GS Yuasa(6284) EV Bet Funded by Lead-Acid Battery Profits

GS Yuasa is a long-established Japanese manufacturer of energy equipment and batteries with a history of over 100 years. It was formed in 2004 through the merger of Japan Storage Battery Co., Ltd. and Yuasa Corporation. The company operates globally with four main business segments:

Automotive Battery Business:

Primarily manufactures lead-acid batteries for automobiles and motorcycles. In addition to its solid foundation in the domestic Japanese market, the company performs strongly in aftermarket sales in ASEAN countries (such as Thailand and Vietnam) and in Europe. This segment serves as a stable cash-generating “anchor” for the company.

Industrial Battery and Power Supply Business:

Provides backup batteries and power supply systems for social infrastructure. With the expansion of data centers, the renewal of aging infrastructure, and increasing demand for grid integration of renewable energy sources (such as solar and wind power), this segment has significant growth potential.

Onboard Lithium-Ion Battery Business:

This is the company’s high-growth business for the future. GS Yuasa has established a deep strategic partnership with Honda and formed a joint venture dedicated to the research, development, and production of high-capacity, high-output lithium-ion batteries for hybrid electric vehicles (HEVs), plug-in hybrid electric vehicles (PHEVs), and battery electric vehicles (BEVs).

Specialty Batteries and Other Businesses:

Leveraging its irreplaceable proprietary technologies, the company supplies specialized batteries for advanced fields such as aviation, aerospace (including the International Space Station and artificial satellites), as well as national defense, including deep-sea, aviation, and defense applications.