Futaba to Dissolve Loss-Making Korean Subsidiary After Legacy Business Decline

Futaba ( (JP:6986) ) has shared an announcement.

Futaba Corporation has resolved to dissolve its wholly owned Korean subsidiary, Futaba Electronic Components Korea Co., Ltd., which has primarily handled the purchase and sale of electronic equipment products in South Korea. The decision follows a sharp scaling down of sales after the termination of legacy businesses such as fluorescent display tubes and out-cell touch sensors, which has left the unit with declining revenues, shrinking assets and consecutive operating and net losses over the past three fiscal years. The board approved the dissolution on January 23, 2026, with shareholder approval at the subsidiary targeted by the end of March 2026 and liquidation expected to be completed by the end of June 2026, subject to local procedures; Futaba is still assessing the impact on its consolidated results and indicated it will disclose further information if the financial effects prove material.

The most recent analyst rating on (JP:6986) stock is a Hold with a Yen680.00 price target. To see the full list of analyst forecasts on Futaba stock, see the JP:6986 Stock Forecast page.

More about Futaba

Futaba Corporation is an electronics manufacturer listed on the Tokyo Stock Exchange Prime Market, operating through subsidiaries to sell electronic equipment and production equipment products. The group has historically been active in areas such as fluorescent display tubes and touch sensor-related components, with a geographic footprint that includes South Korea through its wholly owned unit Futaba Electronic Components Korea Co., Ltd.

Average Trading Volume: 222,735

Technical Sentiment Signal: Buy

Current Market Cap: Yen27.61B

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