Earth Corporation
4985・Prime Market・Chemicals
Business
Earth Corporation was founded in 1925 and is a household and lifestyle products manufacturer under the Otsuka Holdings group. It owns numerous nationally recognized brands such as "Gokiburi Hoi Hoi," "Earth Nomat," "Mondamin," and "Bathclin," and is organized into two segments: the Household Products Business (net sales of ¥156,652 million), which covers insect control products, oral care, bath additives, gardening products, and pet products, and the Integrated Environmental Sanitation Business (net sales of ¥34,148 million), whose main customers include food and pharmaceutical plants. In addition to Japan, the company has a global business foundation, marketing its products in around 50 countries and regions worldwide, including Thailand, Malaysia, Vietnam, the Philippines, and China.
Business Model
In the Household Products Business, the company supplies brand products combining in-house manufacturing and purchased goods for resale to retailers via wholesalers such as PALTAC and Arata, and is pursuing earnings improvement through price revisions, SKU reductions, and formulation changes. In the Integrated Environmental Sanitation Business, the company adopts a recurring-revenue model built on accumulated annual contracts with food and pharmaceutical factories and other clients, forming a stable revenue base. The company aims to improve profit margins by adding higher value through the use of IoT and AI.
Company Strengths
The company holds multiple leading brands across categories including cockroaches, flies, mosquitoes, and mites, such as "Gokiburi Hoi Hoi," "Earth No Mat," "Goki Jet Pro," and "Black Cap." In FY2025, sales in the Insect Control Products segment reached ¥67,651 million (up 3.1% year on year), with the effects of price revisions becoming evident and expanding the segment's profit contribution.
The company achieved the final-year targets of its medium-term management plan "Act For SMILE COMPASS 2026" (net sales of ¥170,000 million, operating profit of ¥7,000 million, and profit attributable to owners of parent of ¥4,300 million) one year ahead of schedule in FY2025. It steadily executed structural reforms including a 30% reduction in the number of product items, price revisions, and the absorption-type merger with Bathclin, resulting in FY2025 operating profit of ¥8,087 million, significantly exceeding the plan.
The Integrated Environmental Sanitation Business operated by Earth Environmental Service has established ISO/IEC 17025-accredited analysis centers at two locations in eastern and western Japan, providing advanced specialized services such as GMP/HACCP/GFSI consulting and JFS standard compliance certification audits. In FY2025, sales reached ¥34,148 million (up 7.1% year on year), maintaining continuous growth.
ENVALITH's Perspective
Performance Trend
Revenue bottomed out at ¥152,339 million in FY2022 and has continued on a growth trend since, recovering to ¥179,182 million in FY2025. In Q1 FY2026, revenue remained on an upward path, reaching ¥47,914 million (up 7.0% year on year). Operating profit bottomed out at ¥6,370 million in FY2023 and has since improved, recovering to ¥8,087 million in FY2025. Operating profit in Q1 FY2026 was ¥6,338 million (up 1.1% year on year), a modest increase, as higher advertising and transportation costs, among other expenses, constrained profit growth. Net income attributable to owners of the parent declined to ¥4,457 million (down 4.7% year on year) due to the disappearance of the prior-year extraordinary gain and an increased tax burden. Full-year guidance remains unchanged at ¥188,000 million in revenue and ¥9,000 million in operating profit. As an external factor, elevated temperatures have supported the Insect Control Products market, while cost pressures from rising raw material prices and U.S. trade policy, among other factors, continue.
Growth Strategy
Sustainable growth driven by both strengthening the profit base through domestic structural reform and expanding ASEAN and export operations
Promoting selection and concentration of brands and SKUs based on profitability and future potential. Achieved optimal allocation of group management resources through the absorption-type merger with Bathclin (effective January 1, 2026). While powder-type bath additives struggled, down 10.0% year-on-year, focus brands such as insect control products and deodorant fragrance products remained strong.
Working on aggressive expansion in ASEAN markets such as Thailand and China, as well as expanding export business. In Q1 2026, performance in Thailand and China exceeded the previous year. However, the decision to dissolve and close the Chinese consolidated subsidiary (Ansu Household Chemical (Suzhou) Co., Ltd.) was made on May 13, 2026, making the restructuring of the China strategy a challenge.
Continuously building up the number and value of annual contracts for sanitation management services for food and pharmaceutical factories. Promoting development of next-generation services utilizing IoT and AI, and strengthening support operations for the life science industry. Segment profit in Q1 2026 achieved high growth, up 32.6% year-on-year.
The Gardening Products segment recorded ¥2,466 million in Q1 2026, up 96.4% year-on-year, due to the new consolidation of Protoleaf Co., Ltd. Expanding the sales base of the Household Products Business through M&A and consolidation in adjacent areas. Pet products, including cat litter and other care products, also remained strong.
Last updated: July 17, 2026