Nakabohtec Corrosion Protecting Co.,Ltd.
1787・Standard Market・Construction
Business
Nakabohtec Corrosion Protecting Co., Ltd. is a corrosion-prevention construction specialist founded in 1951. It provides comprehensive corrosion-protection systems combining three technologies—electrical corrosion protection, coating-based corrosion protection, and painting—for port facilities, underground pipelines, onshore plants, and reinforced concrete structures. Its main customers are public-sector bodies (port, water supply, and road authorities, etc.) and private companies (energy, chemical, electric power, etc.). The company manufactures corrosion-protection materials such as aluminum alloy anodes (ALAP) at its own plant and offers an integrated service spanning survey, design, construction, maintenance, and renewal. Revenue for FY2026 (ending March 2026) was ¥14,903 million, with the port business accounting for 58.8%. Listed on the TSE Standard Market.
Business Model
The majority of revenue is derived from anti-corrosion construction contracting (net sales of completed construction contracts), supplemented by product sales of in-house manufactured anti-corrosion materials and equipment. Approximately 71.6% of construction orders are sole-source (negotiated) contracts, and stable order intake is supported by ongoing customer relationships built on high specialization and track record. By handling everything from inspection to maintenance and renewal in an integrated manner, the company secures repeat demand from existing customers. It maintains a financial structure with zero interest-bearing debt, funding business operations and shareholder returns entirely through internal funds.
Company Strengths
The special-order (tokumei) ratio in construction orders for FY2026 (ending March 2026) remained at a high level of 71.6% (71.8% in the previous fiscal year). Corrosion protection work requires indispensable specialized knowledge and track record in survey, design, construction, and maintenance, and the technology and construction data accumulated since the company's founding in 1951 make it difficult for competitors to enter the market. No single customer accounts for more than 10% of net sales of completed construction, indicating diversified customer base.
As of the end of FY2026 (ending March 2026), interest-bearing debt was zero, and cash and cash equivalents stood at ¥4,840 million (approximately 3.9 months of net sales). Working capital, capital expenditures, and shareholder returns are all funded internally, and the company continues a high level of shareholder returns with a dividend payout ratio of 69.4%. Total net assets were ¥9,365 million, with an equity ratio of approximately 77%, indicating strong financial soundness.
The company can provide optimal solutions for port, underground, on-land, and RC structure environments by combining five technologies: cathodic protection (galvanic anode and impressed current systems), coating-based corrosion protection, painting, electrolytic iron ion supply, and antifouling. It possesses proprietary construction methods (such as the NAKAROD method and RTP method) and in-house manufactured anodes (such as ALAP, MAGNAP, and ZAP), achieving technical differentiation.
ENVALITH's Perspective
Performance Trend
Revenue achieved five consecutive periods of growth, rising from ¥12,910 million in FY2022 (ended March 2022) to ¥14,903 million in FY2026 (ending March 2026). Operating profit, however, declined 10.0% from ¥1,457 million in FY2025 (ended March 2025) — the highest level of the past five periods — to ¥1,311 million in FY2026, with the operating margin falling from 9.9% to 8.8%. The main driver was an increase in labor costs (employee salaries and allowances of ¥975 million, versus ¥843 million in the prior period) amid rising wage levels. Net income rose 13.3% year on year to ¥1,186 million, supported by a gain on sale of investment securities of ¥209 million, but on an underlying basis excluding one-off factors, profit actually declined. For FY2027 (ending March 2027), the company forecasts revenue of ¥15,200 million and net income of ¥923 million, implying a reversion to underlying profit levels once the one-off gain drops out.
Growth Strategy
Building on solid growth in the existing corrosion protection business, the company is cultivating next-generation earnings pillars through new businesses in offshore wind power and bridge RC (reinforced concrete).
The company is maintaining and expanding its order base in the core Ports segment, supported by continued aging-infrastructure countermeasure and renewal investment by government bodies. In FY2026 (ending March 2026), Ports segment net sales declined year-on-year to ¥8,769 million, but the company has explicitly stated its expectation for medium-term growth in the ports field. The FY2027 (ending March 2027) forecast also anticipates steady progress centered on the port business.
Through focused investment in the bridge RC (reinforced concrete) field and the continued emergence of large-scale projects, net sales in the Other segment achieved high growth in FY2026 (ending March 2026), reaching ¥1,976 million (up 30.1% year-on-year). The company is capturing expanding demand related to aging public infrastructure, contributing to a boost in overall company net sales. Although this fell short of the strong level seen in the previous period, large-scale projects have continued to emerge, maintaining the growth trend.
The company continues to prepare for entry into corrosion protection construction for offshore wind power, an area positioned as a focus field under the '23 Medium-Term Management Plan ('23 Chuki Keikaku). It aims to develop new markets by leveraging its specialized corrosion protection technology, but no concrete sales contribution has been disclosed at this stage, and the timing of monetization remains uncertain. The initiative is at the stage of cultivating a future earnings pillar to take root after the medium-term management plan period.
Last updated: July 19, 2026