経営方針

長期・中期経営計画

In order to continue to grow sustainably after celebrating our 100th anniversary, our group has established Long-term vision for the future, with 2030 as the target year, based on Management philosophy.

長期ビジョン

制定 2020年4月1日

経営理念に基づき、新明和グループが目指す2030年の姿を表したものです。

To respond to global society needs,
we will be a true value co-creation company that advances 
urban, transportation and environmental infrastructures. 

In the future, we will promote "Long-term vision management" by embodying the vision of our group and backcasting the gap between that vision and the current state in order to realize our "Long-term vision."

Long-term management plan
Sustainable Growth with Vision 2030 ([SG-Vision2030])
-Sustainable growth through value creation-

Basic policy

The vision will be implemented with the following two management themes in parallel, improving corporate value by sustainably creating economic value and social value

  1. 1. "The Long-term business strategies": Lay out a future vision of society in 2030 and formulate and implement business solutions to achieve it
  2. 2. "Strengthening management foundations": Contribute to the SDGs through implementing sustainability management that supports Long-term business strategies

Promotion plan

The SG‐Vision 2030 period (FY2021 to FY2030) will be divided into three, with Medium‐term management plan for each period formulated and promoted, thus aiming to achieve the Long‐term vision and reach the various management indices.

Target management indicators

What we are aiming to be by achieving our targets

Contribute to advancing global social infrastructure
→  Improve both profitability and corporate favorability
Solve/improve key ESG issues
→ Create social/environmental values, contribute to SDGs
Optimize capital formation based on sustainable growth
→ High returns to shareholders and other stakeholders
Foster diverse personnel and establish a workplace environment that makes it rewarding to work
→  Improving employee engagement

Medium-term management plan
[SG-Vision2030] Phase1: [Transformation]: ([SG-2023] *)

  • * "SG" in [SG-2023] refers to the name of the Long-term management plan, "Sustainable Growth," and "2023" refers to the final year of the activity period.

Basic policy

This is positioned as the first step toward achieving Long-term vision, and consists of the following four policies.

1.Continue to implement and reap the benefits of “Measures for expanded scale and increased profit of key businesses” as set out in CFG2020

製品・サービス
  • Focus on developing next-generation products using IoT, AI, etc.
  • Strengthen ability to propose solutions and service systems
  • Make capital investments and develop human resources aimed at streamlining production
Overseas market
  • Expand strategic areas and strengthen sales by segment
  • Scout for local partners and promote collaboration in manufacturing, sales and service
  • Strengthen production capability and cost competitiveness by constructing own plants
M&A, Alliance
  • Promote M&A with companies expected to bring synergy, and strengthen business tie-ups and other alliances

2. Formulate and promote Long-term business strategies based on the Long-term vision

Improving profitability of existing businesses
  • Adding even more value to products and services through ICT/digital technology
  • Expanding revenue of domestic businesses through strengthening business tie-ups and M&A
Accelerating expansion of overseas business
  • Strengthening sales links between segments especially in Southeast Asia
  • Expanding orders by strengthening alliances with local businesses and trading companies
Development of new businesses
  • Promoting the proposal and development of new business ideas through in-house co-creation
  • Creation of a new business model through business tie-ups with IT companies, etc.
Optimizing business portfolios
  • Business evaluation using business growth potential (including market growth potential) and ROIC
  • Ensuring ROIC management through setting hurdle rates

3. Strengthening management foundations

E Preventing global warming and contributing to a recycling society
  • Contribute to a recycling society by reducing CO2 emissions through promotion of energy-saving measures and by reducing waste
  • ing and spreading environmentally-friendly products and services
S Promoting diversity and inclusion
  • Studying diversification of HR evaluation methods based on personnel portfolios
  • Fostering innovative personnel who can discover, solve, and implement social issues on their own
G Enhancing corporate governance system
  • Strengthening the supervisory function of Board of Director Meeting by establishing Sustainability Committee *
  • Introduction and operation of succession plan
  • * A function to monitor and report on key ESG issues over the entire company.
Constructing an IT foundation for promoting DX
  • Introducing security against threats such as cyber-terrorism and networks linked to the outside
  • Promoting DX through innovations to core businesses

4. Create future value and share results with stakeholders

  • Transform into a company that sustainably creates future value by enhancing the circulation of profits and assets through practicing ROIC management
  • Share a certain level of profit with stakeholders (dividends)

Targeted management indicators, etc.

Management Indicators Previous Medium-term management plan results (FY2020) [SG-2023] Target (FY2023)
Net Sales 209.2 billion yen 250 billion yen
Operating Profit 10.4 billion yen 15 billion yen
Overseas sales 27.1 billion yen 45 billion yen
ROE 6.4% 10% or more
ROIC 5.1% 7% or more
(Exchange rate: [Actual] 1 dollar = 106.2 yen, [Target value assumption] 1 dollar = 108 yen)
Cash allocation Previous medium-term management plan results
(Cumulative total from 2018 to 2020)
[SG-2023] Target level
(Cumulative total from 2021 to 2023)
Growth investment
(Capital investment/M&A)
26.8 billion yen 30-40 billion yen
Dividend 11.6 billion yen Basically implemented with a dividend payout ratio of 40-50%
Acquisition of treasury shares 45 billion yen Flexibly implemented depending on stock price levels, etc.

Operating policy and performance targets by segment

Segment Management policy
航空機
  • Development of fixed-wing unmanned aerial vehicle (UAV) “XU-S” and planning of new businesses through alliances
  • Launch of PBL (*1) business and development of a successor US-2 search and rescue amphibian

(FY2023 target) Net Sales: 30 billion yen operating profit: 700 million yen

特装車
  • Deepen connection with users through SSC (*2)expansion ➡ Creation of new value
  • Expand sales routes for key components of special purpose trucks in the Asia/Oceania region

(FY2023 target) Sales: 102 billion yen operating profit: 6.9 billion yen

Industrial Machinery& Enviromental Systems(*3)

Mechatronics products: Expand share of secondary battery market in Europe/North America for vacuum products
Envrionmental-related business: Establish brand and expand income for waste water processing business in China

(FY2023 target) Sales: 28 billion yen operating profit: 1.8 billion yen

Fluid (*3)

Use the sales synergy with TurboMAX to expand business overseas

(FY2023 target) Sales: 24 billion yen operating profit: 3.1 billion yen

パーキングシステム

Mechanical car parking systems: Collaboration with G-PARK to expand sales of parking facilities in Southeast Asia
aircraft passenger boarding bridge: Actively proposals for fully automated docking system (major airports in Southeast Asia, Japan)

(FY2023 target) Sales: 47 billion yen operating profit: 3.8 billion yen

  1. *1 Performance Based Logistics: Where a private company (ShinMaywa) undertakes maintenance and servicing of US-2 supply parts and other items normally carried out by the Self-Defense Forces
  2. *2 ShinMaywa Smart Connect: A communication tool for understanding the operational status of special purpose trucks
  3. *3 From the fiscal year ending March 2023, "Fluid", which was included in the "Industrial Machinery & Enviromental systems" segment, will be treated as a separate segment.