Nippon Dry-Chemical CO., LTD.
1909・Standard Market・Machinery
Nihon Dry Chemical Co., Ltd. (Disaster Prevention business, single segment)
A comprehensive disaster prevention company handling everything from the design and construction of fire extinguishing and disaster prevention equipment to maintenance and product sales
| Period | Current | Previous | Change |
|---|---|---|---|
| Net sales (FY2026 (ending March 2026) full year) | ¥60,518 million | ¥55,727 million | ↑ |
| Operating profit (FY2026 (ending March 2026) full year) | ¥7,985 million | ¥6,128 million | ↑ |
| Ordinary profit (FY2026 (ending March 2026) full year) | ¥8,232 million | ¥5,817 million | ↑ |
| Profit attributable to owners of parent (FY2026 (ending March 2026) full year) | ¥5,083 million | ¥3,958 million | ↑ |
| Operating margin (FY2026 (ending March 2026) full year) | 13.2% | 11.0% | ↑ |
| Equity ratio (end of FY2026 (ending March 2026)) | 54.5% | 50.3% | ↑ |
| Total assets (end of FY2026 (ending March 2026)) | ¥57,023 million | ¥50,939 million | ↑ |
| Net assets (end of FY2026 (ending March 2026)) | ¥36,356 million | ¥30,517 million | ↑ |
| Return on equity (ROE) (FY2026 (ending March 2026)) | 17.9% | 16.5% | ↑ |
| Cash flow from operating activities (FY2026 (ending March 2026)) | ¥3,416 million | ¥8,942 million | ↓ |
| Cash and cash equivalents at end of period (end of FY2026 (ending March 2026)) | ¥10,596 million | ¥9,502 million | ↑ |
| Earnings per share (FY2026 (ending March 2026)) | ¥189.61 | ¥147.67 | ↑ |
| Annual dividend per share (FY2026 (ending March 2026)) | ¥90.00 | ¥70.00 | ↑ |
Business Details
A comprehensive disaster prevention company founded in 1955. The company consists of three business segments: the Disaster Prevention Equipment business (design and construction of various fire extinguishing systems and fire engines), the Maintenance business (maintenance inspections and renovation work), and the Products business (manufacturing and sales of fire extinguishers and disaster prevention goods). Backed by installation obligations under the Fire Service Act, the company provides safety and security to a wide range of customers including commercial buildings, plants, ships, and public facilities. It operates the Chiba Plant and Fukushima Plant, where it manufactures fire extinguishing equipment containers and automatic fire alarm receivers in-house.
Recent Overview
Achieved higher sales and profit in FY2026 (ending March 2026); delisting procedures via tender offer are underway
In FY2026 (ending March 2026), the company achieved net sales of ¥60,518 million (up 8.6% year on year), operating profit of ¥7,985 million (up 30.3%), and ordinary profit of ¥8,232 million (up 41.5%), marking significant increases across all profit items. Progress on large-scale projects in the Disaster Prevention Equipment business and strong performance in the Products business were the main drivers. Meanwhile, on May 13, 2026, the Board of Directors resolved to support and recommend shareholders tender their shares in the tender offer by TCG2511 Co., Ltd. (jointly owned 50% each by CJP V HC Holdings XI, L.P. and ALSOK Co., Ltd.) at a purchase price of ¥3,730 per share. As a result of this tender offer and the subsequent series of procedures, the company's shares are expected to be delisted, and earnings and dividend forecasts for FY2027 (ending March 2027) have not been disclosed. Separately, a 4-for-1 stock split was implemented effective April 1, 2026. Operating cash flow decreased significantly from ¥8,942 million in the prior period to ¥3,416 million, due to an increase in trade receivables and a decrease in trade payables, among other factors. The company recorded ¥505 million in tender-offer-related expenses as an extraordinary loss.
Key Products
Growth Drivers
- Expanding demand from public works projects and large-scale urban redevelopment projects aimed at disaster prevention and mitigation
- Increasing demand for disaster prevention equipment for data centers and semiconductor-related facilities
- Improvement in gross profit margin through selective order-taking of profitable construction projects (operating margin of 13.2% in FY2026 (ending March 2026))
- Continued progress on renovation and repair projects in the Maintenance business and improved profit margins
- Stable demand base underpinned by installation and inspection obligations under the Fire Service Act
- Synergies from the capital and business alliance with ALSOK, including utilization of its customer network and development of package products
Risks
- Risk of delisting arising from the tender offer by TCG2511 Co., Ltd. and the subsequent series of procedures (earnings and dividend forecasts for FY2027 (ending March 2027) onward are undisclosed)
- Risk of rising costs due to surging prices of raw materials and resources
- Downward pressure on the economy from U.S. trade policy trends and geopolitical risks in Ukraine and the Middle East
- Risk of period-to-period sales fluctuations depending on the timing of progress on large-scale construction projects
- Increases in labor costs and outsourcing costs due to continued price inflation
- Risk of fluctuations in operating cash flow due to increases in trade receivables and decreases in trade payables, among other factors (operating CF decreased by ¥5,526 million year on year in FY2026 (ending March 2026))
- Costs arising from responding to amendments to the Fire Service Act and other related laws and regulations
Last updated: June 30, 2026