The Third Mid-Term Business Plan (FY2019 – FY2022)

We announced the Third Mid-Term Business Plan (FY2019 – FY2021) on April 26, 2019. We have announced to extend the timeline for a year to FY2022, while keeping the financial targets unchanged on May 11, 2021.
⇒ The Third Mid-term Business Plan (April 26, 2019)
⇒ FY2020 Financial Results Presentation Material (May 11, 2021)

Topcon’s future direction

Vision

Expand our businesses and solve the societal challenges within the growing market of Healthcare, Agriculture and Infrastructure.

Long-term Goal

FY2025
Sales of ¥250B and ROE over 15%!

Healthcare

In healthcare, we will address the increase in eye disease resulting from global population aging by enhancing eye screening for early detection of diseases and improving medical efficiency.

Agriculture

In agriculture, we will address food shortages resulting from global population growth by enhancing the automation of farm operations to improve productivity and quality.

Infrastructure

In infrastructure, we will address the shortage of skilled engineers resulting from globally rising infrastructure demands by enhancing the automation of construction process to improve productivity and quality.

Basic policy

Acceleration of growing business

  • Strategy1

    Acceleration of buisiness development in the growing market

  • Strategy 2

    Strengthen profitability of Core Business

  • Strategy 3

    Creation of new potential market

Aim for ROE 15%

Under the main theme of “Acceleration of growing business”, we aim for ROE 15% by executing three strategies: “Acceleration of business development in the growing market”, “Strengthen profitability of Core Business” and “Creation of new potential market”.

Financial targets

The Third Mid-term Business Plan
(unit: million yen)FY2018FY2019FY2021
Net Sales 148,688 154,000 180,000
Operating Income
(Operating Income Ratio)
13,596
(9.1%)
14,500
(9.4%)
20,000
(11.1%)
Ordinary Income 11,497 12,500
Net Income 6,548 8,000
ROE 9.8% 11% 13~15%
Shareholder Return ¥24 ¥28
Payout Ratio 39% 37% Over 35%
Exchange Rate USD
(Average)
¥110.69 ¥110 ¥110
Exchange Rate EUR
(Average)
¥128.43 ¥125 ¥125

Investment plan

We are projecting to allocate management resources as follows.

The Second Mid-term
Business Plan
The Third Mid-term
Business Plan
FY16-18 totalFY19-21 total
CAPEX ¥15.9B ¥20B
Growth Inventments
(M&A, etc.)
¥6.3B ¥40B
R&D ¥37.4B ¥50B

For more details, please refer to the following materials.
At FY2020 Financial Results presentation on May 11, 2021, we have announced to extend the timeline for a year to FY2022, while keeping the financial targets unchanged.
⇒ FY 2020 Financial Results Presentation Material

Previous Mid-Term Business Plan