PIOLAX,INC.
5988・Prime Market・Metal Products
Automotive-related, etc.
PIOLAX's core segment engaged in the manufacture and sale of automotive parts (approximately 91% of consolidated net sales)
| Period | Current | Previous | Change |
|---|---|---|---|
| Net sales | ¥56,770 million | ¥58,178 million | ↓ |
| Operating profit | ¥2,368 million | ¥3,095 million | ↓ |
| Segment assets | ¥92,534 million | ¥91,270 million | ↑ |
| Depreciation and amortization | ¥4,097 million | ¥4,201 million | ↓ |
| Increase in property, plant and equipment and intangible assets | ¥5,842 million | ¥5,227 million | ↑ |
| Operating margin (segment profit/net sales) | 4.2% | 5.3% | ↓ |
Business Details
Manufactures and sells Precision Springs, Industrial Fasteners (fastening components for vehicle interiors and exteriors), and Small Unit Parts combining resin and metal. In Japan, major customers include Nissan Motor Co. and other automakers and their affiliated companies. Overseas, the segment operates manufacturing bases in the United States, the United Kingdom, South Korea, Thailand, China, India, Mexico, and Indonesia, with a global footprint. The company continues to promote sales expansion to both Japanese and non-Japanese automakers.
Recent Overview
Both sales and profit declined due to reduced production by Japanese automakers; impairment losses recognized at Chinese subsidiary
In FY2026 (ending March 2026), net sales were ¥56,770 million (down ¥1,407 million, or 2.4%, year on year), and operating profit was ¥2,368 million (down ¥727 million, or 23.5%, year on year). Although global sales expansion activities continued, the decline in marginal profit resulting from reduced production by major Japanese automaker customers weighed on results. In addition, the consolidated subsidiary in Dongguan, Guangdong Province, China (Dongguan Piolax Automotive Precision Parts Co., Ltd.) recognized an impairment loss of ¥423 million due to declining profitability. The consolidated subsidiary in Lancashire, United Kingdom (PIOLAX Limited) also recognized an impairment loss of ¥86 million in connection with future production relocation.
Key Products
Growth Drivers
- Promotion of global sales expansion to non-Japanese overseas automakers (U.S., China, and emerging markets)
- Creation of high-value-added products such as ADAS-related products and busbars for batteries
- Expansion of production capacity utilizing emerging market bases such as India and Mexico
- Optimization of the global supply structure through local production and local procurement
- Improvement of profitability through cost structure reform (continued price pass-through and rationalization activities)
Risks
- Decline in sales and marginal profit due to continued production cuts by Japanese automakers
- Sluggish sales by Japanese automakers and the rise of Chinese manufacturers in the Chinese market (risk of deteriorating profitability and impairment at Chinese bases)
- Risk of declining demand for fuel-related parts, etc., due to progress in electrification (EV shift)
- Profit pressure from persistently high labor costs, raw material costs, and energy costs
- Deterioration of the business environment due to geopolitical risks (regional conflicts and U.S. additional tariff policies)
- Risk of additional impairment of fixed assets associated with production relocation at the UK base
Last updated: June 18, 2026