Hitachi to Spend 1.2 T. Yen on R&D over 3 Years

Economy Science Technology

Tokyo, June 4 (Jiji Press)--Major Japanese electronics and machinery maker Hitachi Ltd. <6501> said Tuesday it will spend 1.2 trillion yen on research and development activities over the three years to fiscal 2021, up about 20 pct from the level in fiscal 2016-2018.

The company plans to use up to 2.5 trillion yen for growth investment in fiscal 2019-2021, including business acquisitions, up from 500 billion yen in the previous three years.

"We'll invest intensively in the information technology field to globalize our operations," Hitachi President Toshiaki Higashihara said at a meeting with investors held in Tokyo, explaining its new three-year business program.

He also said Hitachi will promote structural reforms at business divisions with low operating margins, including auto parts, medical equipment and home appliances.

In fiscal 2021, Hitachi aims to generate 2.6 trillion yen in sales at the IT sector, up from 2,121.6 billion yen in fiscal 2018, and 1.7 trillion yen at the energy sector, up sharply from 423.5 billion yen.

[Copyright The Jiji Press, Ltd.]

Jiji Press