Nikon (7731) Investor presentation summary

Strategic direction and vision

• Transitioning from nurturing new businesses to expanding selected ones, focusing on profitability and cash flow for FY2026-2030.

• Mission centers on unlocking the future with light, aiming to be a key technology solutions provider in a society where humans and machines co-create.

• Emphasis on meeting customer needs, improving cost efficiency, and advancing product precision and resilience.

• Sustainability, talent development, and robust governance are core to long-term value creation.

Business performance review and challenges

• Previous plan saw limited progress in diversifying customers and stabilizing revenue streams, with significant underperformance in FY24-25.

• Profitability was hampered by broad-based semiconductor weakness, losses in digital manufacturing, and reliance on specific customers.

• Resources were spread thin across many initiatives, delaying core business improvements and resulting in missed profitability targets.

Financial targets and capital allocation

• FY2030 targets: revenue of ¥1T, operating profit of ¥80B, ROIC of 7%, and ROE of 10%.

• Plan to allocate 90% of capital to growth investments, with over half directed to focus areas: imaging, metal 3D printers, and precision equipment.

• Maintain a 50%+ shareholders equity ratio and aim for a total shareholder return ratio of 40% or more.