DaikyoNishikawa Corporation
4246・Prime Market・Chemicals
Business
Daikyo Nishikawa's core business centers on automotive resin components such as Instrument Panels, Bumpers, and tailgates, with operations organized into four segments: Japan, North America, ASEAN, and China & South Korea. The company has established itself as a key supplier to Mazda, supplying Instrument Panels for all of Mazda's vehicle models, and has expanded into electrification-related components such as Battery Covers and High-Voltage Busbars for EVs. It also engages in the housing components business (Housing Components (Bath Unit & Washbasin Parts), etc.), though the automotive parts business accounts for the majority of sales. Following a three-company merger in 2007, the company listed on the TSE Prime Market and comprises 13 consolidated subsidiaries and 1 affiliated company.
Business Model
The company adopts a planned sequential delivery method that supplies parts with minimal lead time according to the customer's production line sequencing instructions, securing stable orders while minimizing inventory risk. It maintains a vertically integrated structure capable of completing material development, mold-making, molding, painting, and quality assurance within its own group, creating added value by handling everything consistently from design proposals through mass production launch. Of net sales of ¥165,706 million (FY2026, ending March 2026), the domestic segment accounts for approximately 61%, while North America accounts for approximately 28%.
Company Strengths
The company is a key supplier of Instrument Panels to all vehicle models produced by Mazda, and its Bumper products are adopted by Mazda, Daihatsu, Mitsubishi, and Toyota, its tailgates by Mazda, Daihatsu, and Honda, and its charging/fueling ports by Daihatsu, SUBARU, Mazda, Mitsubishi, and others. Rather than depending on specific vehicle models, its track record of supplying multiple OEMs and multiple vehicle models demonstrates the depth of its customer base.
The Resin Oil Strainer, developed using proprietary resin technology and welding technology, boasts the world's top share and is adopted by Mazda, Daihatsu, Toyota, Honda, Nissan, Suzuki, and SUBARU. The company has established a production and supply system across five countries—Japan, China, Thailand, Indonesia, and Mexico—and this global manufacturing network serves as a barrier to entry for competitors.
The R&D Division, Development Division, and Engineering Division work together to independently drive everything from elemental technology research in materials, processing, and structure to new product development and mass production launch. Through joint development of molds and jigs with subsidiary Dec Co., Ltd., and in-house development of proprietary blended resin materials and talc masterbatch manufacturing methods, the company secures both cost competitiveness and design flexibility simultaneously. R&D expenses amounted to ¥3,125 million in FY2026 (ending March 2026).
ENVALITH's Perspective
Performance Trend
Revenue expanded from a trough of ¥116,669 million in FY2022 (ending March 2022) to ¥168,561 million in FY2025 (ending March 2025), but in FY2026 (ending March 2026) it declined for the first time to ¥165,706 million (down 1.7% year on year). The main cause was a decrease in customer production volumes in Japan, Mexico, and Thailand. Meanwhile, operating income rose to ¥10,251 million (up 2.5% year on year), securing an increase, as the effect of higher revenue in the U.S., cost improvements, and the foreign exchange impact of a stronger Mexican peso offset the revenue decline. Net income attributable to owners of the parent surged 33.3% year on year to ¥8,661 million, aided by a reduced tax burden resulting from a review of the recoverability of deferred tax assets. As external factors, sluggish production by Japanese OEMs in Thailand due to BEV subsidy policy, uncertainty over U.S. tariff policy, and rising raw material costs are incorporated into the earnings forecast for FY2027 (ending March 2027), which projects operating income of ¥8,800 million (down 14.2% year on year).
Growth Strategy
Toward Vision2040, the company aims to strengthen profitability through three pillars: EV compatibility, customer diversification, and smart factory promotion
Commercialized BEV-oriented products such as Battery Cover / High-Voltage Busbar (EV Components), promoting expanded sales to existing and new customers. In FY2026 (ending March 2026), the company secured new orders for exterior components in the U.S., increasing North America segment sales by ¥535 million year on year. Mass production preparation costs for new products are weighing on Japan segment profit, but medium- to long-term revenue complementary effects are expected.
Continuously promoting process improvement, standardization of business processes, higher equipment efficiency, and reduction of energy usage. In FY2026 (ending March 2026), operating profit increased despite lower sales, reflecting the results of cost improvement activities in the numbers. The China & South Korea segment also achieved a turnaround to profitability (¥77 million) mainly through quality-focused cost improvements.
Promoting smart factory transformation aiming for full automation, non-stop production, and zero-defect processes. In FY2026 (ending March 2026), expenditure on acquisition of intangible fixed assets increased substantially to ¥1,808 million (¥689 million in the previous period), accelerating digital investment. Fixed cost reduction effects are expected through higher equipment efficiency and reduced energy usage.
To reduce dependence on sales to the Mazda Group, the company is promoting sales to Daihatsu Motor Co. (¥9,816 million, up ¥1,851 million year on year) and new entry into design business for home appliances in South Korea. Progress is also being made in expanding the customer base in the U.S., with Mazda North American Operations newly disclosed as a major customer (¥16,458 million).
Increased the annual dividend for FY2026 (ending March 2026) to ¥52 (from ¥36 in the previous period), achieving a payout ratio of 41.2%. As a subsequent event, on May 13, 2026, the company resolved to acquire treasury shares (up to 2,850,000 shares, with a total acquisition price cap of ¥2.0 billion). The forecast dividend for FY2027 (ending March 2027) is ¥57 (payout ratio of 40.8%), anticipating continued enhancement of returns.
Last updated: July 19, 2026