MITSUBOSHI CO.,LTD.

Business Details

Core business manufacturing and selling Rubber Wires and Cables (natural rubber and synthetic rubber cabtyre cables, welding cables, etc.) and Plastic Wires and Cables (plastic cabtyre cables, plastic cords, etc.). The main markets are construction and electrical equipment distribution, with large-scale projects for redevelopment in the Tokyo metropolitan area and regional cities, data centers, and semiconductor plant construction driving demand. Sales are primarily conducted through wholesalers, electrical materials dealers, and trading companies, with Senshu Electric Co., Ltd. as a major customer (sales of ¥2,301 million in the fiscal year under review). The company also purchases from its Philippine subsidiary, Mitsuboshi Philippines Corporation.

Recent Overview

Sales and profit both increased significantly due to a sharp rise in copper prices and pricing pass-through efforts. Copper sales volume was sluggish.

In FY2026 (ending March 2026), Wires and Cables segment sales were ¥8,349 million (up 8.4% year on year), and segment profit was ¥476 million (up 59.2% year on year). Domestic copper prices averaged ¥1,695 thousand/ton for the period, exceeding the prior period, and reached a record high of ¥2,190 thousand/ton in January 2026. Prices surged in the second half (October-March) by +¥469 thousand/ton compared to the first half (April-September). Although actual demand was sluggish, with copper sales volume flat for Rubber Wires and Cables and declining for Plastic Wires and Cables, profit margins improved significantly due to price revisions in response to copper price fluctuations, a review of base prices leading to price pass-through, enhanced sales of high-value-added products, and cost reductions, productivity improvements, and material cost reductions.

Key Products

Growth Drivers

• Solid demand in the construction and electrical equipment distribution markets driven by large-scale projects such as redevelopment in the Tokyo metropolitan area and regional cities and semiconductor plant construction demand
• Sales-boosting effect from rising copper prices (period average of ¥1,695 thousand/ton)
• Improved profit margins through price revisions in response to copper price fluctuations, combined with a review of base prices and promotion of price pass-through
• Strengthened sales of high-value-added products and enhanced activities to acquire new customers and projects
• Improved profitability through continuous cost reduction, productivity improvement, and material cost reduction
• Expansion of sales channels and product lines through the formulation and execution of a new medium-term management plan starting FY2027 (ending March 2027)

Risks

• Risk of copper price losses due to sharp fluctuations in copper prices (linked to market prices under the spot purchasing method)
• Foreign exchange risk associated with purchases from the Philippine subsidiary, Mitsuboshi Philippines Corporation
• Weak actual demand due to rising construction costs, labor shortages, construction delays, plan downsizing, redesigns, etc.
• Risk of economic downturn due to the impact of U.S. trade policy (tariff policy)
• Risk of supply restrictions, price surges, and international logistics delays for crude oil and petrochemical raw materials due to the impact of Middle East tensions
• Constraints on volume-based growth due to sluggish trends in copper sales volume (flat for Rubber Wires and Cables, declining for Plastic Wires and Cables)