TSUGAMI CORPORATION
6101・Prime Market・Machinery
Japan
Core domestic segment where Tsugami Corporation manufactures and sells machine tools
| Period | Current | Previous | Change |
|---|---|---|---|
| Revenue (segment total) | ¥27,704 million | ¥29,373 million | ↓ |
| External revenue | ¥16,439 million | ¥19,956 million | ↓ |
| Intersegment revenue | ¥11,264 million | ¥9,416 million | ↑ |
| Segment profit | ¥2,328 million | ¥225 million | ↑ |
| Segment assets | ¥27,856 million | ¥28,770 million | ↓ |
| Depreciation and amortization | ¥636 million | ¥697 million | ↓ |
| Capital expenditures | ¥447 million | ¥314 million | ↑ |
Business Details
Tsugami Corporation itself manufactures and sells machine tools (CNC Automatic Lathes, Grinding Machines, Machining Centers, Rolling Machines, etc.). Some parts and products are sourced from Chinese subsidiaries, supporting the group's manufacturing and sales structure. In addition to sales to domestic customers, the segment also handles intersegment transactions within the group (paid supply of materials). External revenue was ¥16,439 million, down 17.6% year on year, while segment profit improved significantly, turning positive.
Recent Overview
External revenue declined, but segment profit improved sharply, up 931% year on year
In the Japan segment for FY2026 (ending March 2026), external revenue declined to ¥16,439 million (down 17.6% year on year), reflecting sluggish domestic demand, while intersegment revenue expanded to ¥11,264 million (up 19.6% year on year). Segment profit improved significantly to ¥2,328 million (prior year: ¥225 million, up 931.3% year on year), marking a notable improvement in the earnings structure. Capital expenditures increased 42.4% year on year to ¥447 million, reflecting continued investment in production infrastructure.
Key Products
Growth Drivers
- Stable internal demand from expanded intersegment transactions (paid supply of materials) within the group (¥11,264 million for the fiscal year, up 19.6% year on year)
- Growth in intersegment revenue driven by increased supply of materials in line with expanded production at Chinese and Indian subsidiaries
- Introduction of new products for growth areas such as automotive parts, IT, and medical fields
- Improved production capacity and efficiency from increased capital expenditures (¥447 million)
Risks
- Continued decline in external revenue due to sluggish domestic market demand (external revenue of ¥16,439 million for the fiscal year, down 17.6% year on year)
- Supply and geopolitical risks from dependence on Chinese subsidiaries for materials procurement
- Uncertainty across the machine tool market overall
- The significant improvement in segment profit is mainly attributable to the expansion of intersegment transactions, raising sustainability concerns if external demand does not recover
Last updated: June 16, 2026