrial Components business handles switching power supplies, terminal blocks, control relays/sockets, and circuit protectors. IDEC Sales Support Co., Ltd. and IDEC CORPORATION serve as primary affiliated companies.

The Automation & Sensing business supplies programmable controllers and automatic identification equipment. IDEC ALPS Technologies Co., Ltd. and IDEC AUTO-ID SOLUTIONS Co., Ltd. operate in this field.

The Safety & Explosion-Proof Equipment business manages safety-related equipment and explosion-proof equipment. IDEC Sales Support Co., Ltd. and IDEC CORPORATION are involved in this segment.

The Systems business provides various systems, collaborative robot systems, and solutions. IDEC Factory Solutions Co., Ltd. operates in this area.

IDEC operates as independent regional business units, organizing its manufacturing and sales structure into geographic segments. This approach enables the company to develop strategies tailored to each region and execute operations accordingly.

IDEC is establishing "The IDEC Way" to become a truly global company and continue sustainable growth. This vision is grounded in the founding principle of "management respecting humanity" and is formulated by backcasting from the ideal state in 2050 to establish the 2030 vision. IDEC aims to create an optimal environment for people and machines, and to realize safety, security, and well-being.

IDEC targets net sales of 77 billion yen or more and operating profit margin of 13% or more for the fiscal year ending March 2028. To achieve these targets, IDEC is promoting fundamental structural reform and transforming into a high-profitability global company. Aiming to improve capital efficiency, IDEC has set targets of ROE of 10% or more and ROIC of 7% or more, and is advancing business and facility restructuring along with strategic investments.

Under the new medium-term management plan, IDEC is shifting to a customer-centric business structure by implementing a global matrix management organization. This establishes a two-axis operational framework combining regions with business and functions, enabling swift decision-making and strategy execution. IDEC is adapting to regional market trends while promoting innovation and operational excellence.

IDEC is advancing global optimization and restructuring facilities and operations. In the United States, IDEC and APEM facilities have been consolidated, with a new headquarters established in San Diego. This strengthens planning, development, and production tailored to local needs, reinforcing North American operations. APEM is also consolidating and streamlining production facilities in EMEA and Asia regions to improve production efficiency and profitability.

IDEC is promoting selective focus on the HMI business and control equipment operations. In the HMI business, IDEC and APEM functions are being integrated to increase sales and profitability. In safety-related operations, IDEC is promoting global expansion and strengthening solution business through partnerships. This will realize sustained business growth.

IDEC is advancing the shift to a customer-centric business structure and accelerating expansion of solution business. IDEC proposes custom solutions that address customer challenges and strengthens high-value-added business. In particular, IDEC is offering integrated proposals combining HMI, safety equipment, and software, targeting solution sales to represent 15% or more of total net sales by the fiscal year ending March 2028.