Management Policy
Management Policy
(1) Management Policy
Since its establishment in 1965, the Group has been committed to its founding spirit of "For People's Precious Lives". The Group strives to accurately identify challenges in healthcare and create value that meaningfully addresses these challenges, thereby realizing its corporate philosophy: "Being a bridge between those who provide and those who seek medical care, and bringing smiles to people by contributing to healthy and fulfilling lives."
Through these corporate activities, the Group's management policy is to operate appropriately and efficiently, generate sound profits, enhance corporate value, and promote the interests and well-being of all stakeholders, including shareholders, patients, healthcare professionals, business partners, and local communities.
(2) Business Environment
Against the backdrop of an aging population and technological advancement, the healthcare system is undergoing accelerated structural reform by leveraging digital solutions. In outpatient care, AI (artificial intelligence) is enhancing medical interviews and diagnosis, while monitoring devices and telemedicine are enabling efficient chronic disease management and prevention of disease progression. In inpatient care, the transition to home healthcare is being promoted while maintaining and improving the quality of medical care, thereby accelerating the structural reform of the entire healthcare delivery system.
In this environment, as digital technology and advanced treatments continue to evolve rapidly, there is an increasing need for multifaceted initiatives, including improving the quality of healthcare and addressing challenges faced by patients and healthcare professionals.
Against this backdrop, the provision of optimal solutions that integrate medical devices with digital technologies is expected to become increasingly important.
(3) Medium-Term Management Strategy
The Group has established its long-term vision of becoming "a solutions company that continuously develops products and services to solve challenges in healthcare settings."
In May 2024, the Group launched its Medium-Term Management Plan 2027 as a phase of structural reform designed to achieve the optimal allocation of management resources required to realize its long-term vision. Under the theme "Transformation and Challenge for Building the Future," the Group is steadily implementing its basic policies and strategic initiatives.
Through these efforts, the Group aims not only to improve short-term profitability but also to enhance corporate value over the medium to long term by responding to evolving social needs, transforming itself into a more resilient company with long-term sustainability, and contributing to the realization of a sustainable society together with its stakeholders.
Basic Policies
1. Reform of the Profit Structure
Improve the Group's earnings structure through a fundamental review based on capital efficiency, while implementing business strategies that respond effectively to domestic and international market conditions to achieve stable and sustainable profitability.
2. Promotion of Globalization
Accelerate global business expansion by strategically allocating management resources, strengthening organizational capabilities, and enhancing the ability to solve customers' challenges in growing overseas markets.
Strategic Initiatives
Based on these basic policies, the Group is promoting the following four strategic initiatives:
1. Strengthening Business Portfolio Management
2. Reinforcing the Management Foundation through Structural Reform
3. Expanding Global Business Profitability
4. Promoting Sustainability Management
(4) Priority Business and Financial Issues
The Group develops, manufactures, and markets products in four core business segments: Infusion & Nutrition, Dialysis, Cardiovascular, and Blood Management & Cell Therapy. Based on the business environment described above and in accordance with its Management Policy and Medium-Term Management Strategy, the Group is addressing the following priority business and financial issues in each business segment.
Infusion & Nutrition
Demand for medical safety and minimally invasive treatment continues to grow, while pressure to reduce medical device costs is increasing following revisions to Japan's medical reimbursement system.
In the infusion field, the Group will leverage strategic alliances to provide comprehensive solutions centered on infusion pumps that contribute to medical DX (Digital Transformation), helping healthcare providers address challenges related to infection control, infusion management, and the prevention of medical accidents.
In the nutrition field, the Group aims to become a total coordinator of nutritional therapy, supporting patients from nutritional management through rehabilitation and recovery, thereby strengthening the trust of healthcare professionals.
The Group will also accelerate investment in the oncology field to expand its market share in Japan and further promote overseas business development, positioning oncology as one of its core global growth businesses.
Dialysis
As comprehensive community healthcare systems continue to evolve and home healthcare becomes increasingly important, the Group aims to provide safe, reliable, and advanced dialysis solutions that improve patients' quality of life (QOL) while enhancing operational efficiency for healthcare professionals.
In Japan, the Group promotes treatment options by offering both hemodialysis and peritoneal dialysis systems while advancing medical DX through dialysis information systems.
Overseas, the Group continues to expand the adoption of Japan's advanced dialysis technologies in China and other Asian countries, where the number of patients with chronic kidney disease continues to increase.
Cardiovascular
As healthcare institutions continue to specialize in response to ongoing reductions in medical reimbursement, the Group seeks to provide optimal solutions in both surgical treatment and emergency and intensive care.
Leveraging its strengths in proprietary products developed and manufactured in-house, together with strategic alliances, the Group aims to provide comprehensive support covering the entire continuum of cardiovascular care—from treatment and postoperative care to disease prevention—thereby achieving sustainable business growth over the medium to long term.
Blood Management & Cell Therapy
In the blood management field, the Group aims to become an indispensable manufacturer supporting every stage of the blood transfusion process, from blood collection to transfusion, through the development, manufacture, and supply of high-quality products.
In the cell therapy field, the Group is developing devices required throughout the entire process from cell collection to administration, with the goal of becoming an innovation management company in the fields of cell therapy and regenerative medicine.
(5) Target Management Indicators
Under its Medium-Term Management Plan 2027, the Group initially set targets of operating profit of 2.5 billion yen and a Return on Invested Capital (ROIC) of 3.5% or higher for the fiscal year ending March 31, 2027.
However, the business environment has become more challenging than originally anticipated due to rising raw material prices, higher logistics and labor costs, and changes in demand, particularly in overseas markets.
In light of these circumstances, the Group has decided to prioritize strengthening its earnings base and implementing structural reforms. Accordingly, it has revised its final-year operating profit target to 1.0 billion yen, while continuing to pursue management that emphasizes capital efficiency.