NSK (6471) Investor presentation summary

Vision and strategic direction

• Aspires to realize "digital ideal motion" and expand beyond bearings into multifaceted solutions and customer-centric proposals.

• Targets a business portfolio shift toward robotics, actuators, and PLM as new revenue pillars by 2036.

• Focuses on integrating rotation, control, and actuation technologies for diversified growth.

• Emphasizes global contribution to safety, smoothness, and environmental protection.

Review of previous management plan (MTP2026)

• Structural reforms progressed as planned, especially in Europe.

• Profitability improved through cost reductions and stable production.

• Sales expansion for electric vehicle products achieved.

• Growth and sales expansion fell short of targets due to market fragmentation and sluggish demand.

• Challenges included price competitiveness and deteriorating profitability in Japan and Europe.

Medium-term management plan 2028 (MTP2028) objectives

• Aims for ROE above 8% by FY2028, with a target of 10% in the longer term.

• Excludes the Steering Business from management targets while seeking strategic partners.

• Focuses on portfolio reform, structural reforms, and expansion in actuators, robotics, and PLM.

• Plans to increase dividend payout ratio to 30–50% and DOE to 3.5% by FY2028.

• Pursues data-driven management and AI utilization to maximize human capital value.