ONO SOKKI Co., Ltd.

Business Details

Manufactures and sells rotation & speed, dimension & displacement, acoustic & vibration, torque, and automotive performance measuring instruments as well as software and data analysis equipment. Primarily offered on a made-to-forecast production basis, with global expansion through overseas subsidiaries in the U.S., Thailand, India, and China in addition to domestic sales. Major customer segments include the automotive industry (HEV/PHEV response, OS update demand), semiconductor manufacturers, and air conditioning/motor manufacturers. Overseas sales expansion is positioned as a key theme in the medium-term management plan "Challenge Stage IV."

Recent Overview

Net sales increased 16.0% year-on-year to ¥1,260 million, but segment profit declined slightly due to increased investment in overseas sales expansion

In the first quarter of FY2026 (ending December 2026), net sales increased to ¥1,260 million (up 16.0% year-on-year). Demand for internal combustion engine and motor testing driven by a resurgence toward HEV/PHEV, OS update demand, and demand for dimension & displacement measurement from semiconductor customers all increased. On the other hand, segment profit declined slightly to ¥10 million (down 9.7% year-on-year) due to increased product planning and sales promotion expenses for overseas sales expansion under the medium-term management plan. Orders received fell below the prior-year level to ¥1,084 million (down 5.5% year-on-year), affected by a rebound decline in the torque measurement field, among other factors.

Key Products

Growth Drivers

• Increased inquiries for internal combustion engine and motor testing driven by recovery in HEV/PHEV demand
• Expanding demand for updating existing equipment and responding to regulatory requirements due to the end of OS support
• Increased demand for dimension & displacement measurement from semiconductor-related companies
• Expanding inquiries driven by new products (version upgrade of the portable vibration meter VW-3100) and the release of the test result visualization software ExSummary
• Strengthening of the overseas sales expansion structure based on the medium-term management plan "Challenge Stage IV" (expansion of distributor agreements, development of products dedicated to overseas market entry)
• Strong orders in the acoustic & vibration field from air conditioning equipment and motor manufacturers

Risks

• Risk of profit pressure from increased investment in overseas sales expansion (product planning and sales promotion expenses), having recorded an operating loss for the full year FY2025 (ended December 2025) and a slight profit decline in Q1 FY2026 (ending December 2026) as well
• Impact on raw material price increases and customer demand from deteriorating conditions in the Middle East and Japan-China relations
• Uncertainty in the electrification shift of the automotive industry (risk of demand decline if the swing back toward HEV/PHEV proves temporary)
• Demand fluctuations by product category, including a rebound decline in orders in the torque measurement field
• Order backlog has decreased from ¥755 million at the end of December 2025 to ¥579 million at the end of March 2026, with accumulation of future sales resources weaker than in the Custom Test Systems & Services segment
• Overseas sales ratio remains at a low level, posing a risk that the contribution of overseas sales expansion to results will be delayed