Mid- to Long-term Management Policy

Updated June 26, 2026

Since 2018, Advantest has been setting its mid- to long-term management policy, the “Grand Design,” which defines the commitments and strategies needed for Advantest to fully succeed as a company that embodies its corporate mission and purpose of “Enabling Leading-Edge Technologies.”
Under the 2018 version of the “Grand Design,” Advantest executed two mid-term management plans: the First Mid-term Management Plan (MTP1), and the Second Mid-term Management Plan (MTP2), and achieved market share gains, business expansion, and profitability improvement at a scale and speed that exceeded its original plans.

Then, in 2024, in order to develop further and ensure that Advantest continues to be of greatest value to its customers and society, Advantest refreshed its “Grand Design” to reflect the changes in its management and business structure to date and the latest outlook for the long-term business environment.
Under this refreshed “Grand Design,” Advantest will strive to expand the value it provides to stakeholders and strengthen its business foundation.

“Be the most trusted and valued test solution company in the semiconductor value chain”

By expanding the economic and social benefits it provides, Advantest aims to become the most trusted and valued test solution company in the semiconductor value chain for all its stakeholders.

Semiconductors will be essential for the realization of a sustainable society and the development of various industries. In fact, almost all of Advantest's businesses are related to the realization and diffusion of semiconductors with superior performance. Therefore, Advantest believes that developing business activities based on its purpose and mission, and contributing to the development and diffusion of such semiconductors by utilizing its leading-edge technologies, will continue to directly contribute to a “safer, more secure and more comfortable” society while realizing its own sustainable growth.
Advantest will strive to promote initiatives that lead to a sustainable society while focusing on solving customer issues, including the increasing complexity in semiconductor testing. Through these efforts, Advantest aims to expand the economic and social value it provides to each stakeholder in a multifaceted and well-balanced manner.

Advantest expects the semiconductor test-related market to continue to grow over the medium- to long-term, while allowing for short-term down cycles. In addition, Advantest believes that its business opportunities will expand over the medium- to long-term, not only as the semiconductor market grows, but also as the industry faces the structural challenges of managing the complexity of semiconductors.
Against this industry landscape, Advantest Group has been implementing its three-year Third Mid-term Management Plan (MTP3) since FY2024, which was formulated in accordance with the refreshed “Grand Design.” Advantest believes that the strategic initiatives under MTP3 are, overall, progressing ahead of expectations, led by efforts to deliver “Automation of Test” and to build the industry ecosystem that will serve as its foundation. In FY2026, the final year of MTP3, Advantest will continue to advance various initiatives aimed at enhancing corporate value over the medium- to long-term.

1. Outpace the growth in our core market
In the core market, Advantest expects key growth opportunities to arise from increased semiconductor production volumes, the trend toward higher performance semiconductors, and the increasing complexity of semiconductors going forward. To seize these opportunities, Advantest will create new value that brings “Automation of Test,” or improved efficiency in semiconductor testing, to its customers. These can be achieved not only by improving the performance of individual test solutions, but also through the organic integration of its diverse portfolio of products and solutions, and collaborations with external partners. Through these efforts, Advantest will strive to continue to grow faster than its core market.

2. Expand adjacently / new businesses
As semiconductors continue to become more sophisticated and complex, there is growing demand for more comprehensive and more integrated test solutions. Advantest has been expanding its business into system level test and test peripherals, and will continue to further increase the value it provides to customers. More specifically, Advantest will utilize its installed-base products to promote its field services and Advantest Cloud Solutions™, as well as create business opportunities through applied research and venture activities.

3. Drive operational excellence
Advantest will continue to solve testing issues in the semiconductor industry by utilizing in-house technologies, know-how, and resources on a cross-functional basis. In addition to the above, to become a company that is valuable to all of its stakeholders, Advantest believes that it needs to improve not only the excellence of its products and technologies, but also the efficiency and effectiveness of all of its operations. To this end, Advantest is committed to accelerating internal operations and streamlining resources through DX (digital transformation), building a resilient supply chain, strengthening human capital through recruiting competent talent and expanding employee training, and improving internal productivity through the use of AI and data analytics.

4. Enhance sustainability
Advantest will further strengthen its foundation for enhancing corporate value through proactive and positive measures on sustainability issues such as climate change and human rights, the execution of responsible business activities, including legal compliance and adherence to ethical business practices, and the reinforcement of risk management and enhancement of corporate governance. In doing so, Advantest aims to earn greater trust from its stakeholders. Advantest will also continue to cultivate a common culture and shared values within the company, as these are the starting points for promoting initiatives related to sustainability.

In MTP3, Advantest will strive to enhance its corporate value by increasing sales, improving profitability, and improving capital efficiency through the aforementioned four strategies. Given this framework, the management metrics that are emphasized in MTP3 are sales, operating profit margin, net income, return on invested capital (ROIC), and basic earnings per share (EPS), and Advantest will strive to improve each of these metrics. In order to evaluate the progress of the plan from a medium- to long-term perspective, Advantest uses three-year averages for the following management metrics to smooth out the impact of industry cycles.

Furthermore, in October 2025, Advantest revised all indicators upward from its initial announcement in June 2024, reflecting a stronger-than-expected outlook for AI/HPC semiconductor testing demand and progress in internal strategic initiatives such as market share expansion.