Panasonic HVAC & CC announced a target of ¥60 billion in operating profit for fiscal year 2027, nearly double the adjusted operating profit of just over ¥33 billion recorded by its predecessor business in fiscal year 2026. The company will pursue recurring revenue from maintenance, remote monitoring, energy management and engineering services across HVAC and cold-chain equipment.
Panasonic HVAC & CC was formed in April 2026 through the merger of Panasonic’s Heating and Ventilation A/C Company and Cold Chain Solutions Company. It has annual sales of approximately ¥1.3 trillion, employs about 30,000 people globally and generates roughly 70% of its revenue from B2B activities.
Its portfolio covers room and commercial air conditioners, ventilation equipment, air purifiers, heat pump water heaters and air-to-water heat pumps. Cold-chain operations include refrigerated and frozen display cases, commercial kitchen equipment and associated maintenance services, while environmental engineering activities include tunnel ventilation and air purification. CO2 refrigeration units are recording double-digit annual growth, while air-to-water heat pumps and room air conditioners have been identified as further growth areas.
Installed equipment, described internally as Machines In the Field, will form the base of the recurring-revenue model. Services include maintenance, repairs, remote monitoring and engineering support for display cases and freezers through StoreConnect, as well as AI-based energy management for commercial air conditioning through Panasonic HVAC CLOUD. The company also intends to use installed room air conditioners, water heaters, ventilation systems and cold-chain equipment to provide energy-saving recommendations and operational support after the initial hardware sale.
Panasonic HVAC & CC is focusing on a ¥4.1 trillion segment of the ¥29 trillion global market it addresses, prioritising markets with recurring value, demand for specialised functionality and scope for combined air, water and food-related services. “In this newly established company, these two areas account for roughly an even split of revenue, with the non-competitive areas making up about 70% of profits. We will use the non-competitive areas as a foundation for growth while working to expand sales in the competitive areas,” said Eiichi Katayama, Representative Director, Board Member and President of Panasonic HVAC & CC Co., Ltd.
