KOIKE SANSO KOGYO CO., LTD.
6137・Standard Market・Machinery
Business
Koike Sanso Kogyo is a manufacturer specializing in industrial machinery and gas, founded in 1918. The Group consists of 18 subsidiaries and 22 affiliated companies. Its business is divided into four segments—Machinery & Equipment, High-Pressure Gas, Welding Equipment & Materials, and Others—centered on the manufacture and sale of cutting machines and welding machinery (net sales of ¥25,851 million), alongside the manufacture and sale of industrial and medical gas (¥19,772 million) and the distribution of welding rods, safety protective equipment, and other products (¥8,093 million). Its main customers are in the shipbuilding, construction, and industrial machinery industries, and it has built a global framework with manufacturing and sales bases in the United States, South Korea, China, and Europe. The company is listed on the Standard Market of the Tokyo Stock Exchange.
Business Model
In the Machinery & Equipment segment, the company directly sells self-manufactured cutting machines and welding machinery both domestically and overseas, securing a high profit margin (segment profit margin of approximately 18.7%). In the High-Pressure Gas segment, gas manufactured by affiliated companies is supplied to customers via the company's own sales network and filling plants, combined with Medical Equipment (Rental & Sales) to generate stable earnings. Welding Equipment & Materials operates on a distribution-type model of purchase and resale, leveraging the sales network. The company is also promoting new customer acquisition through combined sales of machinery and gas.
Company Strengths
The company's proprietary fiber laser cutting machine equipped with DBC (Dual Beam Control) cutting technology achieved higher output from 18kW to 40kW in FY2026 (ending March 2026), and the company completed the "FIBERTEX-VF 40000," the first in Japan to expand its application range from vertical cutting to bevel cutting. Having received an order for the first unit from a major South Korean shipbuilder, the company has differentiated itself through proprietary technology that is difficult for competitors to replicate in a short period.
In addition to the domestic shipbuilding, construction, and industrial machinery industries, the company operates manufacturing and sales subsidiaries in the United States, South Korea, China, and Europe (the Netherlands, Italy, France, and Germany). Through its group structure comprising 18 subsidiaries and 22 affiliated companies, the company disperses dependence on any single market while securing global order opportunities. In FY2026 (ending March 2026), sales in the Machinery & Equipment segment amounted to ¥25,851 million, accounting for approximately 46% of consolidated net sales.
As of the end of FY2026 (ending March 2026), cash and cash equivalents stood at ¥16,221 million, while interest-bearing debt (including borrowings and lease obligations) remained low at ¥7,569 million, maintaining a net cash position. Total net assets amounted to ¥50,079 million, an increase of ¥4,507 million from the previous fiscal year. Operating cash flow secured income of ¥4,084 million, providing a financial foundation capable of funding capital expenditures and shareholder returns with internal funds.
ENVALITH's Perspective
Performance Trend
Revenue increased 33% over five periods, from ¥41,834 million in FY2022 (ended March 2022) to ¥55,570 million in FY2026 (ending March 2026), continuing its revenue growth trend. Meanwhile, operating profit peaked at ¥5,448 million in FY2025 (ended March 2025) before declining 11.1% to ¥4,842 million in FY2026 (ending March 2026), with the operating margin also falling from 9.9% to 8.7%. The main causes were declining demand and rising costs in the Welding Equipment & Materials segment, an increase in SG&A expenses (a significant rise in commission fees paid), and the recognition of an impairment loss of ¥231 million. As external factors, the sluggish market conditions in the industrial machinery sector, persistently high construction material prices, and labor shortages have continued, and while resilience in the shipbuilding industry has provided some support, it has not been enough to improve overall profitability. Comprehensive income increased to ¥5,714 million (from ¥4,520 million in the previous period), as expanded unrealized gains on investment securities boosted net assets.
Growth Strategy
Aiming for sustainable growth through overseas expansion of the DBC Fiber Laser Cutting Machine, structural reform of the gas business, and cultivation of the helium recycling business
Achieved 40kW high-power output and bevel cutting capability, and is driving new demand development through events such as the "KOIKE Private Fair." Continuing to strengthen overseas sales by capturing the recovery in capital investment in the shipbuilding industry in South Korea and China, alongside continued development of products addressing needs for automation, IT integration, and unmanned operation at cutting sites.
Promoting the rebuilding of filling plants and streamlining of distribution to achieve safe, stable supply and cost reduction. Continuing to implement price revisions in response to rising raw material and logistics costs, while pursuing new customer acquisition through bundled sales with machinery. In the medical field, continuing to strengthen oxygen concentrator and CPAP rental operations.
Accelerating growth in the Others segment through order intake for helium liquefaction-related equipment and development of helium recovery/purification systems for the semiconductor market. In FY2026 (ending March 2026), strong sales of helium liquefiers drove segment net sales up 145.0% year on year to ¥1,853 million. As part of carbon neutrality initiatives, also began development of a new hydrogen fuel exhaust gas treatment product.
Last updated: July 19, 2026