POVAL KOGYO CO.,LTD.
4247・Standard Market・Chemicals
Comprehensive Adhesive & Resin Processing
Core segment of the Group manufacturing and selling belts and Polishing Components
| Period | Current | Previous | Change |
|---|---|---|---|
| Sales (full year) | ¥2,958 million | ¥2,841 million | ↑ |
| Segment profit (full year) | ¥398 million | ¥268 million | ↑ |
| Segment assets | ¥5,817 million | ¥5,736 million | ↑ |
| Depreciation (full year) | ¥122 million | ¥130 million | ↓ |
| Increase in tangible and intangible fixed assets | ¥57 million | ¥525 million | ↓ |
Business Details
Leveraging proprietary core technologies in material selection, adhesive processing, and resin processing, the segment manufactures and sells Special Conveyor Belts, Functional Belts, Power Transmission Belts, and Polishing Components. Major customers span the automotive, steel, display, and semiconductor industries. In addition to domestic operations, the segment expands across Asia through overseas subsidiaries in Thailand and China (Kunshan), accounting for approximately 82% of Group sales as the core business. The Korean subsidiary was closed during the fiscal year under review, and sales channels were transferred to China.
Recent Overview
Recovery in domestic Polishing Components and successful transfer of Asian sales channels drove significant improvement in both sales and profit
For FY2026 (ending March 2026), sales reached ¥2,958 million (up 4.1% year on year), and segment profit rose significantly to ¥398 million (up 48.4% year on year). Domestically, sales of Polishing Components recovered as customers resolved inventory adjustments, rising 5.0% year on year. In the Asian region, although the Korean subsidiary (POBAL DEVICE KOREA CO., LTD.) was closed, the transfer of sales channels to China proceeded smoothly, securing flat (0.0%) year-on-year sales. The impairment loss of ¥85 million recorded in the Comprehensive Adhesive & Resin Processing segment in the prior fiscal year was not incurred this period, resulting in a significant improvement in profitability.
Key Products
Growth Drivers
- Expansion of sales channels for next-generation semiconductor Polishing Pads (steady performance of display-related Polishing Components)
- Continued solid demand for belt-related products for the automotive and steel industries
- Stabilization of Asian operations following completion of the sales channel transfer to China, with continued expansion centered on China and Thailand
- Promotion of cost reduction through improved material yield and production process improvements
- Dramatic productivity improvement at the new plant (a key initiative in the final year of the medium-term management plan)
- Development of custom products and expansion of sustainable belt sales
Risks
- Risk of market disruption spreading to domestic and overseas manufacturing industries due to raw material supply shortages amid instability in the Middle East
- Cost pressure from persistently high raw material prices and electricity rates
- Risk of deterioration in export and procurement conditions due to trends in US trade policy
- Impact on Asian regional sales from stagnation and economic slowdown in China
- Risk of demand fluctuation and customer inventory adjustments for display-related Polishing Components
- Risk of intensifying price competition due to accelerated expansion of Chinese companies into the Asian region
Last updated: June 25, 2026