INTER ACTION Corporation (7725) Stock Price

Interaction Corporation is a company that develops, manufactures, and sells equipment in the IoT, environmental energy, and Industry 4.0 sectors. The company's flagship products include inspection light source devices for imaging semiconductors and pupil modules with optical characteristics similar to camera modules.

Its primary customers are manufacturers of imaging sensors and camera modules, printing companies, and precision parts manufacturers that are upgrading their equipment and inspection lines. The company's revenue is centered on equipment sales, with design, installation, and maintenance services serving as ongoing revenue streams.

The business is divided into three main segments. In IoT, the company handles inspection light sources for image sensors and pupil modules. In environmental energy, it provides drying and deodorization equipment for printing machines and exhaust gas treatment systems. In Industry 4.0 advancement, it supplies precision vibration isolation equipment, gear testing machines, AI image processing systems, and laser processing machines that support high-precision and automated production environments.

The company has announced a new medium-term management plan for 2026–2030, aiming to enhance corporate value through high-quality growth. Specifically, it has set key performance indicators including "base sales," "gross profit margin," "operating profit per employee," "operating profit growth rate (CAGR)," and "ROE (consolidated)." The company will focus on expanding stable revenue independent of capital expenditures (base sales) and achieving mid-to-long-term growth in operating profit. Currently, approximately 60% of sales depend on inspection equipment for imaging sensors, and reducing this concentration is a critical priority in the plan.

Priority investment areas include inspection light sources and pupil modules for imaging sensors in the IoT domain, precision vibration isolation equipment and AI image processing in the Industry 4.0 domain, and drying, deodorization, and exhaust gas treatment equipment in the environmental energy domain. Leveraging optical and mechanical control as core technologies, the company is differentiating itself not only through standalone equipment but also through services that utilize "measured, collected, and analyzed" data, strengthening both product competitiveness and recurring revenue streams. The company also emphasizes creating co-created value through hub functions that connect technologies and businesses, leveraging "interaction among people, technology, and organization."

For new market development and business expansion, the company is building strategic partnerships and strengthening its customer base, targeting advanced imaging sensor inspection for mobile, automotive, and robotics applications, as well as new applications such as AI-enabled autonomous driving. Through technology development by subsidiaries (Meiritsu Seiki and Tokyo Technical), the company aims to expand market share. Beyond equipment sales, it plans to diversify its revenue model through service income including installation and maintenance, as well as data solution offerings.

For technological innovation, the company prioritizes strengthening its research and development structure and recruiting talent capable of persistent experimentation. To enhance marketing and planning capabilities, the VG Strategy Division will accelerate product commercialization and market entry. In parallel, the company will strengthen its management foundation through clarified cash allocation, enhanced governance, and pursuit of synergies across business units. This approach aims to reduce costs and improve production efficiency while building a resilient business portfolio capable of withstanding uncertain external environments.