ENVALITH
タケダ機械株式会社 logo

TAKEDA MACHINERY CO., LTD.

6150Standard MarketMachinery

タケダ機械株式会社 logo
TAKEDA MACHINERY CO., LTD.6150

Business

Takeda Machinery Co., Ltd., founded in 1971, is a specialized manufacturer of metal processing machinery headquartered with its plant in Nomi City, Ishikawa Prefecture. Together with its consolidated subsidiary Takeda Seiki Co., Ltd., the two-company group offers the Shaped Steel Processing Machine Series (small shaped steel processing machines, H-beam drilling machines, etc.), the Circular Saw Cutting Machine Series (shaped steel cutting machines, pipe cutting machines, etc.), the Die/Mold Series, and contract manufacturing. Its principal customers are in the building steel frame industry and the sheet metal fabrication industry (shaped steel processing machines) and the automotive-related industry and steel processing industry (circular saw cutting machines), with products used for processing steel structural components for buildings, bridges, ships, and mounting frames, as well as materials for automotive and machinery parts. The company is listed on the Standard Market of the Tokyo Stock Exchange.

Business Model

The company's core revenue comes from the manufacturing and sale of Shaped Steel Processing Machines and Circular Saw Cutting Machines (combined ¥3,399 million in FY2025 (ended May 2025)). Domestically, sales are conducted through route sales via agents and distributors as well as direct sales, while overseas sales are developed through local distributors and domestic agents. In addition, Parts & Maintenance Services revenue (¥760 million in the same period), which captures maintenance demand for existing equipment, functions as a buffer against economic fluctuations. The company enhances added value through proactive support for customer-specification machines, and also holds the Die/Mold Series and contract production as additional revenue sources.

Company Strengths

In FY2025 (ending May 2025), even amid an environment of restrained capital expenditure, parts sales expanded to ¥644 million (up 9.8% year on year), and combined parts & service sales reached ¥760 million (up 7.4% year on year). Maintenance demand from existing installed machines has offset the decline in main machine sales to some extent, contributing to earnings stability.

Against a backdrop of demand for labor-saving and automation, the company actively pursued proposal-based sales of customer-specification machines, achieving Circular Saw Cutting Machine Series sales of ¥364 million in FY2025 (ending May 2025), up 33.0% year on year. Production volume also expanded significantly, up 66.1% year on year, emerging as a new growth driver.

As of the end of FY2025 (ending May 2025), net assets stood at ¥5,216 million, and the equity ratio against total assets of ¥7,617 million was approximately 68.5%. Interest-bearing debt (total of short-term borrowings, long-term borrowings, and lease obligations) was ¥1,512 million, closely matched by cash and deposits of ¥1,478 million, maintaining a high level of financial soundness.

ENVALITH's Perspective

The company's forecast for FY2027 (ending May 2027) calls for revenue of ¥5,200 million (up 2.4% year on year), against operating profit of ¥400 million (down 7.5%) and net income of ¥260 million (down 12.8%), representing a plan of increased revenue but decreased profit. As external factors, continued increases in procurement costs and labor costs, along with the prolongation and delay of construction lead times, are expected to weigh on profitability. Upfront costs associated with the introduction of ERP and SFA systems may also put downward pressure on profit.

In FY2026 (ended May 2026), inventory assets decreased by ¥412 million, and operating cash flow turned positive at ¥550 million, which can be viewed favorably. On the other hand, the Circular Saw Cutting Machine Series posted a significant revenue decline to ¥249 million (down 31.7% year on year) due to insufficient response to demand for multi-function machines, while Contract Business & Others also saw a notable decline to ¥211 million (down 29.5%). It should be noted that revenue concentration in shaped steel processing machines is increasing, raising the sensitivity of business performance to fluctuations in the external environment surrounding construction demand.

Other intangible fixed assets (mainly software in progress) increased by ¥96 million, confirming that investment in the introduction of ERP and SFA systems is progressing. Once the systems go into full operation in June 2027, benefits from inventory optimization and improved sales efficiency leading to earnings improvement are anticipated; however, there is a risk that transition costs before and after go-live and reduced productivity during the learning period could affect short-term business performance. To verify the return on this investment, it will be necessary to closely monitor the trends in inventory levels and the SG&A expense ratio after the system goes live.

Growth Strategy

Building a foundation for sustainable growth through labor-saving new product development, custom-spec machine proposal sales, and productivity improvement via ERP implementation

In response to the customer challenge of chronic labor shortages, the company develops new models on the themes of "labor-saving" and "process consolidation" at a pace of two models per year. It continues to actively respond to custom-spec machines, aiming to increase order unit prices and expand project volume for shaped steel processing machines. The company also promotes marketing strength through the company-wide cross-functional project KTD (Kotozukuri).

The company is implementing an integrated enterprise resource planning (ERP) system and sales force automation (SFA) system, aiming for full-scale operation from June 2027. Through inventory optimization, improved demand forecasting accuracy, and enhanced sales efficiency, the company seeks to reduce inventory costs and improve profitability. Construction in progress for software increased by ¥96 million, with the investment progressing.

For the Circular Saw Cutting Machine Series, which saw a significant decline in sales to ¥249 million (down 31.7% year on year) in FY2026 (ending May 2026), the company will strengthen its response to combination machine needs and actively pursue proposal-based sales using custom-spec machines to recover sales.

Excluding custom-spec machines, the company is working to improve demand forecasting accuracy through an integrated sales-manufacturing approach in order to maintain timely deliveries and optimize inventory. In FY2026 (ending May 2026), inventories decreased by ¥412 million, showing results, and the company will continue to optimize inventory levels going forward.

Centered on the newly established Human Resources Section, the company will strengthen recruitment activities to help new employees quickly become productive and improve retention. It will rework its personnel evaluation system and develop its training system, aiming in the medium to long term to build a framework that links personnel systems with training systems to support employees' self-actualization.

Last updated: July 17, 2026