THK CO., LTD.
6481・Prime Market・Machinery
Japan
Core segment of THK's domestic operations, responsible for the manufacture and sale of industrial equipment.
| Period | Current | Previous | Change |
|---|---|---|---|
| Revenue (from external customers, continuing operations) | ¥29,801 million (Q1 FY2026, ending December 2026) | ¥26,439 million (Q1 FY2025, ending December 2025) | ↑ |
| Segment profit (operating profit, continuing operations) | ¥3,161 million (Q1 FY2026, ending December 2026) | ¥975 million (Q1 FY2025, ending December 2025) | ↑ |
| Year-on-year change in revenue | +¥3,361 million (+12.7%) | – | ↑ |
| Year-on-year change in segment profit | +¥2,186 million (+224.2%) | – | ↑ |
Business Details
Comprises THK Co., Ltd. itself and domestic subsidiaries. In addition to direct sales of LM Guide, Ball Screw, and Other Linear Motion Systems to domestic manufacturers and distributors of machine tools, semiconductor manufacturing equipment, industrial robots, and other equipment, the segment also manufactures and sells industrial machinery. The Transportation Equipment Business (THK RHYTHM, etc.) has been classified as a discontinued operation, with the transfer to AP87 Co., Ltd. (scheduled for execution on June 1, 2026) already decided. In Q1 FY2026 (on a continuing-operations basis), demand recovered mainly in electronics-related areas, resulting in increased revenue and profit.
Recent Overview
Revenue increased on recovering electronics-related demand, and operating profit more than tripled year on year.
In the first quarter of FY2026 (ending December 2026) (January–March 2026), revenue from external customers in the Japan segment was ¥29,801 million (up 12.7% year on year), and segment profit was ¥3,161 million (up 224.2% year on year). This was mainly driven by a recovery in demand, particularly in electronics-related areas. With the Transportation Equipment Business already separated as a discontinued operation, the improvement in profitability on a continuing-operations (industrial equipment) basis became clear. In addition, costs (¥740 million) were incurred in connection with the implementation of the Next Career Support Program, but the effect of increased revenue outweighed this.
Key Products
Growth Drivers
- Recovery in demand for industrial equipment for semiconductor manufacturing equipment and machine tools (driven mainly by electronics-related demand)
- Increase in semiconductor-related capital expenditure amid expanding generative AI-related investment
- Expanded adoption in new fields such as seismic isolation/damping devices and renewable energy-related applications
- Strengthened expansion into the FA solutions business utilizing AI and IoT
- Concentration of management resources on the industrial equipment business following completion of the transfer of the Transportation Equipment Business (scheduled for June 1, 2026)
- Improved profitability through structural reforms under the new management policy of "early achievement of ROE exceeding 10%"
Risks
- Risk of rising manufacturing costs and restrained capital expenditure by customers due to the impact of US tariff policy
- Uncertainty over the global economic outlook due to geopolitical risks (Middle East and Ukraine situations)
- One-time costs arising from structural reforms (such as the Next Career Support Program)
- Risks related to business restructuring associated with the execution of the transfer of the Transportation Equipment Business (scheduled for June 1, 2026)
- Risk of recognizing investment losses due to deteriorating market conditions at equity-method affiliates
- Risk of a downward reaction if the recovery in electronics-related demand proves only temporary
Last updated: March 18, 2026