KOKUSAI ELECTRIC compiles its environmental accounts in accordance with the Ministry of the Environment’s Environmental Accounting Guidelines 2005.
The main environmental conservation costs are “business site area costs,” incurred to reduce the environmental impacts arising from business activities; “management activity costs,” incurred for initiatives that indirectly contribute to reducing the environmental impacts associated with business activities; and “R&D costs,” comprising research, development, and design expenses aimed at reducing the environmental impacts of products.
In the current fiscal year, business site area costs increased from the previous fiscal year due to higher equipment maintenance costs and other expenses. R&D costs also increased, driven by greater spending on research, development, and design aimed at reducing the environmental impacts of products and manufacturing processes. As a result, total environmental conservation costs increased significantly from the previous fiscal year.
Investment in environmental conservation also increased considerably in the current fiscal year, due in part to the construction of an industrial water recycling system.
Environmental conservation effects, which include gain on sale of recyclable materials and cost savings resulting from investments in energy-efficient equipment, increased compared with the previous fiscal year.
In light of these results, we will continue working to enhance the effectiveness of our investments.
Applicable period: April 1, 2025 - March 31, 2026
Scope of calculation: KOKUSAI ELECTRIC CORPORATION
Environmental Conservation Costs
Expenses (in ¥1 million)
| Category | Fiscal year | Description | ||
|---|---|---|---|---|
| 2023 | 2024 | 2025 | ||
| Business site area costs | 359.2 | 457.3 | 628.2 | Maintenance costs and depreciation expenses for equipment with reduced environmental impact, etc. |
| Up/downstream costs | 0.0 | 0.0 | 0.0 | Green procurement and recycling expenses |
| Management activity costs | 53.5 | 71.1 | 70.5 | Environmental management labor costs and environmental management system costs |
| R&D costs | 100.5 | 206.3 | 241.1 | R&D and product design costs to mitigate the environmental impacts of products and manufacturing processes |
| Social activity costs | 5.2 | 45.9 | 38.9 | Environmental improvements such as greening and beautification, and public and media relations costs |
| Environmental damage costs | 0.0 | 0.0 | 0.0 | Environmental measures and donation surcharges |
| Total | 518.4 | 780.6 | 978.7 | － |
Investments (in ¥1 million)
| Category | Fiscal year | Description | ||
|---|---|---|---|---|
| 2023 | 2024 | 2025 | ||
| Investments in environmental conservation | 263.5 | 358.3 | 1075.6 | Investments in equipment to directly mitigate environmental impacts, such as energy-efficient equipment |
Environmental Conservation Effects
Economic impact (in ¥1 million)
| Category | Fiscal year | Description | ||
|---|---|---|---|---|
| 2023 | 2024 | 2025 | ||
| Net income | 12.4 | 21.2 | 16.2 | Profit on sales from waste recycling, etc. |
| Cost reduction | 1.7 | 1.8 | 11.7 | Reduction of costs from energy-efficient equipment, etc. |
| Total | 14.1 | 23.0 | 27.9 | － |
