Medium-term Management Plan
Management Policy
- SHINDEN HIGHTEX aims to be a company where employees can chase their dreams.
- SHINDEN HIGHTEX aims to be a company with brilliant execution engaged in exciting businesses.
Management Philosophy
- SHINDEN HIGHTEX's flexible management structure accelerates decision making based on information literacy enabling it to respond swiftly to changes in the business environment. It works to ensure that it has a solid financial position and management foundation capable of withstanding any economic change.
- Products accepted by the world: SHINDEN HIGHTEX globalizes the products it deals in, mainly in the field of electronics, and it has established a lineup of globally top-rated products.
- SHINDEN HIGHTEX will continue to enhance its sales capabilities and support structure to be a company that can act flexibly.
- SHINDEN HIGHTEX hires and promotes high-quality human resources to build a dynamic company composed of teams of sales, design and engineering professionals.
The Third Mid‑Term Management Plan (From the Fiscal Year Ending March 2027 to the Fiscal Year Ending March 2029)
Chapter 1 : Our Group’s Equity Story
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1-1.Mission and Vision
Based on the trust built through long-standing relationships with customers and suppliers, as well as our procurement and proposal capabilities cultivated since our founding, the Group contributes to solving social issues and creating a sustainable future through electronics-related products and services.
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1-2.Direction of Growth Strategy
Under the Third Mid‑Term Management Plan, we aim to achieve sustainable growth by executing sales strategies by product portfolio and strengthening human resource development through their implementation.
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1-3.Practicing Management with Awareness of the Cost of Capital
In practicing management with an awareness of the cost of capital, we will promote digital transformation and enhance efficiency through the management of indicators such as ROE and CCC (Cash Conversion Cycle), thereby increasing corporate value.
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1-4.Sustainability Initiatives
We promote ESG (Environment, Social, and Governance) management and strive to enhance long-term corporate value.
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1-5.Dividend and Capital Policy
We maintain a basic policy of stable and continuous dividends, providing shareholder returns while emphasizing a balance with corporate growth.
Chapter 2 : Basic Policy of the Third Mid‑Term Management Plan
“Achieving both growth and efficiency toward a business structure resilient to change”
We will evolve our business operations based on the following four pillars:
- Strengthening our business structure to respond swiftly to market changes
- Differentiating through enhanced solution proposals
- Practicing management with an awareness of the cost of capital and enhancing corporate value through ROE-focused decision-making
- Achieving sustainable growth through sustainability initiatives
Chapter 3 : Mid‑Term Management Targets (Consolidated)
| Amounts: million yen | Second Mid‑Term Plan | Third Mid‑Term Plan | CAGR 26/3～29/3 |
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|---|---|---|---|---|---|
| FY26/3 Results | FY27/3 Forecast | → | FY29/3 Target | ||
| Revenue | 42,812 | 50,000 | → | 53,500 | +7.7% |
| Ordinary Income | 523 | 1,200 | → | 1,400 | +38.8% |
| ROE | 4.7% | 10.0% or higher | |||
- *As a reference indicator of growth during this three-year Mid‑Term Plan period, CAGR is shown for each quantitative target.
Chapter 4 : Mid‑Term Sales Strategy
4-1. Semiconductor Products
- Policy
- As our core business since founding, this field forms the earnings foundation leveraging extensive technical expertise and trusted supply chain relationships. With recovery and price increases mainly in memory markets and progress in order acquisition, growth is expected during this Mid‑Term Plan period. Meanwhile, to address market volatility risks, we will strengthen resilience and competitiveness by expanding high value-added products, responding to edge AI market trends, and reinforcing foundry partnerships.
- Product Categories
- Memory, Memory Modules, SSDs, ASSP/ASICs, CPU/GPU, LEDs, Foundry services, Power semiconductors
- Markets
- Automotive equipment, office equipment, industrial equipment, mobile devices, smartphones, servers, etc.
- Strategy
- Expansion of high value-added memory/storage, market-responsive measures for edge AI, strengthening foundry collaboration.
Sales Targets
| Amounts: million yen | Second Mid‑Term Plan | Third Mid‑Term Plan | CAGR 26/3～29/3 |
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|---|---|---|---|---|---|
| FY26/3 Results | FY27/3 Forecast | → | FY29/3 Target | ||
| Revenue | 26,103 | 30,600 | → | 31,500 | +6.5% |
4-2. Display Products
- Policy
- This segment aims to expand both profit amount and margin by operating a dual strategy of commodity and high value‑added products. In commodity businesses, we will expand commercial rights by deepening relationships with major existing customers. For high value‑added businesses, we will address new market needs through proposal capabilities using new products such as OLED panels and customized solutions.
- Product Categories
- LCD modules, OLEDs, touch panels
- Markets
- Automotive, PCs/tablets, industrial, consumer, medical equipment, commercial facilities, etc.
- Strategy
- Strengthening proposal capabilities for high‑resolution and thin displays; expansion into medical and commercial fields.
Sales Targets
| Amounts: million yen | Second Mid‑Term Plan | Third Mid‑Term Plan | CAGR 26/3～29/3 |
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|---|---|---|---|---|---|
| FY26/3 Results | FY27/3 Forecast | → | FY29/3 Target | ||
| Revenue | 7,461 | 6,900 | → | 7,500 | +0.2% |
4-3. System Products
- Policy
- This is a growth field characterized by our capability to deliver total solutions combining hardware, software, and services. By offering product groups aligned with advanced fields such as AI and communications, we build high value‑added business models addressing diverse customer needs in consumer, industrial, educational, and research sectors. Going forward, we will accelerate the shift toward solution-oriented businesses by strengthening EMS capabilities and expanding server equipment sales, while maintaining and improving profitability.
- Product Categories
- Inspection equipment, communication modules, boards, EMS, server equipment, quantum computing-related products
- Markets
- Industrial and consumer equipment, communication devices, educational and research institutions, data centers, etc.
- Strategy
- Expansion of AI servers, strengthening technical solutions in communications, and launching new EMS businesses.
Sales Targets
| Amounts: million yen | Second Mid‑Term Plan | Third Mid‑Term Plan | CAGR 26/3～29/3 |
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|---|---|---|---|---|---|
| FY26/3 Results | FY27/3 Forecast | → | FY29/3 Target | ||
| Revenue | 7,710 | 11,000 | → | 11,000 | +12.6% |
4-4. Battery & Power Equipment
- Policy
- This strategic field addresses growing markets such as renewable energy and power infrastructure. Leveraging core products including lithium-ion secondary batteries, combined with power modules and energy storage solutions, we contribute to solving customer challenges through comprehensive proposals. Going forward, we will enhance expansion into grid power applications to achieve both environmentally focused business growth and improved profitability.
- Product Categories
- Lithium-ion battery systems, power modules, power equipment, grid storage businesses, etc.
- Markets
- Industrial infrastructure, renewable energy, residential/grid storage, agricultural machinery, data centers, IoT devices, and other industrial/consumer equipment
- Strategy
- Strengthening expansion into renewable and grid-related power fields and enhancing total solution proposal capabilities centered on batteries.
Sales Targets
| Amounts: million yen | Second Mid‑Term Plan | Third Mid‑Term Plan | CAGR 26/3～29/3 |
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|---|---|---|---|---|---|
| FY26/3 Results | FY27/3 Forecast | → | FY29/3 Target | ||
| Revenue | 1,254 | 1,100 | → | 3,000 | +33.7% |
4-5. Business Enhancement through Collaboration and Alliances
To realize sustainable growth and a more robust earnings structure, we promote collaboration and alliances based on the following criteria:
- Compatibility with existing businesses
- Creation of technological and sales channel synergies
- Avoidance of fixed asset risks
Through carefully selected partnerships, we will promote mutual use of sales channels, joint development, and technical collaboration to enhance trading company functions and create new value, particularly in growth fields and new business areas.
Chapter 5 : Mid‑Term Management Infrastructure Strategy
5-1. Digital Transformation
We promote the digitalization of internal business processes and strengthen information security infrastructure to improve efficiency and safety. By integrating and utilizing internal data, we evaluate improvements in capital efficiency and aim to create new value through proactive IT initiatives.
- Strengthening the digitalization of internal business processes to improve operational efficiency
- Enhancing information security infrastructure and obtaining certifications
- Establishing systems to evaluate improvements in capital efficiency
- Promoting proactive IT through integration and utilization of internal data
5-2. Human Capital Strategy
Through optimal talent placement, fair evaluation, and the provision of growth opportunities, we continuously develop next-generation executive and management candidates to enhance corporate value.
- 5-2-1. Talent Development
- Accelerating development through optimal placement and on-the-job experience
- Providing staged responsibilities regardless of age or gender to motivated, capable individuals
- Systematic development of next-generation executives and managers
- 5-2-2. Engagement (Evaluation & Compensation)
- Pursuing fair evaluation systems and implementing measures to enhance motivation
- Adopting Restricted Stock (RS) plans RS grants for directors and employees to strengthen commitment to sustainable growth by aligning employee awareness with management policies and enhancing ownership mindset
- 5-2-3. Recruitment Portfolio (Optimizing Age Structure)
- Strengthening skill mix through mid‑career hiring Optimizing age balance and acquiring immediately effective talent
- 5-2-4. Retention and Work Environment
- Continuous review of systems contributing to retention and motivation
- Updating work environment, including work styles and health initiatives
Chapter 6 : Management with Awareness of Cost of Capital - Making “Exceeding the Cost of Capital” the Norm
The Group will further strengthen management with an awareness of the cost of capital as a key means of achieving sustainable growth. By monitoring and improving indicators such as ROE, we enhance capital efficiency and implement initiatives to increase corporate value. Review results will be promptly reflected in IR activities to communicate a transparent and consistent value creation story.
- Generating returns (ROE) exceeding the cost of shareholders’ equity (linked to mid‑term targets)
- Evaluating capital efficiency improvements through digital transformation
- Comparing stock price indicators (PBR, PER, etc.) with industry averages and implementing value enhancement measures
- Conducting regular progress management and reflecting results in IR activities
Numerical Targets
- ROE ≥ 10% on a sustained basis
- PBR ≥ 1.0x
Chapter 7 : Sustainability Initiatives
For our Group’s basic sustainability policy, please refer to our Sustainability Management page.
Chapter 8 : Dividend and Capital Policy
Under management with an awareness of the cost of capital, the Group aims to maximize corporate value and enhance shareholder value by promoting stable dividends and flexible capital policies. Emphasizing balance with growth strategies and financial soundness, we pursue both sustainable growth and shareholder returns.
- While maintaining a basic policy of stable dividends, we flexibly consider share repurchases based on financial condition, progress of growth investments, and capital efficiency improvements
- Aiming to enhance market value and maximize corporate value through maintaining and improving capital efficiency indicators such as ROE and ROIC
- Continuously reviewing dividend and capital policies and ensuring transparent disclosure based on cost-of-capital-conscious management
- Emphasizing dialogue with shareholders and investors and clearly communicating capital policy principles