SOFT99corporation
4464・Standard Market・Chemicals
Business
Soft99 Corporation is a chemical manufacturer founded in 1952 and based in Osaka. Its core business is the Fine Chemical segment, centered on automotive chemical products (car wax, glass coating, etc.) under the "Soft99" brand. The company operates four segments: the Fine Chemical business; the Porous Material business, which manufactures PVA/urethane-based porous materials (through subsidiaries Aion Co., Ltd. and Aztec Co., Ltd.); the Service business, covering automotive maintenance and body repair, driving schools, and household goods; and the Real Estate Related business, which includes leasing of company-owned real estate, SI Business (formerly Bathing Facility Business), and Nursing Care Prevention Support Business. The company serves a broad customer base including general consumers, automotive coating application contractors, semiconductor manufacturers, and medical facilities, and has 9 consolidated subsidiaries in Japan and overseas. It is listed on the Standard Market of the Tokyo Stock Exchange.
Business Model
Fine Chemical secures dual-axis revenue from in-house manufacturing and brand sales, targeting both general consumers and professional contractors. Porous Material achieves a high profit margin (operating margin of approximately 19.8%) through high-value-added products for the semiconductor and medical fields. Service is underpinned by service revenue from maintenance and driving instruction, while Real Estate Related is supported by stable flow income from leasing, SI, and nursing care prevention. Working capital is financed through internal funds, and the company's robust financial base is characterized by interest-bearing debt consisting solely of ¥176 million in operating deposits received.
Company Strengths
Cash and cash equivalents at the end of FY2026 (ending March 2026) stood at ¥23,755 million, with interest-bearing debt limited to ¥176 million in business deposits received. The company maintains debt-free management with zero borrowings from financial institutions. Against net assets of ¥58,845 million and total assets of ¥67,008 million, the equity ratio reaches approximately 87.8%. The company possesses the financial capacity to fund large-scale capital investments from its own funds.
Professional-use Coating Products (G'zox) are marketed to new and used car dealers as well as to installation contractors, and in FY2026 (ending March 2025) professional-use product sales for both new and used cars exceeded the previous period. Overseas sales are also being expanded to Europe, South America, and East Asia, building a multi-layered sales channel through SNS promotion and collaboration with local agents.
The Porous Material business, centered on Aion Co., Ltd., achieved net sales of ¥10,124 million (up 11.3% year on year) and operating profit of ¥2,001 million (up 19.3% year on year) in FY2026 (ending March 2026), reaching an operating margin of approximately 19.8%. High-margin product groups such as cleaning brushes and filters for semiconductors performed well, continuing to capture overseas semiconductor demand from the US, Taiwan, South Korea, and other markets.
ENVALITH's Perspective
Performance Trend
Revenue expanded from ¥28,436 million in FY2022 to ¥30,170 million in FY2023, then remained flat at ¥29,875 million and ¥29,743 million in FY2024 and FY2025, before expanding again to ¥31,232 million in FY2026. Operating profit bottomed out at ¥3,256 million in FY2023 and then recovered, reaching ¥4,240 million in FY2026, the highest level over the five-year period. Strong demand for Porous Material in semiconductor applications, tailwinds from the external environment such as progress in generative AI and IoT, and the effect of price revisions in Fine Chemical drove the improvement in profit. On the other hand, external uncertainties such as rising raw material prices, inflation, and US tariff policy continue.
Growth Strategy
Accelerate human capital, digital, and capital investment under the 8th Medium-Term Management Plan to target future ROE of 8%
To develop the professional-use coating product G'zox into a brand chosen by both applicators and end users, the company is promoting support for converting applicator shops into G'zox Shops, building an online reservation system, and providing training support to overseas G'zox Shops. It is also advancing the establishment of sales channels in new markets such as North America through collaboration with distributors.
Leveraging synergies between AION CO., LTD. and AZTEC CO., LTD., the company is simultaneously pursuing expansion of sales share for semiconductor applications and expansion of sales in the medical field. R&D to shorten break-in time and improve cleaning performance of semiconductor cleaning brushes is also ongoing.
In response to labor shortages in the logistics industry and inbound demand, the company is strengthening its driving instruction business for commercial vehicles while promoting operational efficiency through DX in driving school operations. This is positioned as a priority measure in the 8th Medium-Term Management Plan.
The bathing facility "Gokurakuyu" Amagasaki store in Amagasaki City, Hyogo Prefecture, was renewed and reopened as the dining facility "Amaterasu" (January 2026). The company aims to deepen a composite profit model that combines its held real estate with new elements such as digital utilization.
Under the 8th Medium-Term Management Plan (April 2026 to March 2029), the company plans to implement large-scale capital investment, expanding invested capital in operations from ¥33,436 million to ¥39,162 million. ROIC is expected to decline to 7.5-8.0% during the investment period, with the goal of achieving an ROE of 8% in the future.
Last updated: July 19, 2026