Canon Electronics

Basic Information

Stock Code
7739
Industry
Electrical Equipment
Category Detail
Information & Communication Equipment
Prefecture
Saitama Prefecture
Establishment Year
May 1954
Listing Year
August 1981
Official Website
https://www.canon-elec.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Fujifilm Holdings, Konica Minolta, Riso Kagaku, Katsukawa Electric, Brother Industries, Seiko Epson, Japan Aviation Electronics, Kyocera, Canon, Ricoh, Shin-Etsu Polymer, Canon Marketing Japan

Overview

Canon Electronics is an electrical equipment manufacturer founded in 1954. As a member of the Canon Group, it has earned nationwide recognition for its high-precision electronic devices and IT services as mainstays.

Current Situation

Canon Electronics achieved consolidated sales of 74.6 billion yen and operating profit of 5.6 billion yen in the fiscal year ending December 2020, maintaining a stable revenue base. Its mainstay businesses, document scanners and mobile information terminals, are widely distributed through Canon's domestic and international sales networks and boast strong competitiveness. The company is also expanding into information security and CRM fields, while diversifying through consolidated subsidiaries engaged in IT system development and rocket launch services. Unique work-style reforms at its factories and offices contribute to productivity improvements, and it has continuously received White 500 certification since 2021, promoting health management. Moving forward, it aims for stable growth on two pillars: consigned production of Canon products and strengthening its own IT services, while focusing on space-related technologies to create new markets.

Trivia

Interesting Facts

  • President's initiative removed all chairs from offices to boost productivity
  • Factory has a blue zone that measures loitering speed and sounds alarms
  • Leading shareholder Canon Group involved in Japan's space rocket development
  • Began floppy disk drive production in 1979
  • Debt-free company achieving zero interest-bearing debt through sound management
  • Has numerous consolidated subsidiaries in IT system development
  • Certified as Health Management Excellence Corporation for 4 consecutive years
  • Deeply involved in Japan's small rocket launch project
  • Originally named Chichibu Eikosha at founding
  • TSE Prime-listed company with approximately 5,600 employees
  • Employee stock ownership plan promotes employee loyalty
  • Rumor that even the president's office has no chairs, veracity unknown
  • Develops SI software for diverse industries toward diversification of information equipment
  • Established growth base through production of SLR lens aperture units
  • Stable product distribution volumes through Canon's global sales networks

Hidden Connections

  • Key hub company connecting Canon Group's manufacturing and IT
  • Collaborates with IHI Aerospace on rocket development in space field
  • Close collaboration with Canon Electronics Technology and KCS
  • Major financial institutions like Japan Master Trust Bank and Dai-ichi Life as shareholders
  • Headquartered in Chichibu, practicing close ties with local community and industrial contributions
  • Strengthens cybersecurity through affiliates like Humming Heads
  • Expanding IT services business through multi-industry collaborations
  • Promotes health management as a METI White 500 certified company

Future Outlook

Growth Drivers

  • Technological innovation in Canon Group products and expansion of consignment production
  • Accelerated growth in IT services and information security business
  • New revenue creation through active entry into space business
  • Productivity improvements via work-style reforms and health management promotion
  • Strengthening of Canon brand sales networks domestically and internationally
  • Deepening utilization of AI and IoT technologies in products and services
  • Enhancing environmental load reduction and sustainability measures
  • Expansion of mobile information terminal development for new markets
  • Synergy creation with diverse affiliates
  • Provision of customized products tailored to customer needs

Strategic Goals

  • Expand IT services sales to 30% of consolidated sales
  • Launch commercial small rocket services
  • Continue certification as Health Management Excellence Corporation and improve workplace environment
  • Achieve 30% reduction in supply chain environmental impact
  • Annual introduction of new products and services through technological innovation
  • Strengthen global quality management system
  • Promote diverse talent development and diversity
  • Secure top-class domestic position in space-related business
  • Establish position as strategic key hub within Canon Group
  • Build sustainable trading relationships with high customer satisfaction

Business Segments

Parts Manufacturing for Printers and Copiers

Overview
Main B2B business consignment manufacturing parts for Canon Group's printers and copiers.
Competitiveness
Stable quality through high-precision integrated production system
Customers
  • Canon domestic and international sales companies
  • Copier manufacturers
  • Printer manufacturers
  • Electronics assembly factories
Products
  • Laser scanner units
  • Stepping motors
  • Magnetic heads
  • Plastic lenses

IT Services and System Integration

Overview
Provides customer management systems and industry-specific solutions to support IT transformation.
Competitiveness
Broad industry knowledge and Canon Group collaboration strength
Customers
  • Financial industry
  • Manufacturing industry
  • Distribution industry
  • Local governments and public institutions
  • Service industry
Products
  • CRM systems
  • Industry-specific custom SI
  • Information security solutions
  • Cloud services

Mobile Information Terminal Manufacturing

Overview
Manufactures and provides highly robust mobile terminals for logistics and distribution industries.
Competitiveness
High-durability design and custom customization capabilities
Customers
  • Logistics companies
  • Retailers
  • Manufacturing sites
  • Warehouse management companies
Products
  • Handheld terminal devices
  • Barcode readers
  • Mobile data terminals

Space-Related Technologies and Rocket Development

Overview
Develops and launches small rockets and expands into space-related technologies.
Competitiveness
Advanced technology in next-generation rocket development
Customers
  • Space-related companies
  • Government research institutions
  • Defense-related
  • R&D institutions
Products
  • Small rocket manufacturing
  • Satellite launch services
  • Space equipment development

Consignment Parts Manufacturing

Overview
Manufacturing division that undertakes consignment production of various precision parts.
Competitiveness
Advanced manufacturing technology and stable supply capacity
Customers
  • Electronics manufacturers
  • Precision machinery manufacturers
  • Automotive-related companies
Products
  • Precision metal parts
  • Molded resin parts
  • Magnetic-related parts

Printer-Related Equipment

Overview
Designs and produces equipment for copiers and printers.
Competitiveness
Years of know-how and quality control system
Customers
  • Printing equipment manufacturers
  • Office equipment sales companies
Products
  • Laser scanning devices
  • Cartridge parts

Manufacturing Equipment Maintenance

Overview
Provides maintenance for manufacturing equipment and technical support services.
Competitiveness
High technical expertise and flexible response system
Customers
  • Canon Group
  • Various manufacturing companies
Products
  • Equipment maintenance services
  • Technical consulting

Business Machinery and Equipment Manufacturing

Overview
Manufactures sanitation-related equipment such as business-use food waste processors.
Competitiveness
Development capabilities for environmentally friendly products
Customers
  • Food service industry
  • Hospitals and nursing facilities
Products
  • Food waste processors
  • Sanitation equipment

Software Development Support

Overview
License sales and technical support for IT systems.
Competitiveness
High-quality services by specialized personnel
Customers
  • Software development companies
  • IT companies
Products
  • License sales
  • Technical support services

Management Systems and IT Infrastructure Construction

Overview
Supports construction of customer management and internal IT infrastructure.
Competitiveness
Collaboration strength with Canon Group
Customers
  • Corporate information systems departments
  • Public organizations
Products
  • CRM platform construction
  • Network management

Special Optical Components Manufacturing

Overview
Handles development and manufacturing of optical components for laser equipment.
Competitiveness
Advanced precision molding technology
Customers
  • Optical equipment manufacturers
  • Electronic parts companies
Products
  • Plastic lenses
  • Optical unit parts

Education and Training Services

Overview
Provides technical training and scholarships for employees and partners.
Competitiveness
Practical, work-focused training programs
Customers
  • Students
  • Working professionals
  • Partner universities
Products
  • Scholarship programs
  • Technical training

Competitive Advantage

Strengths

  • Strong support system from the Canon Group
  • Integrated production capabilities for high-precision parts
  • Specialized technology in information security and CRM
  • Risk diversification through diversified business operations
  • High evaluation in health management

Competitive Advantages

  • Technical know-how cultivated over years in consignment manufacturing
  • Close synergy with the Canon Group
  • Active participation in advanced fields like space development
  • Unique productivity improvement measures from offices to factories
  • Diverse IT solutions tailored to customer needs

Threats

  • Intense competition from domestic and international rival manufacturers
  • Speed of technological innovation and associated response costs
  • Market risks and investment recovery uncertainty in new businesses
  • Supply chain risks from international geopolitical changes
  • Expanding threats in the IT security field

Innovations

2024: Successful Launch of Small Rocket for Space

Overview
Successfully launched next-generation small rocket through Space One Co., Ltd.
Impact
Established technical track record for entry into space business

2023: Development of Enhanced Information Security Platform

Overview
Developed advanced security solutions for internal and customer use.
Impact
Contributes to improved customer trust and business expansion

2022: Expansion of IT Services Business

Overview
Expanded orders for CRM systems and industry-specific SI, and enhanced products.
Impact
Contributed to 20% sales growth

2021: Certified as Health Management Excellence Corporation

Overview
Continuously received METI White 500 certification since fiscal 2021.
Impact
Improved employee health awareness and enhanced corporate image

Sustainability

  • Continuous certification as Health Management Excellence Corporation (White 500)
  • Reduction of factory waste and environmental management based on ISO14001
  • Strengthening information security systems and obtaining Privacy Mark
  • Improving workplace environment through enhanced internal communication
  • Active participation in regional safety and environmental conservation activities
  • Promotion of renewable energy adoption