ENVALITH
株式会社宮入バルブ製作所 logo

MIYAIRI VALVE MFG. CO., LTD.

6495・Standard Market・Machinery

Official website
株式会社宮入バルブ製作所 logo
MIYAIRI VALVE MFG. CO., LTD.6495

Business

MIYAIRI VALVE MFG. CO., LTD. was founded in 1949 and is a specialized manufacturer of valves for high-pressure gas, listed on the Standard Market of the Tokyo Stock Exchange. Its core products are valves for LP gas cylinders (for household, industrial, and automotive use), bulk storage tank accessory equipment, and valves for LP gas facilities (for land and marine transport), extending broadly to LNG valves, marine valves, medical valves, and fire extinguishing equipment valves. In recent years, the company has also expanded into new fields such as sanitary valves for food processing, sprinkler nozzles, wine-making equipment, and wood-ear mushroom (kikurage) cultivation systems. Major customers include San-Etsu Metals, Yazaki Energy System, and Shoei Kiko. The company's main production base is the Kofu Plant, and it holds JIS, ISO9001, and ISO14001 certifications.

Business Model

The company's manufacturing and sales model is based primarily on forecast-driven production, combined in part with build-to-order production. Of net sales of ¥7,044 million, Product & Merchandise Sales account for ¥5,892 million and Work Scrap Sales account for ¥1,151 million. Scrap sales, generated by selling shavings produced during brass material processing to material manufacturers, serve as a secondary revenue source that fluctuates in line with brass material prices and factory utilization rates. Working capital is funded through internal funds and short-term borrowings from financial institutions, while capital expenditures are funded primarily through long-term borrowings, with liquidity secured through overdraft agreements with six banks.

Company Strengths

Since its founding in 1949, the company has continuously manufactured valves for LP gas cylinders as its core product, obtaining a JIS Marking Certified Factory designation, accreditation as a High Pressure Gas Safety Institute inspection company, and ISO9001 certification. It holds the top share in valves for LP gas bulk supply systems, and to address replacement demand (occurring 20 years after initial installation) that is expected to peak in FY2023, it has established a short-lead-time system through advance inventory buildup.

In July 2018, the company completed the renewal of its integrated production facilities and introduced barcode-based output management across all processes, achieving shorter production lead times and improved work efficiency. In the current period, production results were ¥4,397,001 thousand for Brass Valves (107.1% year on year) and ¥1,473,319 thousand for Steel Valves (95.9% year on year), for a combined ratio of 104.0%, reflecting an increase in the utilization rate and also contributing to an increase in Sales of Work Scrap (Brass Shavings) (up 13.9% year on year).

The company continues to develop ultra-low-temperature valves for LNG, liquid hydrogen, and compressed hydrogen applications, and in September 2025 established a joint venture company specializing in product development with Shoei Kiko Co., Ltd. Concrete achievements have emerged, including the completion of development and receipt of orders for bellows-seal-type semi-long cryogenic valves (15A to 50A) for LNG transport containers, and receipt of an order from a plant engineering company for a liquid hydrogen globe valve. Research and development expenses totaled ¥214,727 thousand.

ENVALITH's Perspective

In FY2026 (ending March 2026), the company returned to profit with net income of ¥60 million as the ¥148 million antitrust law-related loss recorded in the prior period disappeared. However, operating income of ¥111 million and operating margin of 1.6% remain at a level significantly reduced from FY2023 (ending March 2023) (¥265 million, 4.2%). Amid continued manufacturing cost increases due to elevated brass material prices and rising overall prices, fundamental improvement in profitability is difficult through cost reduction and productivity improvement efforts alone, and the degree of penetration of product price increases will be the focus going forward.

The company forecasts net sales of ¥7,300 million, operating income of ¥140 million, and net income of ¥80 million for FY2027 (ending March 2027). However, management itself has explicitly stated that "the tariff policy of the US Trump administration is the greatest destabilizing factor," and continued yen depreciation, elevated brass material prices, and rising resin material and freight costs are listed as external factors that could worsen profitability. With a dividend payout ratio of 158.7% (FY2026, ending March 2026), the dividend burden relative to earnings is heavy, and attention is needed regarding the company's ability to maintain dividends in the event of a downturn in performance.

Cash and cash equivalents at the end of FY2026 (ending March 2026) decreased to ¥260 million from ¥343 million at the end of the prior period, indicating limited financial flexibility. Expenditure on acquisition of property, plant and equipment was significantly reduced to ¥197 million from ¥592 million in the prior period, reflecting a situation in which cash is being secured by restraining capital expenditure. The long-term borrowings balance is on an increasing trend at ¥783 million, and interest expenses have also increased to ¥29 million (from ¥19 million in the prior period). In the absence of a medium-term management plan, the lack of visibility regarding the scale and timing of growth investments is an uncertain factor for investment decisions.

Growth Strategy

Maintaining profitability in the core LP gas business while cultivating cryogenic valves (LNG / hydrogen) as a second pillar.

The Company aims to maintain and expand sales of its core LP Gas Cylinder Valves (¥3,413 million in FY2026 (ending March 2026), 48.5% of sales composition). An increase in bulk equipment sales is also expected in the next fiscal year. The Company aims to improve profitability through product price increases and diversification of procurement sources.

In FY2026 (ending March 2026), marine valves increased to ¥346 million (up 11.5% year on year), while automotive valves decreased to ¥147 million (down 16.3% year on year). Both marine and automotive valves are expected to recover in the next fiscal year, which is expected to contribute to improved profitability in the Steel Valves segment.

Against the backdrop of the energy transition, the Company is cultivating its cryogenic valve business, including valves for liquid hydrogen and LNG, as a second pillar. Having reached the stage of completing its product lineup and securing inquiries, the Company is advancing commercialization by leveraging its technical expertise and certification track record as a specialized manufacturer of high-pressure gas valves.

In response to persistently high brass material prices and rising prices, the Company continues to implement cost reductions, productivity improvements, diversification of procurement sources, and product price increases. Selling, general and administrative expenses for FY2026 (ending March 2026) were reduced to ¥955 million from ¥963 million in the previous fiscal year, indicating certain results have been achieved.

Last updated: July 19, 2026