SANSO ELECTRIC CO.,LTD.
6518・Standard Market・Electric Appliances
Business
Sansho Electric Co., Ltd. is a motor and pump specialty manufacturer founded in 1957, listed on the TSE Standard Market. The company is composed of the parent and five consolidated subsidiaries, with its core business being the manufacture and sale of motors, pumps, and motor application products and components. Pumps for Semiconductor Manufacturing Equipment are the main application, and orders have been increasing against the backdrop of growing demand related to generative AI. In addition to domestic manufacturing bases, the company has a local subsidiary in Shanghai, China (Shanghai Sansho Electric Co., Ltd.), supplying products to customers both domestically and internationally. In February 2026, the company newly established Kasai Sansho Electric Co., Ltd., incorporating metal product processing operations, strengthening in-house production within the group. Major customers are centered on industrial equipment and semiconductor equipment manufacturers, including SMC Corporation (11.1% of net sales).
Business Model
A vertically integrated business model that handles everything from motor and pump design to manufacturing and sales. Group companies share responsibilities for parts processing, assembly, stator manufacturing, and other processes, achieving both cost efficiency and quality control. The company's strength lies in its ability to provide custom designs tailored to customer requirements, generating revenue by supplying high-value-added products primarily for semiconductor manufacturing equipment applications. The company places emphasis on the ordinary income to net sales ratio as a key management indicator, and continuously implements selling price revisions and cost reductions.
Company Strengths
The company has continuously expanded the usable liquid temperature range for PDH-type pumps used in semiconductor manufacturing applications, enhancing its ability to respond to new processes in the market. In FY2026 (ending March 2026), orders for pumps for semiconductor manufacturing equipment exceeded expectations, and sales performance in the Pump segment recorded high growth of 118.0% year-on-year.
Multiple consolidated subsidiaries, including Okayama Sansoh Electric, Shingu Sansoh Electric, Sanso Seiko, and Shanghai Sansoh Electric, handle component processing, assembly, and stator manufacturing, establishing an integrated production system within the group. In February 2026, the company newly established Kasai Sansoh Electric Co., Ltd. and incorporated the metal products processing business of Ishino Seisakusho, further strengthening in-house production capabilities.
The company operates a rigorous verification process combining CAE analysis technologies for structural, fluid, and magnetic field analysis with evaluation equipment, achieving the development of products with high reliability even under harsh usage environments. Research and development expenses amounted to ¥470 million in the fiscal year under review, and the company is also advancing technological expansion into new fields such as specialty pumps and application unit products.
ENVALITH's Perspective
Performance Trend
Revenue trend: ¥17,099 million in FY2022 (ended March 2022) → ¥18,619 million in FY2023 (ended March 2023, peak) → ¥17,667 million in FY2024 (ended March 2024) → ¥16,030 million in FY2025 (ended March 2025, trough) → ¥18,292 million in FY2026 (ending March 2026) (up 14.1% year on year). Operating profit fell sharply to ¥69 million in FY2025 but rebounded sharply to ¥794 million in FY2026 (up approximately 11-fold year on year). The main external factor was that orders for Pumps for Semiconductor Manufacturing Equipment & Industrial Pumps increased more than expected, driven by demand related to generative AI. Ordinary profit was ¥863 million (up 532.4% year on year), and profit attributable to owners of parent was ¥568 million (up 380.0% year on year). Operating cash flow improved substantially to ¥1,711 million from ¥302 million in the prior period. For FY2027 (ending March 2027), the company forecasts revenue of ¥18,800 million and operating profit of ¥1,300 million.
Growth Strategy
Capturing growth in the semiconductor market and diversifying revenue through unit products and new customer development
In response to increased capital expenditure by semiconductor manufacturing equipment makers, driven mainly by generative AI–related demand, the company has strengthened its supply capabilities for Pumps for Semiconductor Manufacturing Equipment & Industrial Pumps. In FY2026 (ending March 2026), orders exceeded expectations, achieving a significant recovery in both revenue and profit.
To respond to changes in the business environment, the company has continuously worked on revising sales prices and reducing costs, improving the operating profit margin from 0.4% in FY2025 (ending March 2025) to 4.3% in FY2026 (ending March 2026). The FY2027 (ending March 2027) forecast anticipates further improvement in the profit margin.
Through product planning and development of Motor & Pump Application Unit Products, the company aims to develop new customers and diversify its revenue structure to reduce dependence on specific customers and applications. It continues to promote improved product satisfaction and expansion to new customers.
In preparation for further growth in the semiconductor manufacturing equipment market, the company continues its efforts to strengthen its production system and stabilize procurement of raw materials and components, addressing geopolitical risks and supply disruption risks through procurement stabilization.
Last updated: July 19, 2026