SEIKOH GIKEN Co.,Ltd. (6834) Stock Price

Market cap
¥230.5B
P/E ratio
40.8x
Seiko Giken manufactures precision machinery components and optical products for automotive, electronics, and communication industries worldwide.

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Business Overview

Seiko Giken operates two main business segments: precision machinery and optical products. In the precision machinery segment, the company manufactures and sells precision-molded components, precision molds, and precision metal parts for automotive components, electronic components, and office equipment. These products are developed using advanced precision processing technology and sold both domestically and internationally.

In the optical products segment, Seiko Giken handles optical components and manufacturing equipment used in optical communication systems, as well as optical component shape measurement devices. Specific products include optical connectors, optical connectors with cords, optical attenuators, ferrules, and optical connector polishing machines. These products serve as critical elements in communication infrastructure and are used worldwide.

Seiko Giken's group companies span multiple countries and regions, supporting manufacturing and sales operations globally. For example, SEIKOH GIKEN USA, INC. and SEIKOH GIKEN EUROPE GmbH handle sales in the United States and Europe. The company also maintains manufacturing facilities in China and Thailand, establishing a comprehensive global supply network.

Management Policy

Seiko Giken has established "Master Plan 2022" as its growth strategy to enhance corporate value. This medium-term management plan is a five-year initiative beginning in fiscal 2022, aimed at becoming a company that contributes to solving social challenges. Building on its core competencies in precision machining and optical technologies, the company provides products for growth markets including information and communications, automotive, and medical and biotechnology sectors.

Seiko Giken prioritizes strengthening customer engagement. The company rapidly responds to market changes driven by 5G, AI, and IoT developments, grasps customer needs through communication, and enhances competitiveness. By leveraging trade shows and media to expand customer touchpoints and deepen relationships with existing customers, the company aims to increase transaction share.

The company is accelerating new product and technology development. Leveraging precision machining and optical technologies, it plans to achieve a new product ratio of 30% or higher by the end of fiscal 2026. By accurately identifying market needs and releasing products at optimal timing, the company maximizes its contribution to society. The company also establishes technological superiority through patent acquisition and proprietary know-how protection.

Strengthening manufacturing capabilities is another key strategy. The company improves production efficiency and enhances cost competitiveness through machinery automation and adoption of AI and IoT in production processes. It diversifies its supply chain by utilizing domestic and international production bases. By incorporating technologies from newly consolidated subsidiaries, the company pursues product diversification and quality improvement.

The company is also reinforcing its management foundation. Through sustainability initiatives across environmental, social, and governance dimensions, it seeks sustainable corporate value growth. The company aims to become a company valued by society through greenhouse gas reduction, health and wellness promotion, and governance strengthening. Through these measures, Seiko Giken aspires to be a corporate group contributing to development across diverse industrial sectors.

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