MABUCHI MOTOR CO., LTD.

Business Details

The Japan Segment consists of Mabuchi Motor's head office together with Mabuchi Oken, Mabuchi OB Gear System, Mabuchi Micro Tech, Adachi Protechno Co., Ltd., Mabuchi Engineering, and Mabuchi Motor NPM Co., Ltd. (formerly Japan Pulse Motor), which was acquired in January 2026, among others. The segment integrates the supply of parts and production equipment to overseas manufacturing sites, sales of small motors to domestic and overseas customers, and high-precision resin gears, stepping motors, and motion control products acquired through M&A, to advance the provision of "motion" solutions.

Recent Overview

The acquisition of Japan Pulse Motor as a subsidiary marks a full-scale entry into the motion control field, while segment profit fell sharply.

On January 8, 2026, the company acquired all shares of Japan Pulse Motor Co., Ltd. (now Mabuchi Motor NPM Co., Ltd.) at an acquisition cost of ¥6,517 million, adding 13 companies to the scope of consolidation. As a result, goodwill of ¥944 million (provisional) arose in the Japan Segment. External customer sales increased to ¥6,559 million (up 15.4% year on year), but segment profit declined sharply to ¥1,578 million (down 43.1% year on year). This appears to reflect increased costs from M&A-related expenses and higher SG&A expenses. In addition, on April 23, 2026, the Board of Directors resolved to acquire shares of Masudac Co., Ltd. (a food machinery manufacturer, with an estimated acquisition cost of ¥15,632 million), with the transfer scheduled for execution in mid-June 2026.

Key Products

Growth Drivers

• The consolidation of Mabuchi Motor NPM (formerly Japan Pulse Motor) has enabled the acquisition of motion control technology combining motors with control systems, accelerating expansion into the medical, semiconductor, industrial machinery, defense, and aerospace fields
• Expansion of the product lineup and sales base through the consolidation via M&A of Mabuchi OB Gear System (high-precision resin gears) and Mabuchi Micro Tech (stepping motors)
• Increased orders from Japanese customers for power seat and power window motors in the automotive electronics market, and a substantial increase in air conditioning damper units
• Stable demand for health and medical applications in the Life & Industry Equipment market, and new order acquisition in machinery and mobility applications
• Enhanced value-added through the provision of unit solutions combining motors, gears, and control systems based on the "e-MOTO" business concept
• Further expansion into the machinery domain through the planned subsidiarization of Masudac Co., Ltd. (a food machinery manufacturer) in June 2026

Risks

• Risk that increases in SG&A expenses and goodwill amortization associated with the increase in group companies through M&A (13 companies including Japan Pulse Motor, Masudac, etc.) will push up the cost structure and pressure segment profit
• Adverse impact on consolidated results from foreign exchange rate fluctuations (particularly yen appreciation) (earnings forecast assumes an exchange rate of ¥150 to the US dollar)
• Risk of declining profit margins due to intensifying price competition, including the rise of Chinese competitors
• Impact of weak demand in the automotive electronics market in Europe, the Americas, and China (due to tariff policies and reduced subsidies)
• Risk that integration and synergy creation with M&A targets (Mabuchi Motor NPM, Masudac, etc.) will not proceed as planned
• Risk of increased financial burden from the settlement of funds (scheduled for June 2026) for the Masudac acquisition cost (estimated at ¥15,632 million)