Nippon Air Conditioning Services Co., Ltd.
4658・Prime Market・Services
Business
Nippon Air Conditioning Services Co., Ltd. was founded in 1964, with its core businesses being maintenance/upkeep and renewal construction of building equipment centered on air conditioning. In Japan, the company operates nationwide across Eastern, Central, and Western Japan regions, and also has 12 consolidated subsidiaries (7 overseas) in Singapore, Thailand, Vietnam, Myanmar, China, and other locations. Its major clients span a wide range, from specialized-environment facilities such as hospitals, pharmaceutical plants, and regenerative medicine research institutes to general manufacturing plants and commercial facilities. The company is composed of two segments: the Building Equipment Maintenance Services segment (net sales of ¥41,649 million) and the Building Equipment Construction segment (net sales of ¥27,596 million). Listed on the TSE Prime Market and the Nagoya Stock Exchange Premier Market.
Business Model
In line with the lifecycle of building equipment, the company secures a stable revenue base through maintenance services under annual and spot contracts, while capturing additional revenue from renewal construction that addresses equipment replacement demand. Placing the highest priority on customer contact points at the work site, the structure is designed to uncover latent needs through "equipment and environmental diagnosis/evaluation" and "energy- and cost-saving proposals," simultaneously advancing deeper penetration of existing customers and acquisition of new properties.
Company Strengths
Since its founding in 1964, the company has built a network of branches spanning from Hokkaido to Kyushu nationwide. It provides advanced technical services including sterilization and infection control for hospital operating rooms, validation support for pharmaceutical plants and regenerative medicine research laboratories, and space decontamination. The company has set as a KPI the maintenance of a 7:3 sales ratio between specialized environment facilities and general facilities, and its focus on high value-added areas serves as a differentiating factor from competitors.
The Building Equipment Maintenance Services segment operates on a continuous contract basis rather than a build-to-order model, and has trended stably with sales of ¥41,649 million in FY2026 (ending March 2026) (up 4.6% year on year). Maintenance contracts form the foundation of earnings, giving the business structure resilience against economic fluctuations. Building Equipment Renewal Construction is added on top of this, resulting in total sales of ¥69,245 million.
The Technology and Training Center, completed in November 2024 and fully operational from April 2025, is equipped with training facilities that replicate on-site environments such as clean rooms and machine rooms, providing practical technical education ranging from new employees to existing staff. The company has set a KPI of improving its core technical capability index at a CAGR of 3% or more, and the enhancement of its capacity to provide high-quality services through the value creation of human capital functions as a competitive advantage unique to the company.
ENVALITH's Perspective
Performance Trend
In FY2026 (ending March 2026), the company achieved double-digit growth at every profit stage, with net sales of ¥69,245 million (up 7.5% year on year), operating profit of ¥4,758 million (up 13.5%), ordinary profit of ¥5,108 million (up 16.8%), and profit attributable to owners of parent of ¥3,696 million (up 19.1%). Gross profit margin improved to 21.5% (¥14,912 million ÷ ¥69,245 million), up from 20.1% in the previous fiscal year. As an external factor, growing demand for energy conservation and environmental preservation supported an expansion in orders for building equipment construction. ROE improved to 13.1% (from 12.5% in the previous fiscal year), and the equity ratio rose to 57.6% (from 53.1%), indicating improved financial soundness. Comprehensive income increased significantly to ¥6,415 million (from ¥3,382 million in the previous fiscal year), mainly due to an increase in valuation difference on available-for-sale securities (¥2,651 million).
Growth Strategy
Pursuing sustainable growth across four axes: strengthening human capital, focusing on specialized facilities, expanding overseas, and improving capital efficiency
In April 2026, implemented an average 5.2% wage level increase for all full-time employees (third consecutive fiscal year). KPIs include continuing average wage level increases of approximately 5%, an engagement score of 75pt or higher, net employee increase of +100 per year, and achieving a female employee ratio of 17%.
The Technology & Training Center, completed in November 2024 and fully operational from April 2025, conducts training that reproduces on-site environments such as cleanrooms. The KPI is to achieve a CAGR of 3% or more in the core technical capability index, aiming to strengthen the capacity to provide high-value-added services.
The KPI is set to maintain a sales ratio of approximately 7:3 between specialized environment facilities (hospitals, pharmaceutical factories, regenerative medicine research laboratories, etc.) and general facilities. Efforts are being advanced to strengthen approaches to manufacturing plants through validation support, new spatial decontamination methods, and the Solar Power Generation & Electricity Sales Business.
Utilizing overseas locations in Singapore, Thailand, Vietnam, Myanmar, and others, the KPIs are set to achieve overseas sales of ¥4.5 billion and overseas operating profit of ¥225 million. Efforts are being accelerated to expand overseas business, which will serve as a future revenue base.
KPIs are set at an operating margin of 8%, ROE of 15%, DOE of 7.5%, dividend payout ratio of 50%, and investment securities-to-net assets ratio of 15% or less. The annual dividend for FY2026 (ending March 2026) is ¥54 (up from ¥45 in the previous period), with a dividend payout ratio of 50.6%, implementing progressive dividends in line with the basic policy. The projected dividend for FY2027 (ending March 2027) is ¥57.
Last updated: July 19, 2026