Fulltech Co.Ltd.

Business Details

Provides procurement, sales, design, installation, and maintenance services through an integrated in-house structure, covering everything from general automatic door opening/closing systems for building entrances to large-scale heavy door systems for factories and similar facilities. Operates 38 locations centered on the Hokkaido, Tohoku, and Kanto regions, serving building owners, design firms, general contractors, and similar clients. Has a stock-type business model built on a revenue base of renewals of existing automatic doors and periodic inspection/maintenance contracts. Net sales for FY2025 (ending December 2025) were ¥8,671 million, accounting for 63.9% of consolidated net sales, making it the core segment.

Recent Overview

Maintenance revenue increased, but profit declined 8.5% year-on-year due to lower renewal revenue and booking of a large loss-making construction project

In the first quarter of FY2026 (ending December 2026) (January–March 2026), net sales in the automatic door-related segment were ¥2,266 million (up 0.6% year on year), a slight increase. While maintenance revenue increased on steady growth in maintenance contracts, renewal revenue declined. On the profit side, segment profit (operating profit) came to ¥520 million (down 8.5% year on year) due to the booking of a large loss-making construction project in the new installation division and the decline in renewal revenue. The impact of the fire at the Utsunomiya branch warehouse that occurred in January 2026 is already factored into the full-year earnings forecast.

Key Products

Growth Drivers

• Steady growth in the number of maintenance contracts (total units under management of 323,386, up 2.8% year on year), leading to stable expansion of maintenance revenue
• Continued expansion of renewal orders (sales value up 8.8% year on year in FY2025, ending December 2025)
• Growing order backlog (¥1,412,912 thousand, up 11.0% year on year), improving visibility of future sales
• Higher average revenue per customer driven by the Entrance Area Renovation Business
• Strengthened customer touchpoints and improved maintenance contract ratio through the "Customer My Page" platform
• Deepening demand in the greater Tokyo area (Kanto region) (total units under management of 131,503, up 4.6% year on year)
• Focus on accumulating orders for short-lead-time projects and improving profit margins

Risks

• Profit pressure from booking a low-profitability, large-scale loss-making construction project in the new installation division (materialized in Q1 FY2026, ending December 2026)
• Declining trend in renewal revenue (down year on year in Q1 FY2026, ending December 2026)
• Rising SG&A expenses due to increased personnel costs and depreciation expenses related to the new core system, among other costs
• Increasing difficulty in securing installation and maintenance service personnel amid worsening labor shortages
• Intensifying competition with rival companies (price competition in the automatic door market)
• Downside risk to construction investment from macroeconomic risks such as US tariff policy, exchange rate fluctuations, and price increases
• Temporary operational impact from the fire at the Utsunomiya branch warehouse that occurred in January 2026 (already addressed through insurance and factored into the full-year forecast)