Furukawa Electric (5801) Investor presentation summary

Financial performance and targets

• FY25 net sales reached JPY 141.6 billion and operating profit JPY 9.6 billion, both significantly exceeding initial mid-term targets.

• Revenue from renewable energy projects in FY25 was about double that of FY21, driven by strong demand and successful project execution.

• Vision 2030 targets net sales of JPY 150 billion and operating profit of JPY 30 billion, with profit growth expected in the latter half as offshore wind projects scale up.

• FY26 forecasts anticipate a decline in sales and profit due to fewer large-scale projects, but foundational investments continue for long-term growth.

• Capital investments of JPY 24 billion and R&D spending of JPY 2.3 billion are planned for FY26, focusing on productivity and new technologies.

Strategic initiatives and business growth

• Expanded domestic extra-high voltage underground power cable and renewable energy segments, with large-scale CAPEX at the Chiba plant completed.

• Decided on a JPY 100 billion investment in a new HVDC cable plant, aiming for world-class productivity and quality by 2030.

• Integrated metal wire businesses and transferred equity in overseas operations to optimize the business portfolio and improve capital efficiency.

• Focused on securing orders for offshore wind and data center projects, leveraging proven technology and installation capabilities.

• Promoting DX, talent acquisition, and overseas market expansion to support Vision 2030.

Power cable and HVDC cable business highlights

• Sales in power cable business doubled in target segments from FY21 to FY25, with major projects executed as planned.

• Completed key offshore wind power submarine cable projects, introducing new cable structures and installation methods.

• HVDC cable business progressing with a new plant in Futtsu, Chiba, to manufacture 500kV class cables for cross-regional interconnections.

• Government-backed plans for HVDC interconnections support long-term demand, with overseas expansion under consideration.

• Technology development focuses on floating offshore wind power, dynamic cable systems, and next-generation connection components.