ENVALITH
能美防災株式会社 logo

NOHMI BOSAI LTD.

6744・Prime Market・Electric Appliances

Official website
能美防災株式会社 logo
NOHMI BOSAI LTD.6744

Business

Nohmi Bosai Ltd. is a pioneer in the disaster prevention business, founded in 1924 for the manufacture and sale of automatic fire alarm devices, and operates under the group umbrella of its parent company, Secom Co., Ltd. Centered on its three core segments of Fire Alarm Systems, Fire Extinguishing Equipment, and Maintenance & Inspection, etc., the company has built an integrated value chain spanning R&D, manufacturing, sales, installation work, maintenance & inspection, and repair of its products. Through 30 domestic consolidated subsidiaries and 4 affiliated companies, it operates a nationwide construction and maintenance network, and also maintains overseas locations in Taiwan, China, and India. Its main customers are facility owners of general buildings, high-rise buildings, petrochemical plants, tunnels, and the like, as well as general contractors, and consolidated net sales for FY2026 (ending March 2026) reached a record high of ¥139,657 million.

Business Model

The company adopts a vertically integrated model consisting of product manufacturing (in-house factories) → sales and installation work (group construction companies) → maintenance inspection and repair (nationwide locations). While the Maintenance & Inspection, etc. segment (net sales of ¥36,734 million, operating margin of 21.7%), based on statutory inspection obligations, generates stable recurring revenue, new installation and renewal work for Fire Alarm Systems and Fire Extinguishing Equipment serves as a growth driver. Through planned price revisions and operational efficiency improvements, the company has improved its cost of sales ratio to 62.5%, achieving an operating margin of 13.1%.

Company Strengths

The company has built an integrated system covering product development at its own R&D center and factories, installation work by more than 30 group construction companies nationwide, and ongoing maintenance, inspection, and repair. With 148 R&D staff (approximately 5% of total employees) and R&D expenditure of ¥3,078 million, it continuously brings new products to market, such as next-generation photoelectric smoke detectors and PFAS-free fire extinguishing equipment.

In FY2026 (ending March 2026), the Fire Extinguishing Equipment segment achieved net sales of ¥46,873 million, operating profit of ¥10,842 million, and an operating margin of 23.1%. The company selectively takes on highly profitable orders, centered on specialized projects such as plants and tunnels, and has built up an order backlog of ¥53,022 million (up 21.5% year on year), resulting in a high level of both future sales visibility and profitability.

At the end of FY2026 (ending March 2026), the consolidated order backlog reached ¥91,474 million (up 30.7% year on year), and orders received also grew strongly to ¥161,165 million (up 15.4% year on year). The order backlog increased across all core segments—Fire Alarm Systems, Fire Extinguishing Equipment, and Maintenance & Inspection, etc.—ensuring high visibility into sales recognition for the next period and beyond, underpinned by the company's own sales capabilities and construction capacity.

ENVALITH's Perspective

Net sales reached ¥139,657 million (up 4.5% year on year), operating profit reached ¥18,349 million (up 17.0%), and profit attributable to owners of parent reached ¥13,648 million (up 23.0%), with all major indicators renewing record highs. Order intake of ¥161,165 million and order backlog of ¥91,474 million were also at record levels, and progress toward the FY2029 (ending March 2029) targets (net sales of ¥170,000 million or more and operating margin of 12% or more) can be assessed as favorable. While it should be noted that the steady increase in disaster prevention equipment capital investment as an external tailwind has been supportive, it can be confirmed that the company's own price revisions and efficiency efforts are the main drivers of the margin improvement.

The consolidated earnings forecast for FY2027 (ending March 2027) projects net sales of ¥157,600 million (up 12.8% year on year) against operating profit of ¥19,000 million (up 3.5%), indicating that profit growth is expected to slow relative to the pace of sales growth. This is mainly attributable to an increase in SG&A expenses to advance priority measures under "Stage III," and the operating margin is planned to decline to 12.1% from 13.1% in FY2026 (ending March 2026). Continued increases in raw material prices and labor costs, along with response costs related to the overtime work cap regulations, are expected to continue to weigh on margins as external factors, making the balance between the pace of price revision pass-through and rising costs a key point to watch.

In FY2026 (ending March 2026), the company spent ¥9,194 million on the acquisition of subsidiary shares involving a change in the scope of consolidation, causing the goodwill balance to surge from ¥792 million to ¥3,828 million, while cash flow from investing activities expanded significantly to an outflow of ¥15,866 million (compared to ¥7,090 million in the prior period). Cash and cash equivalents decreased to ¥34,589 million (from ¥42,637 million in the prior period), but the financial base remains solid, with an equity ratio of 76.2% and debt-free management (zero short-term borrowings). Given the policy of continuing to actively pursue M&A going forward, it will be necessary to continuously monitor the increasing burden of goodwill amortization and the extent to which acquisition synergies are realized.

Growth Strategy

Under the medium- to long-term vision 2028 "Stage III," the company targets net sales of ¥170,000 million or more and an operating margin of 12% or higher in FY2029 (ending March 2029)

The company continues to improve its cost of sales ratio through planned price revisions, operational efficiency improvements, and DX promotion. The operating margin of 13.1% in FY2026 (ending March 2026) has already exceeded the FY2029 (ending March 2029) target of 12% or higher, making sustaining this high level a key challenge going forward. The company will continue to strengthen recruitment, training, and deployment of personnel to expand construction capacity.

In FY2026 (ending March 2026), Meisei Electric Co., Ltd. was newly consolidated, driving rapid expansion in the "Other" segment, with order intake up 137.4% year on year and order backlog up 674.5% from the end of the previous fiscal year. ¥9,194 million was invested in the acquisition of subsidiary shares, with inorganic growth through M&A accelerating overall business expansion. The company will continue to pursue active M&A in disaster prevention-adjacent areas.

The company is rolling out the Future Co-Creation Project, which promotes "deepening and exploring businesses" and "developing proposal-oriented talent" through organizational initiatives and frameworks, aiming to create new revenue sources beyond the scope of the existing disaster prevention business. As of FY2026 (ending March 2026), the concrete contribution to performance remains limited, with medium- to long-term results yet to be seen.

The company promotes stable and continuous shareholder returns, aiming to advance the "Medium- to Long-Term Vision 2028" and achieve a 50% consolidated payout ratio. The annual dividend for FY2026 (ending March 2026) was ¥116 (payout ratio of 50.0%), achieving the target. For FY2027 (ending March 2027), an annual dividend of ¥116 (forecast payout ratio of 51.3%) is planned, realizing dividend increases in line with profit growth.

Last updated: July 19, 2026