DIJET INDUSTRIAL CO., LTD.
6138・Standard Market・Machinery
Business
Daijet Co., Ltd. is a specialist cemented carbide tool manufacturer founded in 1938, handling everything in-house from cemented carbide material development to the manufacture and sale of Cutting Tools and Wear-Resistant Tools. Its core Cutting Tools business (82% of net sales) supplies manufacturers in Japan and overseas mainly for mold processing applications, while Wear-Resistant Tools are expanding into new fields such as battery case molds for EVs and HEVs. The ratio of domestic sales (¥3,981 million) to exports (¥5,310 million) is approximately 43:57, and the company has built a global sales network with subsidiaries and affiliates in North America, Europe, and Asia. Consolidated net sales were ¥9,292 million (FY2026, ending March 2026).
Business Model
By vertically integrating in-house production from the manufacture of cemented carbide alloy materials through to finished Cutting Tools and Wear-Resistant Tools, the company achieves timely responsiveness to customer needs and thorough quality control. Sales combine indirect sales through domestic and overseas agents, special agents, and distributors with direct sales to end users, with the U.S. subsidiary DIJET INC. and the German subsidiary DIJET GmbH handling overseas sales. Combining build-to-order and build-to-forecast production, the company has built up an order backlog of ¥1,356 million at fiscal year-end (up 54.7% from the previous fiscal year-end).
Company Strengths
The company has achieved in-house integrated manufacturing spanning from cemented carbide material development and production to finished Cutting Tools and Wear-Resistant Tools. This has enabled the development and standardization of proprietary materials (high-hardness, high-transverse-rupture-strength alloy materials such as HS10 and HS20), realizing product differentiation that is difficult for competitors to imitate. During the fiscal year under review, the company invested ¥406 million in research and development, launching new coating grades such as DS2 into the market.
The company has wholly owned subsidiaries in the United States and Germany, and an equity-method affiliate in China, having built an export structure comprising ¥1,117 million in North America, ¥1,401 million in Europe, and ¥2,761 million in Asia. The export ratio to consolidated net sales reached 57.2%, providing geographic diversification that mitigates the risk of fluctuations in domestic demand. The company continues to expand its sales channels through ongoing participation in domestic and overseas trade shows (MF-TOKYO2025, MECT2025, and EMO).
The order backlog at the end of the fiscal year under review stood at ¥1,356 million, up 54.7% from ¥877 million at the end of the previous fiscal year. The order backlog increased across all product categories, with Cutting Tools rising to ¥985 million (up 51.6% year on year) and Yakihada Chip rising to ¥109 million (up 121.7% year on year), forming an order base expected to convert into net sales in subsequent periods.
ENVALITH's Perspective
Performance Trend
Revenue increased 15.2% over five periods, from ¥8,067 million in FY2022 to ¥9,292 million in FY2026. Operating profit remained sluggish, moving from ¥10 million in FY2022 to ¥112 million in FY2024, but then recovered sharply from ¥219 million in FY2025 to ¥648 million in FY2026, with the operating margin improving significantly to 7.0% (from 2.5% in the previous period). This improvement resulted from the combined effect of higher revenue (up 5.7% year on year) and a decline in the cost-of-sales ratio (from 65.8% to 62.1%). As an external factor, the weak yen environment (assumed rates of ¥160/US$1 and ¥185/€1) supported the company's earnings, given its export ratio of 57.2%. For FY2027 (ending March 2027), the company forecasts revenue of ¥9,600 million (up 3.3% year on year), but expects a substantial decline in operating profit to ¥400 million (down 38.3% year on year), so a cautious view is warranted regarding the sustainability of the high profitability level achieved in FY2026 (ended March 2026).
Growth Strategy
Sustainable growth through new product launches, expansion of Asian sales channels, and development of new EV-related fields
Actively launching new products and expanding the lineup, including the "Alumi Jet" end mill for high-speed aluminum machining and the "Max Master Mini" TA tool for high-feed machining. Sales of Cutting Tools rose 5.4% year on year to ¥7,659 million, and production volume increased 9.8% year on year, demonstrating results.
Promoting the development of new markets and customers both domestically and overseas through strengthened cooperation with overseas subsidiaries and domestic distributors. Through participation in international exhibitions such as EMO (Germany), sales to Europe increased 4.6% year on year to ¥1,401 million, and sales to Asia rose 6.6% year on year to ¥2,761 million. The order backlog has grown to ¥1,356 million, up 54.6% from the end of the previous fiscal year.
Leveraging proprietary high-hardness, high-transverse-rupture-strength alloy materials to expand sales channels in new fields such as mold dies for EV/HEV battery cases. The company has been accumulating adoption track records in applications that are difficult to address with conventional mold materials, viewing the structural transformation toward vehicle electrification in the automotive industry as a growth opportunity. Sales of Wear-Resistant Tools declined 6.9% year on year, but results in new fields have been reported.
As shown by the improvement in the cost of sales ratio (from 65.8% to 62.1%), efforts to improve production efficiency and quality have contributed to enhanced profitability. For FY2027 (ending March 2027), the company targets net sales of ¥9,600 million and operating profit of ¥400 million, aiming to stabilize its earnings base amid an uncertain business environment.
Last updated: July 19, 2026