SUIDO KIKO KAISHA,LTD (6403) Stock Price

Suido Kiko is a company primarily engaged in the manufacturing, installation, and sales of water treatment machinery and equipment. The company is a subsidiary of Toray Industries Inc. and operates through five subsidiaries and two affiliated companies. Toray Industries, whose main business includes manufacturing and selling synthetic fibers, plastics, and chemical products, has established a business partnership with Suido Kiko in the water treatment sector.

Suido Kiko's operations are divided into two segments: "Plant Construction" and "O&M" (Operations and Maintenance). The Plant Construction segment manufactures and sells water purification equipment for municipal water supply facilities, water treatment equipment for sewage systems, and water treatment equipment for industrial water and wastewater facilities. This business involves subsidiaries such as Yamada Setsubi Kiko Co., Ltd. and Nishi Nippon Automation Co., Ltd.

The O&M segment provides maintenance, servicing, and operational management for water treatment equipment used in municipal water supply facilities, sewage systems, and industrial water and wastewater facilities. Suido Kino Technos Co., Ltd. plays a key role in this area. Through these operations, Suido Kiko offers a comprehensive range of water treatment services.

Suido Kiko has established a growth strategy with 2030 in view. The company is strengthening its maintenance business for water treatment facility equipment, aiming to derive 60% of operating profit from this segment. The company positions the medium-term management plan period from 2023 to 2025 as a preparation phase for transforming its business structure, while advancing the strengthening of overall management capabilities and integrated competitiveness across the group.

As part of its growth strategy, Suido Kiko is expanding service stations to increase revenue from its maintenance business. The company is also strengthening its response to public-private partnership projects (PPP/PFI, DB/DBO) and expanding participation in related projects. Additionally, the company has identified strengthening manufacturing and development functions, promoting personnel exchange within the group, and advancing M&A and alliances as important initiatives.

Suido Kiko anticipates expansion of infrastructure investment in Japan's water and sewerage sectors and is working to strengthen and expand its business foundation. In particular, as the Ministry of Land, Infrastructure, Transport and Tourism promotes Water PPP and accelerates broader collaboration among water utilities, aging facilities are being consolidated and renewed, creating an expanding market outlook for the company. Through these developments, Suido Kiko is pursuing sustained growth.