IRISO ELECTRONICS CO., LTD.

Business Details

iriso electronics' Japan Segment is the domestic business handled by the Company (parent company), engaged in the manufacture, development, and sale of multi-pole connectors (Board-to-Board Connectors (BtoB Connectors), FPC/FFC Connectors, Interface Connectors) for automotive, digital, and industrial equipment applications. It also functions as a material supply source for overseas production subsidiaries (China, the Philippines, Vietnam), serving as the starting point of the group's overall supply chain. Intersegment internal sales substantially exceed external sales, reflecting the segment's significant role as the group's internal product supply base.

Recent Overview

External sales increased, but segment profit declined significantly year on year

In the nine months ended December 2025 (FY2026, ending March 2026), the Japan Segment's sales to external customers increased to ¥7,419 million (up 12.9% year on year), while intersegment internal sales decreased to ¥22,785 million (down 3.6% year on year). Segment profit declined significantly to ¥1,956 million from ¥3,568 million in the same period of the prior year, apparently due to the impact of rising raw material prices and fluctuations in company-wide expense allocation, which pressured profit. While the mobility market and industrial market performed well across the group as a whole, profitability of the Japan Segment alone declined.

Key Products

Growth Drivers

• Growing demand for movable high-speed transmission BtoB Connectors for the infotainment field
• Expansion of product sales in the powertrain field for xEVs (EV, FCHV, PHV, HEV)
• Sales expansion in the industrial market, centered on the energy management field
• Enhancement of domestic production capacity and productivity through the launch of the new Akita plant
• Cost reduction and profit margin improvement through standardization of equipment and molds and promotion of in-house mold production

Risks

• Risk of sales decline due to sluggish demand in the mobility market (weak sales by Japanese, European, and US automakers and slowing EV growth)
• Risk of rising manufacturing costs due to surging raw material prices
• Risk of global economic downturn stemming from the ripple effects of US tariff policy and its impact on domestic demand
• Risk of delays in the launch of the new Akita plant or cost overruns
• Risk of deteriorating profitability if the declining trend in intersegment internal sales continues