HOCHIKI CORPORATION
6745・Prime Market・Electric Appliances
Fire Alarm Systems
Hoken Fire's core segment. Manufactures, sells, and installs Automatic Fire Alarm Systems and related products both domestically and overseas.
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment net sales (full year, FY2026 ending March 2026) | ¥66,401 million | ¥62,486 million | ↑ |
| Segment operating profit (full year, FY2026 ending March 2026) | ¥11,187 million | ¥8,974 million | ↑ |
| Segment assets (end of FY2026, March 2026) | ¥52,325 million | ¥48,384 million | ↑ |
| Orders received (full year, FY2026 ending March 2026) | ¥68,627 million | ¥63,280 million | ↑ |
| Order backlog (end of FY2026, March 2026) | ¥14,951 million | ¥12,724 million | ↑ |
| Of which overseas sales (full year, FY2026 ending March 2026) | ¥24,870 million | ¥22,579 million | ↑ |
| Share of consolidated net sales (FY2026 ending March 2026) | 62.7% | 61.9% | ↑ |
Business Details
This segment covers the manufacture, sale, and installation of Automatic Fire Alarm Systems, Emergency Alarm Systems, Fire Notification Devices, and related products. Domestically, it captures demand for building renewals, while overseas expansion centers on the Asia-Pacific region. As the largest segment, accounting for approximately 62.7% of consolidated net sales, it is positioned as a priority area—alongside overseas expansion and renewal demand—under the mid-to-long-term management plan "GLOBAL VISION 2030."
Recent Overview
Sales and profit both reached record highs, driven by domestic renewal demand and growth in overseas business.
In FY2026 (ending March 2026), growth in domestic renewal demand and overseas business—centered on the Asia-Pacific region—drove net sales of ¥66,401 million (up 6.3% year on year) and operating profit of ¥11,187 million (up 24.7% year on year). Orders received were also strong at ¥68,627 million (up 8.5% year on year), and the order backlog at fiscal year-end grew to ¥14,951 million (up 17.5% year on year), improving visibility into next fiscal year's sales. Goodwill balance decreased to ¥93 million (from ¥145 million at the prior fiscal year-end).
Key Products
Growth Drivers
- Continued expansion of domestic building renewal demand (replacement demand for aging equipment)
- Growth in overseas business centered on the Asia-Pacific region (overseas sales of ¥24,870 million in FY2026, up 10.1% year on year)
- Improved profitability through order-taking activities that emphasize profitability (operating margin of 16.8%, improved from 14.4% in the prior period)
- Improved visibility into future sales due to a growing order backlog (¥14,951 million at end of FY2026, up 17.5% year on year)
- Strengthened development, DX investment, and sales activities under the mid-to-long-term management plan "GLOBAL VISION 2030"
Risks
- Profit pressure from rising labor costs, raw material prices, and logistics costs
- Impact of foreign exchange rate fluctuations on the yen-denominated value of overseas sales
- Impact on the global economy from U.S. tariff policy and geopolitical risks (Ukraine, Middle East)
- Increased costs to comply with overtime work limit regulations
- Declining earnings contribution from past M&A deals amid a shrinking goodwill balance (¥93 million at end of FY2026, ending March 2026)
Last updated: June 23, 2026