Marumae Co., Ltd.
6264・Prime Market・Machinery
Business
Marumae Co., Ltd. is a precision parts manufacturer based in Izumi City, Kagoshima Prefecture. In its Precision Parts Business, the company manufactures vacuum chambers and consumables (ESCs, electrodes, etc.) for front-end semiconductor manufacturing equipment used in dry etching, CVD, cleaning, and other processes, as well as large vacuum parts for FPD manufacturing equipment. In April 2025, the company made KM Aluminum Co., Ltd. a subsidiary, adding a Functional Materials Business (ultra-high-purity aluminum target materials exceeding 99.999% purity, semiconductor equipment components, and basic materials), thereby transitioning to a two-segment structure. Major customers include semiconductor equipment manufacturers such as Nhk Spring Co., Ltd. (25.4% of sales) and Tokyo Electron Miyagi (14.8% of sales). The company is listed on the Prime Market of the Tokyo Stock Exchange.
Business Model
In the Precision Parts Business, the company manufactures high-difficulty vacuum parts used in plasma environments on a build-to-order basis, adopting a "spec-in" business model in which, once adopted, long-term continuous orders can be expected. Demand for consumables also secures stable earnings that are not dependent on the capital expenditure cycle. In the Functional Materials Business, the company leverages its ultra-high-purity aluminum manufacturing capabilities to manufacture and sell target materials, equipment components, and basic materials. Across the group as a whole, the company provides value through vertically integrated operations spanning from materials to processing, achieving a consolidated operating margin of 18.4% in FY2025 (ended August 2025).
Company Strengths
Vacuum parts for semiconductor manufacturing equipment require lengthy trial production and process evaluation periods, but once adopted, they are difficult to replace. The Precision Parts Business achieved an operating margin of 23.7% in FY2025 (ended August 2025), with a focus on high-value-added parts with high entry barriers supporting the high-profitability structure.
KM Aluminum possesses manufacturing capability for ultra-high-purity aluminum of 99.999% or higher, supplying sputtering target materials for advanced memory applications such as HBM DRAM. The company is also advancing development of its own purification technology (5N0→5N5), giving it a competitive advantage in growth markets.
Consumables such as ESC (electrostatic chucks) and electrodes for etching and CVD equipment generate regular demand linked to semiconductor plant operations. In FY2025 (ended August 2025), orders for consumables recovered sharply following the completion of inventory adjustments, compensating for the delayed recovery in front-end equipment parts. This functions as a stable revenue source less susceptible to capital expenditure cycles.
ENVALITH's Perspective
Performance Trend
For the nine months ended in the third quarter of FY2026 (ending March 2026), the company posted revenue of ¥14,022 million (up 92.9% year on year), operating profit of ¥2,644 million (up 84.1%), ordinary profit of ¥2,460 million (up 85.7%), and quarterly net income attributable to owners of the parent of ¥2,431 million (up 159.7%), marking substantial increases in revenue and profit across all metrics. Following the trajectory of the past five fiscal years (from a trough of ¥4,749 million in revenue and ¥157 million in operating profit in FY2024, to a sharp recovery to ¥11,403 million and ¥2,104 million in FY2025), growth accelerated further in FY2026 due to the combined effect of full consolidation contribution from the Functional Materials Business and an accelerating recovery in the semiconductor manufacturing equipment market. External factors—including continued investment for advanced logic foundries, a sharp expansion in DRAM-related investment from 2026 onward, the launch of NAND-related investment plans, and continued strength in demand from China—have all been pushing up performance. The recording of ¥1,013 million in subsidy income as extraordinary profit also contributed to the substantial increase in net income. It should be noted that the change in the depreciation method from the declining-balance method to the straight-line method increased operating profit by ¥108 million.
Growth Strategy
Under "Fusion2028," the group aims for consolidated net sales of ¥25.0 billion and operating profit of ¥5.6 billion, pursuing integration synergies between materials and processing.
Of the total proceeds of ¥5,849 million from the public offering and third-party allotment, ¥2,000 million will be allocated to the acquisition of production equipment and investment in the Precision Parts Business by August 2028. The company aims to expand supply capacity in response to the growing semiconductor manufacturing equipment market and to continue setting new quarterly records for order volume and net sales.
Of the funds raised, ¥1,500 million will be allocated to production equipment and plant renovation in the Functional Materials Business by August 2028. The company is securing personnel and building out increased production capacity to respond to rapidly increasing orders for semiconductor equipment components (orders expanded sharply from February 2026 onward, following the completion of customer inventory adjustments). Construction of a new plant to expand sales of target materials is also planned.
Of the funds raised, ¥2,349 million is planned to be allocated to the repayment of long-term borrowings by August 2027. The equity ratio has already improved from 31.5% at the end of FY2025 (ending August 2025) to 44.7% at the end of the third quarter of FY2026 (ending August 2026). By reducing the ¥11,859 million balance of long-term borrowings, the company aims to enhance financial soundness and secure capacity for the next round of growth investment.
Regarding the business combination with KM Aluminum Co., Ltd. implemented on April 8, 2025, the provisional accounting treatment was finalized during the third quarter of the consolidated fiscal year. Customer-related assets of ¥2,551 million were newly recognized, and goodwill was finalized at ¥3,070 million. The unification of accounting treatment within the group (standardization of the depreciation method to the straight-line method) was also completed, establishing the foundation for integration.
Last updated: July 17, 2026