Autobayng News Team
- Published On Mar 31, 2026 at 04:11 PM IST
The company also said it would aim for an operating profit margin of 10 per cent by 2030 and target business investment of 6.6 trillion yen over the five years until then.“>
Japanese auto parts maker Denso said on Tuesday it was aiming for sales of 8 trillion yen ($50 billion) and a return on equity of 11 per cent by 2030, despite missing a lower ROE target in an earlier plan. The Toyota supplier flagged opportunities and challenges for future growth in a statement, as changes around mobility accelerate in areas such as autonomous driving and software-defined vehicles.
The company also said it would aim for an operating profit margin of 10 per cent by 2030 and target business investment of 6.6 trillion yen over the five years until then.
In its statement, the company said it fell short of the 10 per cent targets for ROE and operating margin in its 2025 plan. It forecast an ROE of 8.1 per cent and an operating margin of 7.2 per cent for fiscal 2026, which begins in April.
Denso made a bid for chipmaker Rohm this month, looking to strengthen its grip on power management chips used in electric vehicles and data centres.
It will target 8 trillion yen or more in investment and shareholder returns over the fiscal years from 2027 to 2031, it added. These include categories such as business investment, dividends of 1 trillion yen and an unspecified amount for strategic investments and share repurchases, with the strategic investments taking priority, CFO Yasushi Matsui said. The company was monitoring risks linked to Iran, estimating that production cuts of about 20,000 cars a month among related firms could translate into 5 to 6 billion yen in lost monthly sales, he added. Denso’s shares ended up 3.0 per cent on the day.
- Published On Mar 31, 2026 at 04:11 PM IST
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