ENVALITH
京都機械工具株式会社 logo

KYOTO TOOL CO.,LTD.

5966Standard MarketMetal Products

京都機械工具株式会社 logo
KYOTO TOOL CO.,LTD.5966

Tools Business

KTC Group's core business. IoT-enabled tools centered on automotive maintenance tools drive growth.

PeriodCurrentPreviousChange
Segment sales¥8,079 million¥8,814 million
Segment profit (operating profit basis)¥578 million¥689 million
Segment assets¥9,493 million¥10,111 million
Depreciation¥391 million¥434 million
Increase in tangible and intangible fixed assets¥285 million¥498 million
Segment operating profit margin7.2%7.8%

Business Details

Manufactures and sells automotive maintenance tools, other general-purpose tools, and related equipment. Major customers are TRUSCO NAKAYAMA (18.3% of sales), Yamato Automotive (14.5%), and Toyota Motor (12.0%). Under the keywords "Safety, Comfort, Efficiency, Effectiveness, and Environment," the company is expanding from a product-based business into a service-based business, centered on the IoT-equipped TRASAS Series and the RFID-equipped nepros ID Series.

Recent Overview

Hit hard by the voluntary recall of digital torque wrenches and an improper accounting matter, both sales and profit declined significantly.

In FY2026 (ending March 2026), Tools Business sales were ¥8,079 million (down 8.3% year on year), and segment profit was ¥578 million (down 16.1% year on year). In addition to sales in the retail and direct sales divisions falling below the prior-year level, the voluntary recall of the strategic product digital torque wrench (production discontinuation decided as of March 31, 2026) had an impact. The ranking of major customers shifted to TRUSCO NAKAYAMA (¥1,527 million), Yamato Automotive (¥1,170 million), and Toyota Motor (¥972 million), with sales to Toyota Motor, which ranked first in the prior period, declining significantly. Meanwhile, the nepros ID Series is gaining greater recognition in the aerospace and MRO markets following its award at MRO Asia-Pacific 2025.

Key Products

platform
TRASAS Series

TRASAS stands for TRAceable Sensing and Analysis System. IoT sensors mounted on tools and measuring instruments wirelessly transfer work data to devices, enabling automatic recording, management, and analysis of work history. A voluntary recall occurred for some products, and on March 31, 2026, the company decided on a response policy including discontinuation of production of the affected product (digital torque wrench).

product
nepros ID Series

A series with RFID tags embedded in tools, enabling management of tool location and usage history. In September 2025, the company became the first Japanese company to win the "MRO Technology Achievement of the Year" award at "MRO Asia-Pacific 2025" held in Singapore. In February 2026, it exhibited at "SINGAPORE AIRSHOW 2026," accelerating global expansion.

product
nepros Series

A premium tool brand for professional mechanics launched in 1995. To mark its 30th anniversary in January 2025, the company renewed the logo mark and established a new tagline, "BEYOND THE BEST." Aiming to establish a global brand through sales via the tool truck channel in the North American market, the company also exhibited at "SEMA Show 2025" (Las Vegas) in November 2025.

product
Automotive Maintenance Tools & General-Purpose Tools

A product lineup centered on hand tools such as socket wrenches, spanners, and pliers. The company conducts sales activities for customers and end users nationwide through exhibitions at the "KTC Manufacturing Technology Museum" and on-site training sessions.

Growth Drivers

  • Global expansion into the aerospace and MRO markets centered on the nepros ID Series (expanding recognition following the MRO Asia-Pacific 2025 top award)
  • Expansion of the nepros brand into the North American market (sales to professional mechanics leveraging the tool truck channel, exhibition at SEMA Show 2025)
  • Building a labor-saving production line and improving productivity through the introduction of collaborative robots (full-scale operation of new equipment)
  • Development and market launch of successor products to the TRASAS Series, expanding work-data management solutions
  • Expansion of high-value-added solution projects in the direct sales division

Risks

  • Decline in sales and additional provisioning for product recall-related losses due to the voluntary recall and production discontinuation of the digital torque wrench (¥89 million recorded as an extraordinary loss in the current period)
  • Recording of ¥561 million in extraordinary losses for special investigation costs and other expenses related to an improper accounting matter at the consolidated subsidiary Hokuriku KTC Tool, and a material weakness in internal controls
  • Risk of continued sluggish sales in the retail and direct sales divisions (demand slowdown reflected in the 8.3% year-on-year decline in sales)
  • Uncertainty in demand for the automotive industry due to the impact of US trade policy (tariffs)
  • Risk of restructuring the growth strategy accompanying the revision of the long-term vision "KTC vision 2030" (transition to the new five-year plan "Restart KTC vision 2030")

Last updated: June 29, 2026