Medium-Term Management Plan – Rolling Plan
Aiming for further growth and greater corporate value
On May 14, 2025, we announced our three-year medium-term management plan, Rolling Plan FY2025–FY2027, based on our long-term management plan, VISION 30. Building on our core strengths developed over the years, this plan seeks to drive further growth and enhance corporate value.
Past Progress, New Challenges
Following our FY2015–2020 medium-term management plan, Arch 2020, we have been implementing our long-term management plan, VISION 30, since FY2021. During this period, we have maintained steady growth in business performance, with revenue growing at an average annual rate of 9.2% between FY2015 and FY2024. Annually throughout the long-term plan’s execution, we review and update our three-year medium-term management plan to reflect actual performance and evolving business conditions. Our new three-year medium-term management plan, Rolling Plan FY2025 to FY2027, targets the early achievement of our VISION 30 goal of 30 billion yen in revenue within this timeframe, and the development of our next-generation long-term strategy.
Pillars of Our Growth Strategy
Under VISION 30, we pursue sustainable growth built on the following three strategic pillars:
(1) Human capital strategy
We embrace diversity and strive for a workplace where employees can work comfortably, enthusiastically, and meaningfully. Specifically, we will introduce flexible hiring, modernize our HR system, improve employee benefits, and promote work style reform.
(2) Market strategy
Domestic market
Driven by the robust performance of our core crusher business, we continue to achieve record sales and operating profit. As a leading company in Japan’s demolition attachment industry, we are pursuing further growth by leveraging our integrated business strengths in development, manufacturing, sales, and repair, while enhancing our sales framework, expanding production capacity, and improving productivity.
Overseas market
By responding flexibly to current uncertainties such as tariffs and foreign exchange fluctuations, and strategically deploying human resources and products in the U.S., Europe, and Asia, we will strengthen our value chain and promote market development.
(3) Reinforcement of management foundation
We will build a management structure that enables sustainable growth and enhances corporate value through increased market capitalization. We also aim to strengthen the management foundation that supports sustainable growth through business reforms, including the development of systems and DX infrastructure.
Financial Goals and Shareholder Returns
We aim to achieve net sales of 32 billion yen, operating profit of 3.2 billion yen, and ROE of 10.7% in fiscal 2027, the final year of our three-year medium-term management plan. Going forward, we will secure stable operating cash flow by optimizing inventory levels and allocate it to shareholder returns, capital investment, M&A, and debt repayment. Regarding shareholder returns and dividend policy, based on stable business growth, we aim to achieve (1) progressive dividends and (2) a dividend payout ratio of 30% or more.
Outlook for the Future
We aim to achieve further growth and increase corporate value through our medium-term management plan, Rolling Plan FY2025–FY2027. Additionally, we will continue to take on challenges amid a rapidly changing market environment, and aim to develop as a company that can contribute to society.
Long-Term Vision, VISION 30
In May 2021, we unveiled our long-term vision, VISION 30. This vision defines our aspirations for 2030 and outlines our long-term management plan. Additionally, as part of our medium-term management plan, our policy is to review the content annually and create a rolling three-year plan.
In VISION 30, the key word “environment” is emphasized. We take “environment” to mean not only the natural environment but also work environment, employee relationships, and relationships with all stakeholders including customers and partner companies. Through human resource development for creating a better environment, we aim to contribute to both business growth and the realization of an environmentally friendly society.
The specific numerical targets are net sales of 30 billion yen, operating profit of 3 billion yen, and market capitalization of 30 billion yen. To achieve this long-term vision, we are advancing three strategies under our rolling medium-term management plan: human capital strategy, market strategy, and strengthening our management foundation.
In market strategy, we will focus on further strengthening our integrated value chain in the domestic market, and on developing markets overseas, particularly in our three bases: the U.S., Europe and Asia. In the Asian market, we will establish a local subsidiary in Thailand to cultivate the market and develop new products for Asia. In the U.S., we will relocate and expand our Okada America headquarters with the aim of expanding market share. Another key initiative is strengthening our hydraulic breaker line-up in Vietnam.
In strengthening our management base, we are pursuing continuous research and development of new products and services, while actively exploring M&A and capital/business alliances to expand our business domains. As for new business development, we are advancing new demolition methods using new technologies and promoting DX, while also developing and deploying “O-ATTA,” a GPS-equipped attachment operation management system. Going forward, we are looking at developing eco-friendly attachments that address labor shortages, safety, and the environment, as well as demolition methods for high-strength concrete. Okada Aiyon seeks to contribute to society with a long-term perspective, embracing change and constantly pursuing new challenges.
