AOI ELECTRONICS CO.,LTD.
6832・Standard Market・Electric Appliances
Business
AOI ELECTRONICS CO., LTD. is an electronic components manufacturer founded in 1969 and headquartered in Takamatsu City, Kagawa Prefecture. Its core businesses are the manufacture and sale of Integrated Circuits (ICs, optical sensors, wafer-level packages, LEDs, etc.) and Functional Components (thermal print heads, various sensors, etc.). Three consolidated subsidiaries (Hicomponents Aomori, Ome Electronics, and Hayama Kogyo) handle the manufacturing processes, while equity-method affiliate Vinex is responsible for the sale of sensor components. Major customers are Nichia Corporation (31.5% of net sales), Mitsumi Electric (15.6%), and Nisshinbo Micro Devices (12.8%), with the top three customers accounting for approximately 60% of net sales. The company is listed on the Standard Market of the Tokyo Stock Exchange.
Business Model
The Group maintains an in-house manufacturing system centered on the Takamatsu Plant, Kannonji Plant, and Taki Office, producing products while outsourcing part of the manufacturing process to consolidated subsidiaries. Sales are centered on direct sales to major customers, with Integrated Circuits accounting for ¥33,874 million (88.4%) and Functional Components accounting for ¥4,445 million (11.6%) of total net sales of ¥38,323 million. Royalty income also contributes to ordinary income, and ¥238 million was recorded in FY2026 (ending March 2026).
Company Strengths
The company's proprietary panel-level package "FOLP (Fan Out Laminate Package)" achieved industry-leading chiplet integration with a 25-micron connection via pitch at the prototype level, and this was presented at international academic conferences. Invited lectures at major international conferences have also been increasing, and the company has entered a concrete business acquisition phase, marked by growing inquiries from global customers and requests for qualification samples.
In the Ministry of Economy, Trade and Industry's NEDO project "SATAS," the company is participating as the only OSAT (Outsourced Semiconductor Assembly and Test) company in a back-end process automation research project led by Intel Corporation. The company is advancing demonstration research on mass-production technology for panel-level chiplet integration, establishing technological differentiation by aiming to apply this technology to mass-production lines.
The Takamatsu Plant and Kannonji Plant have obtained ISO9001 (quality management), ISO14001 (environmental management), and IATF16949 (quality management for the automotive industry) certifications. The quality management system built up over many years underpins continuous business relationships with major customers such as Nichia Corporation and Mitsumi Electric Co., Ltd., and combined sales to the top three customers reached ¥22,972 million in FY2026 (ending March 2026).
ENVALITH's Perspective
Performance Trend
Revenue bottomed out at ¥33,941 million in FY2024 (ended March 2024) and has increased for two consecutive periods since, reaching ¥38,323 million in FY2026 (ending March 2026), putting it on a recovery track, though it still falls short of the peak of ¥43,347 million recorded in FY2022 (ended March 2022). Operating profit turned positive in FY2025 (ended March 2025) at ¥439 million, but declined again to ¥306 million in FY2026 (ending March 2026). Soaring raw material prices (an external factor) and increased R&D expenses squeezed profits. Furthermore, the recording of an impairment loss of ¥252 million caused net profit to fall to ¥70 million (down from ¥178 million in the previous period). Ordinary profit improved substantially to ¥728 million due to a sharp increase in technology royalty income and foreign exchange gains (external factors), but the large swings in non-operating and extraordinary gains/losses make it difficult to grasp the underlying trend.
Growth Strategy
Establishment of mass production for advanced packaging at the Taki Plant in Mie Prefecture, and transformation of the profit structure through a change in depreciation method
The company is actively implementing capital expenditure and R&D investment at its Taki Plant in Mie Prefecture. Capital expenditures on tangible fixed assets in FY2026 (ending March 2026) amounted to ¥11,359 million, with the balance of construction in progress expanding to ¥8,978 million. The company has secured global inquiries, and mass production is key to medium- to long-term earnings.
From FY2027 (ending March 2027), the company will change its depreciation method for tangible fixed assets from the declining-balance method to the straight-line method. This is expected to reduce depreciation expense by ¥1,430 million compared to the previous method, easing downward pressure on profit. The change is expected to alleviate the financial burden during the current phase of upfront investment.
Royalty income surged from ¥22 million in FY2025 (ending March 2025) to ¥238 million in FY2026 (ending March 2026). The company is advancing the establishment of a revenue source outside of manufacturing and sales by licensing its proprietary technologies to external parties, contributing to the stabilization of ordinary income.
Last updated: July 19, 2026