Hirose Electric

Basic Information

Stock Code
6806
Industry
Electrical Equipment
Category Detail
Semiconductors & Electronic Components
Prefecture
Kanagawa Prefecture
Establishment Year
August 1937
Listing Year
December 1972
Official Website
https://www.hirose.com/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Taihei Densetsu, IDEC, Alps Alpine, Suzuki, SMK, Hosiden, Japan Aviation Electronics, Seiko Giken, Iriso Electronics, Kel, Yamaichi Electronics

Overview

Hirose Electric is a major connector specialist manufacturer founded in 1937, with strengths in production efficiency improvements and global expansion for multi-pole connectors used in electronic equipment.

Current Situation

Hirose Electric recorded consolidated sales of approximately 124.4 billion yen and ordinary profit of approximately 25.6 billion yen for fiscal 2023. Overseas sales account for over 70%, making it a global company. Its flagship multi-pole connectors receive high praise for quality and production efficiency, with the company promoting streamlining through outsourced manufacturing. It has bases in Asia, the Americas, and Europe, with a broad global market presence. In recent years, it has focused on new products for industrial equipment and communication connector development, advancing growth investments such as expanding its Korean factory. Part of its health equipment business was transferred to another company, allowing concentration of resources on core operations. The company is also addressing sustainability through efficient mold technology and assembly automation to reduce environmental impact. Since 2020, it has relocated its head office to Tsuzuki Ward, Yokohama City, accelerating management efficiency and technological innovation. It maintains diverse customers and agents, strengthening ties with electronic equipment manufacturers worldwide.

Trivia

Interesting Facts

  • One of Japan's top veteran connector specialist manufacturers
  • Overseas sales ratio exceeds 70%, with prominent global expansion
  • Transferred health equipment business to another company to focus on core operations
  • High-precision mold technology highly acclaimed in the industry
  • Diverse production bases deployed domestically and internationally
  • Promotes partnerships and collaborations with competitors in the same industry
  • Gaining attention for new communication connectors for industrial equipment
  • Company name derives from founder Hiroshi Hirose
  • Strength in developing production support equipment such as automatic assembly machines

Hidden Connections

  • Main agent Kaga Electronics is a major domestic electronics parts trading company with a broad customer base
  • Shares markets with Iriso Electronics and Japan Aviation Electronics Industry while competing
  • Maintains long-term trading relationships with many major electrical manufacturers worldwide
  • Contributes to local communities through the Hirose Foundation
  • Product brand name 'HRS' derives from the abbreviation for Hirose Electric
  • Approximately 70% of annual sales come from overseas markets
  • Possesses proprietary automatic assembly technology in-house for differentiation from competitors
  • Holds key customers in the automotive and medical equipment sectors in the connector field

Future Outlook

Growth Drivers

  • Growth in the global electronic devices market
  • Increased connector demand from electrification and electronification of automobiles
  • Demand for high-frequency and optical connectors due to faster telecommunications infrastructure
  • Advancement of automatic assembly technology for manufacturing efficiency
  • Aggressive expansion into emerging markets
  • Development of sustainable products to meet stricter environmental regulations
  • Expansion of the medical equipment market
  • New product development through technological innovation

Strategic Goals

  • Achieve 80% overseas sales ratio
  • Expand lineup of next-generation high-function connector products
  • Achieve 30% improvement in production efficiency through automation
  • Reach carbon neutrality by reducing environmental impact
  • Expand market share in new markets (medical, communications)
  • Over 50% of products to obtain sustainability certifications
  • Establish global talent development system
  • Promote digital transformation

Business Segments

Parts Supply to Electronic Device Manufacturers

Overview
Provides a variety of connector products and production support equipment essential for electronic device manufacturing.
Competitiveness
Production efficiency and high-quality management through outsourcing
Customers
  • Smartphone manufacturers
  • PC manufacturers
  • Home appliance manufacturers
  • Telecommunications equipment manufacturers
  • Automotive manufacturers
  • Industrial equipment manufacturers
  • Medical equipment manufacturers
Products
  • Multi-pole connectors
  • High-frequency connectors
  • Optical connectors
  • Micro connectors
  • Automatic assembly machines
  • Jigs
  • Precision molds

Automotive Connector Parts

Overview
Provides highly reliable connector products compatible with the increasing functionality of automobiles.
Competitiveness
Product designs boasting high environmental resistance
Customers
  • Automotive manufacturers
  • Automotive parts suppliers
Products
  • Automotive multi-pole connectors
  • High-frequency and optical connectors

Parts for Industrial and Medical Equipment

Overview
Provides high-reliability connectors specialized for medical devices and industrial machinery.
Competitiveness
Custom designs tailored to specific applications
Customers
  • Industrial equipment manufacturers
  • Medical equipment manufacturers
Products
  • Industrial multi-pole connectors
  • Optical connectors
  • Micro connectors

For Telecommunications and Network Equipment

Overview
Supplies high-performance connectors for signal transmission that support high-speed communications.
Competitiveness
Product lineup compatible with high bandwidth
Customers
  • Telecom carriers
  • Network equipment manufacturers
Products
  • High-frequency connectors
  • Optical connectors
  • Coaxial connectors

Automatic Assembly Equipment and Jigs Provision

Overview
Provides high-precision automated assembly production equipment to improve productivity.
Competitiveness
Design and manufacturing technology for advanced automation equipment
Customers
  • Automotive manufacturing
  • Electronic parts manufacturing
  • Precision machinery manufacturers
Products
  • Automatic assembly machines
  • Custom jigs

Competitive Advantage

Strengths

  • High technological capabilities and product quality
  • Leadership in the multi-pole connector field
  • Global sales and production network
  • Cost efficiency through outsourced production
  • Broad product lineup and customization capabilities
  • Stable financial base
  • Possession of advanced automatic assembly technology
  • Solid subsidiaries in Japan and overseas

Competitive Advantages

  • Connector manufacturing technology adaptable to diverse industries
  • Rapid market response utilizing overseas production bases
  • Continuous investment in new product development and quality improvement
  • Strengths in high-reliability fields such as medical and industrial equipment
  • Long-standing trusted relationships with major electronics parts makers
  • Flexible production lines through collaboration with outsourcing
  • High-precision mold development capabilities leveraging cutting-edge technology
  • Utilization of global talent with multilingual and multicultural capabilities

Threats

  • Intensifying global price competition
  • Risk of alternative products from technological innovations
  • Impact of US-China trade friction and tariffs
  • Fluctuations in raw material prices
  • Political and economic risks in overseas markets
  • Supply chain disruptions from pandemic outbreaks
  • Cost increases from stricter environmental regulations
  • Shortages of manufacturing materials such as semiconductors

Innovations

2020: Strengthening Technology Development through Head Office Relocation

Overview
Relocated head office to Tsuzuki-ku, Yokohama City, Kanagawa Prefecture, consolidating management and technology divisions.
Impact
Improved development efficiency and internal collaboration

2021: New Building Construction at Korean Factory

Overview
Constructed a new building at its Korean production base to enhance production capacity.
Impact
Expansion of overseas production system and cost reduction

2022: Launch of New Communication Connector for Industrial Equipment

Overview
Developed a new adapter enabling efficient power supply for industrial equipment.
Impact
Enhanced competitiveness in the industrial machinery sector

2023: Introduction of Advanced Automation in Automatic Assembly Machines

Overview
Introduced multifunctional automatic assembly machines utilizing AI into production lines.
Impact
Production efficiency improved by over 20%

2024: Adoption of New Materials in High-frequency and Optical Connectors

Overview
Began applying newly developed materials to products to improve signal quality.
Impact
Significant improvement in communication quality

Sustainability

  • Promoting energy-saving in manufacturing processes
  • Active adoption of recycled materials
  • Stricter chemical substance management
  • Development of environmentally friendly products
  • Participation in local environmental conservation activities
  • Enhanced environmental education for employees