JICHODO Co.,Ltd.
3597・Standard Market・Textiles & Apparels
Business
Jichodo Co., Ltd. was founded in 1924 and is headquartered in Fukuyama City, Hiroshima Prefecture, as a specialist manufacturer of uniforms and menswear. The group, comprising two subsidiaries (Genkai Sewing Co., Ltd. and Lion-ya Co., Ltd.) and two affiliated companies (Tachikawa Fiber Co., Ltd. and Nanshan Jichodo Protective Technology Co., Ltd.), handles planning, manufacturing, sales, and importing in an integrated manner. Its main customers are corporate users that adopt company uniforms, and it employs an indirect sales model via sales agents. The company also focuses on functional products such as the Fan-Equipped Wear / Air-Conditioned Wear "Kucho-fuku" and the electric heating gear FEVER GEAR ADVANCE. Under its corporate philosophy of "supporting people who work," its strength lies in serving a wide range of occupations and industries in the workwear market. It is listed on the Standard Market of the Tokyo Stock Exchange.
Business Model
The company adopts a "stockpile-type business model" in which it holds product inventory in advance based on demand forecasts. By receiving orders from user companies through sales agents and maintaining a system capable of immediate delivery, it minimizes opportunity losses. Manufacturing is conducted through coordination between a domestic subsidiary (Genkai Sewing Co., Ltd.) and overseas partner factories, maintaining cost competitiveness. While a price-freeze strategy is used to strengthen relationships with agents and users, the company attempts to absorb increases in procurement costs by switching to overseas sourcing of materials, forming the structural basis of its business.
Company Strengths
Founded in 1924 and celebrating its 100th anniversary in 2024, the company is a long-established domestic manufacturer of work wear. The indirect sales system built through a long-cultivated sales agent network forms a stable distribution foundation within the industry, giving the company high brand recognition and reliability in the uniform market.
As of the end of FY2025 (ending June 2025), the company maintained an extremely sound, nearly debt-free financial position, with net assets of ¥38,120 million against total assets of ¥41,954 million (equity ratio of approximately 90.9%). Cash and cash equivalents reached ¥13,390 million, securing ample liquidity to support its inventory-stockpiling business model.
The company offers a diverse range of products addressing various working environments and social issues, including Fan-Equipped Wear / Air-Conditioned Wear ("Kuchofuku") for heat countermeasures, FEVER GEAR ADVANCE electric heating gear for cold environments, and Eco-Friendly Products using plant-derived PET fiber. The company continues to develop products that combine functionality, design, and price competitiveness.
ENVALITH's Perspective
Performance Trend
Revenue peaked at ¥17,742 million in FY2023 (ended June 2023), then declined sharply for two consecutive periods to ¥16,864 million in FY2024 (ended June 2024) and ¥14,936 million in FY2025 (ended June 2025). The decline continued in the cumulative nine months of FY2026 (ending June 2026), with revenue of ¥9,690 million (down 9.2% year on year). The factors behind this were subdued replacement demand as user companies became more cost-conscious amid price increases driven by soaring resource and energy prices, as well as lost sales opportunities due to stock shortages. On the profit side, however, cost containment in selling, general and administrative expenses (down ¥256 million year on year) and the recording of valuation gains on foreign exchange forward derivatives contributed to increases across the board: operating profit of ¥1,324 million (up 4.7% year on year), ordinary profit of ¥1,726 million (up 23.6% year on year), and quarterly net income attributable to owners of the parent of ¥1,181 million (up 21.1% year on year). Comprehensive income also improved substantially, reaching ¥1,760 million (up 86.2% year on year). The company is in the process of building up inventory and reorganizing its production system, positioning itself to prepare for a counteroffensive starting with the spring/summer 2026 selling season.
Growth Strategy
Turnaround offensive for the spring/summer sales season through inventory build-up and price maintenance, aimed at reviving the 'complete Jichodo lineup'
The company increased its balance of merchandise and products by ¥2,590 million from the end of the previous fiscal year to ¥13,411 million, aiming to eliminate lost sales opportunities caused by stock shortages. Stabilization of the supply chain is also being promoted through the use of air freight and alternative production at domestic factories.
While many competitors are raising prices, the company is keeping spring/summer product prices unchanged and actively appealing to distributors and users, aiming to increase unit sales and expand market share. This is a strategic decision also intended to revitalize the industry as a whole.
The company is actively promoting the synergistic effect of wearing Fan-Equipped Wear / Air-Conditioned Wear together with cooling compression wear, capitalizing on the expanding market environment driven by mandatory heatstroke countermeasures and continuing extreme heat. This also functions as a countermeasure against intensifying competition from new entrants from other industries.
Drawing lessons from troubles at subcontractor factories of overseas partner factories, the company has established a system for alternative production using air freight and domestic factories. It is prioritizing the reorganization of its production system to prevent recurrence of damaged trust caused by delivery delays.
Last updated: July 17, 2026