Foster Electric Company, Limited (6794) Stock Price

Foster Electric has three main business segments: the Speaker business, Mobile Audio business, and Other business. These operations are managed by Foster Electric and its affiliated companies.

The Speaker business manufactures and sells automotive speakers, speaker systems, and television speakers. Multiple affiliated companies are involved in this segment, including Foster Electronics Co., Ltd. and Foster Electric (Hong Kong) Ltd.

The Mobile Audio business manufactures and sells headphones, headsets, earphone drivers, and vibration actuators. Key players in this field include Foster Electronics Co., Ltd. and Foster Electric (Vietnam) Co., Ltd.

The Other business includes the manufacture and sale of proximity warning speakers, vehicle emergency notification system speakers, and products under the "Fostex" brand. Foster Business Service Co., Ltd. and Foster Electric (Penang) SDN.BHD. are involved in this segment.

Foster Electric aims to become the world's leading "acoustic" solutions partner as its long-term vision, providing rich and comfortable spaces through acoustic technology. To achieve this goal, the company is pursuing global business expansion and enhanced corporate value while establishing a framework for sustainable growth.

In its medium-term management plan for fiscal years 2025–2027, Foster Electric targets revenue of 150 billion yen, operating profit of 9 billion yen, an operating profit margin of 6.0%, and ROE of 8.0%. To achieve these targets, the company is advancing two growth strategies: "Mobility-Related Business" and "Consumer-Related Business."

In the Mobility-Related Business, Foster Electric aims to increase added value in next-generation in-cabin acoustic spaces, HMI, and in-vehicle and external warning sound applications, while leveraging automotive speaker technology to increase the number of units installed per vehicle. This plan targets revenue growth of 20% or more over the four-year period from the end of fiscal 2023 through fiscal 2027.

In the Consumer-Related Business, the company positions this as the second pillar of growth after mobility-related operations. It will leverage product design capabilities and proprietary technologies to expand high-value-added finished product business. Through the "Beyond2025" project, Foster Electric will build new revenue streams across three domains—"Lifestyle," "Life Solutions," and "Life Enhancement"—to drive growth.

Regarding capital policy, the company will strengthen shareholder returns by raising the dividend payout ratio to 40% beginning in fiscal 2025. The company also sets a dividend on equity (DOE) floor of 2%, aiming for continuous and stable shareholder returns. This targets achievement of a PBR of 1.0 or higher during the medium-term business plan period.

Under the leadership of its board of directors, Foster Electric conducts swift and appropriate decision-making and business execution while strengthening its governance framework to advance global management. This aims to maximize corporate value and shareholder value.