Daikin Industries, Ltd. has formulated the Latter-Half Three-Year plan (FY2023-FY2025) for its strategic management plan Fusion 25 with fiscal year 2025 as the final year. Having started in fiscal year 2021, Fusion 25 now marks the mid-year of the five-year plan. Because of the global spread of the COVID-19 pandemic, Fusion 25 started in the midst of unprecedented environmental changes and great uncertainty for the future. Responding to a series of environmental changes that included supply chain problems, acceleration of the movement toward a decarbonized society, the emergence of geopolitical risks, and rising inflation, Daikin achieved results by taking measures one step or half a step ahead of competitors and by leveraging the strengths it has cultivated over many years, such as business localization based on local production for local consumption, a sales network that has expanded worldwide, and the action-taking ability of the organization.
This fiscal term Daikin plans net sales of ¥4.1 trillion and operating profit of ¥400 billion, which are well ahead of its original Fusion 25 midway targets (net sales of ¥3.1 trillion and operating profit of ¥325 billion). Based on the results of the first half of Fusion 25 and changes in the business environment, quantitative targets of ¥4.55 trillion for net sales and ¥500 billion for operating profit (operating profit margin of 11%) have been set in the Latter-Half Three-Year Plan for achievement in fiscal year 2025.
