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©2016 Topcon Corporation 32 1. Topcon’s Future Direction 3. The Second Mid-term Business Plan 3-1. Financial Targets 3-2. Growth Strategy Regarding Each Business 2. The First Mid-term Business Plan Review Smart Infrastructure Business Positioning Company Eye Care Business The Second Mid-term Business Plan

The Second Mid-term Business Plan (FY2016 - FY2018) · 2016-05-12 · ©2016 Topcon Corporation 32 1. Topcon’s Future Direction. 3. The Second Mid-term Business Plan . 3-1. Financial

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©2016 Topcon Corporation 32

1. Topcon’s Future Direction

3. The Second Mid-term Business Plan

3-1. Financial Targets

3-2. Growth Strategy Regarding Each Business

2. The First Mid-term Business Plan Review

Smart Infrastructure Business

Positioning Company

Eye Care Business

The Second Mid-term Business Plan

©2016 Topcon Corporation 33

3D Machine Control

Through automation of equipment, construction sites are seeing improved productivity, labor shortage resolution and lowered costs.

3D Machine Control = IT Automated Construction

Automated Construction!

Automobile 100+ Trillion

JPY

Construction 800+ Trillion JPY

Automobile vs. Construction Market Comparison

Not automated, even with 8 TIMES the market size of

the automobile industry.

GNSS

Revolutionary

Business Environment <IT Construction>

©2016 Topcon Corporation 34

Solution Welding unnecessary Pole unnecessary Cable unnecessary

Growing Business <Expansion of IT Construction>

Mastless MC System Traditional Dozer Machine Control System

Mast (Attached

after purchase)

Problem Trouble of welding the pole Breaking of the pole from vibration Damaging of the GPS cable

A Lead in the Market with Advanced Technologies which Competitors do not have

3D-MC MAX

Cables

©2016 Topcon Corporation 35

2008 2012 2018

ICT installation rate -West/Japan/Australia-

未搭載

搭載

2015

Topcon IT Construction Business Sales Transition (world)

Further Expansion of the After Market / OEM

Growing Business <Expansion of IT Construction>

• Leading the market with our advanced technologies

• Obtain the potential market through installation rate improvement

Installed

Uninstalled

©2016 Topcon Corporation 36

IT Agriculture

Global population increase

GNSS

GNSS

Revolutionary

Business Environment <IT Agriculture>

Necessity of Agriculture Industrialization

Decreasing size of farmland per person

Global food crisis

Improving productivity through IT agriculture

Issue

Solution

Global population increase

㎡ 100M

50

60

70

80

1,800

2,000

2,200

2,400

2,600

2,800

1996 2015 2030

Global Population

Arable land per capita

©2016 Topcon Corporation 37

A New Diary Farming Solution by applying our M&A acquired weighing sensors and boom automatic control technology, into our traditional auto

steering technology.

Positioning + Weighing + Machine Control

+ +

M&A 2015/4

M&A 2015/6 M&A 2014/11

Completion of Product Portfolio

Entry to New Fields through M&A (acquire new technology)

New Dairy Farming Solution

Growing Business <Expansion of IT Agriculture>

©2016 Topcon Corporation 38

by using our GPS technology

by using our weighing sensor technology

Planning Seeding Growing Harvesting

Livestock Weighing

Nutrient

Moisture

Feed Mixing

Hay & Forage

Feed Inventory

ERP ERP

Growing Business <Expansion of IT Agriculture>

Entry to New Fields through M&A (Synergy effect: creation of agriculture ERP)

©2016 Topcon Corporation 39

Auto Steering System is … (Automatically controlled wheel) ・Productivity growth ・Labor saving (No need for skilled workers) ・Fertilizer & pesticide reduction

The wheel with electric motor

The Console

GNSS Receiver

Add-on system (Aftermarket) The system attachable to all the existing tractors of any makers

Easy installation Low cost (about 1/10th of a new vehicle)

Regular Wheel

Obtain the After Market through Add-on Auto Steering System

Growing Business <Expansion of IT Agriculture>

©2016 Topcon Corporation 40

2008 2012 2018

-

200

400

600

800

1,000

1,800

2,000

2,200

2,400

2,600

2,800

2005 2010 2015 2020 2023

在庫量(右軸) 生産高(左軸) 消費量(左軸)

出所: FAO(国連食糧農業機構)

Hundred million ton Hundred million ton

• Enormous potential market • Business expansion through

investments on new fields

Cereal production, utilization, and stock

Utilization

Stock

Production

2015

Entry to new fields through M&A

Growing Business <Expansion of IT Agriculture>

Further Expansion of the After Market/OEM

Volume of Inventory Volume of Consumption

Production Output Source: FAO