KANEFUSA CORPORATION
5984・Standard Market・Metal Products
Japan
Kanefusa's core segment. A parent-company standalone business producing and selling industrial machine blades for domestic and overseas markets.
| Period | Current | Previous | Change |
|---|---|---|---|
| Net sales (including intersegment internal sales) | ¥15,914 million | ¥15,814 million | ↑ |
| Operating profit | ¥311 million | ¥483 million | ↓ |
| Operating profit margin on net sales | 1.9% | 3.1% | ↓ |
| Segment assets | ¥30,979 million | ¥31,747 million | ↓ |
| Depreciation | ¥788 million | ¥914 million | ↓ |
| Capital expenditure (increase in tangible and intangible fixed assets) | ¥414 million | ¥308 million | ↑ |
Business Details
The Japan segment, operated by Kanefusa Corporation itself, produces and sells Flat Blades, Precision Cutting Tools, and Circular Saws both domestically and internationally. For the domestic market, it offers cutting tools related to housing and non-housing applications, while for overseas markets it centers on Automotive-Related Cutting Tools and steel-related cutting tools, also supplying group companies internally. Functioning as the group's overall production base, segment assets amount to ¥30,979 million, representing approximately 81% of the company total, making it the core segment.
Recent Overview
Net sales rose slightly on higher domestic sales of non-housing-related cutting tools, but operating profit fell 35.7% due to cost increases.
In the Japan segment for FY2026 (ending March 2026), although overseas Automotive-Related Cutting Tools and steel-related cutting tools decreased, expanded domestic sales of non-housing-related cutting tools resulted in a slight increase in net sales to ¥15,914 million (up 0.6% year on year). On the other hand, rising costs for raw materials and auxiliary materials squeezed profit, and operating profit deteriorated significantly to ¥311 million (down 35.7% year on year). The operating profit margin on net sales fell further to 1.9% from 3.1% in the prior period, widening the gap versus the target level (8.0% or higher).
Key Products
Growth Drivers
- Expansion of domestic non-housing-related market sales (an increase was achieved in the fiscal year under review)
- Expansion of overseas sales centered on Europe (Europe segment sales up 17.3% group-wide)
- Establishment of a production division-of-labor system through expanded internal supply to group production subsidiaries in Vietnam, Indonesia, and elsewhere
- Improvement in cost ratio through promotion of labor-saving and unmanned production equipment
- Increased capital expenditure (¥414 million, up 34.4% year on year) improving production capacity and efficiency
Risks
- Cost pressure from rising raw materials and auxiliary materials (the main cause of the 35.7% decline in operating profit for the fiscal year under review)
- Sluggish domestic housing-related market (housing-related cutting tools declined year on year in the fiscal year under review)
- Fluctuations in demand for overseas Automotive-Related Cutting Tools and steel-related cutting tools (decreased in the fiscal year under review)
- Foreign exchange risk (a high proportion of overseas sales means yen appreciation impacts sales and profit)
- Continued significant shortfall against the operating profit margin target (8.0% or higher), with actual results of 1.9% in the fiscal year under review
Last updated: June 22, 2026