Value Creation Process at Toyo Denki Seizo

Core Values and Strengths

Consolidated basis (FY2022)

Output and Outcomes[Group Business Principles]Intellectual capital
Number of patents, etc. held
(Japan and overseas)(Patents, utility models, designs)

Prioritize ethics and contribute to the prosperity of customers andsociety as a whole
Encourage creativity and an enterprising spirit to meet thechallenges of the future
Build trust by focusing on quality first255

R&D spending 750million yen

Planning/
development/design

Human capital

Number of employees 1,149(Men: 1,011; Women: 138)

Social and related capital(non-consolidated)

Needs
andissues
identification

Number of customers
394companies
Number of suppliers

655companies

Number of countries supplied

31

Manufacturing capital

After-sales
service[Products and Services][Sustainability]

Transportation Business Segment

Initiative in Products and Services

Electrical equipment for
railway vehicles
Railway power storage
systems
Door operating
equipment for buses

Industry Business Segment

Achievements and reliability in
100 years of business
Tireless challenge to improve
technologies
Full commitment to facing ourcustomers squarely

Procurement

Close networks with suppliers
Development of manufacturing
professionals

ICT Solution Business Segment

Production

Number of manufacturing sites
Japan 5

Automobile testingmachines
Production and processing
equipment drive systems
Power generation andpower supply systems
Car-mounted electricalequipment
Other
Railway station operating
equipment systems
IoT solutions

Overseas 5(affiliates)

Energy consumption 2,255kl

Financial capital
Total assets

49.6billion yen

Shareholders’ equity ratio

49.5%[ Fundamental Policies of the Medium-term Management Plan ](FYE May 2023 through FYE May 2026)

1. Expand new businesses and products
2. Thoroughly improve the earnings structures of existing businesses
3. Improve asset efficiency with an awareness of capital costs
Revitalization and transformation of Toyo Denki

Expand out into the whole world,
including the Chinese and Asianmarkets and the United States, as a
global brand

External Environment
Changes in demographics
Increase in geopolitical risks

9Toyo Denki Seizo Report 2023

Initiative in Production Activitie

Reduction of environmental
footprint through energy saving,
decarbonization, andimprovement of recycling rates
Initiative in Valuing People and Communities

Realizing the happiness ofemployees and their families
Development and production ofgood members of society andcorporate citizens
Contribution to local communities

Sales

Annual capital spending
310million yen
Natural capital

Development of the world’s
railway infrastructure
Development of manufacturing
and infrastructure around the world
Creation of new services throughadvanced telecommunication
technologies

Rising costs of resources and energy
Human rights considerations, human capitalmanagement

Carbon-free business management, arrival of theclosed-loop economy
Acceleration of technical innovations

Our Heart andTechnology for theFuture
Toyo Denki Seizo’s goal

Long-termVisionHelp build social and industrial infrastructure that is considerate of theglobal environment, with a focus on exceptional motor drive technologies

Input (corporate resource)

Toyo Denki Seizo Report 2023

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