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Message from the president
Driving Societal Progress and Sustainable Shareholder Value
The operating environment surrounding the Hamamatsu Photonics Group remained supported by corporate investments even as global inflation persisted, allowing the global economy to maintain moderate growth. At the same time, uncertainties continued due to developments related to U.S. reciprocal tariffs, shifts in industrial policies across various countries, and rising geopolitical risks.
Under these conditions, the Group recorded year-on-year sales growth but a decline in profit. Sales increased due to recovering demand, particularly in the Industrial instrument, as well as the addition of newly acquired companies aimed at strengthening our technological capabilities for future growth. However, profit declined mainly because of strategic investments, including acquisitions, new factory construction, and the establishment of new production lines.
There is no doubt that these investments are measures that will strengthen the competitiveness and earning power of the Group over the medium to long term.
Initiatives for Sustainable Growth
Looking ahead, the Semiconductor market is expected to be a key driver of our sales growth. The Group’s strengths align well with the proliferation of generative AI and ongoing semiconductor miniaturization, and we are intensifying product development in this area.
In the Medical-Bio instrument, we will further enhance our offerings of high value-added solutions, supported by advancements in diagnostics, treatment, and drug discovery. We also have high expectations for the quantum and security domains—both markets that are projected to expand and where the high added value of our products has earned strong recognition.
In the Quantum field, for example, the Group was selected as the sole participant in a NEDO (New Energy and Industrial Technology Development Organization) program related to the industrialization of quantum computers, and we are accelerating development aimed at realizing practical quantum computing.
Capital investments related to manufacturing products for these growth markets have largely been completed. Going forward, we will strengthen our marketing activities and shift our focus toward converting these investments into tangible results.
To improve profitability, we will work to enhance cash generation by focusing on price optimization, effective utilization of newly built factories, and operational efficiency through the renewal of our ERP (Enterprise Resource Planning) systems. Furthermore, drawing on insights gained from the rapid business expansion during the pandemic and the subsequent stagnation, we will advance initiatives such as improving supply chain visibility, enhancing demand forecasting, and streamlining indirect operations—all toward building a foundation for sustainable growth.
A key determinant of success in these efforts will be the progress made through our cross-organizational “Yokogushi” activities—collaborative initiatives that span the Group’s business, R&D, manufacturing, procurement, quality, IT, and administrative functions. Extracting challenges, understanding the situation through data, accelerating decision-making, and optimizing resource allocation across the entire Group—accomplishing these through Yokogushi collaboration is, we believe, the most direct path to achieving sustainable growth and restoring profitability in an increasingly uncertain environment.
We are committed to steadily transforming our accumulated investments into meaningful outcomes, contributing to the advancement of society and industry, and delivering sustainable enhancement of shareholder value. We kindly ask our shareholders for their continued support and for their expectations toward the Group’s medium- to long-term growth story and value creation initiatives.
2025 December
Representative Director and President
Chief Executive Officer
Tadashi Maruno
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