PULSTEC INDUSTRIAL CO.,LTD.

Business Details

This is the Group's core segment, engaged in the manufacturing and sale of the Portable X-ray Residual Stress Measurement System (μ-X360J and other models), as well as Contract Measurement Services and equipment rental. The segment focuses on raising awareness through domestic and overseas exhibitions, academic conferences, and webinars, with major customers including manufacturers related to transportation equipment, semiconductor manufacturing equipment, and medical devices. It also expands into the North American market through the U.S. subsidiary Pulstec USA, Inc., and is a high-value-added business boasting the highest profit margin among all segments.

Recent Overview

Net sales rose 6.4% year-on-year to ¥893 million, but the profit margin declined and orders received fell sharply

In FY2026 (ending March 2026), deliveries generally progressed smoothly, and net sales reached ¥893 million (up 6.4% year-on-year). Meanwhile, segment profit came to ¥347 million (down 4.4% year-on-year), and the profit margin declined to 38.9% from 43.3% in the prior year. On the order front, orders received decreased sharply to ¥745 million (71.4% of the prior year level), and the order backlog also contracted significantly to ¥133 million (47.3% of the prior year level). Inquiries from new customers are said to be active, and the Company aims to secure early orders through continued demo unit rentals and measurement services, as well as exhibition participation and internet-based promotional activities.

Key Products

Growth Drivers

• Active inquiries from new customers, with early order acquisition through continued demo unit rentals, ongoing measurement services, exhibition and academic conference participation, and internet promotional activities
• New customer development through continued webinars and showroom demonstrations aimed at raising awareness of products centered on the μ-X360J
• Expansion into overseas markets including North America, Europe, and Asia through strengthened cooperation with the U.S. subsidiary Pulstec USA, Inc. and overseas distributors (North American sales in FY2026 (ending March 2026) increased to ¥76 million from ¥49 million in the prior year)
• Securing recurring revenue through enhanced support systems and expanded maintenance services for existing customers
• Expectations of increased orders accompanying the recovery of capital investment demand from manufacturers related to semiconductor manufacturing equipment, medical devices, and transportation equipment

Risks

• Risk that performance is highly susceptible to capital investment trends among electronics, machinery, and automotive-related manufacturers, with the order environment potentially cooling rapidly amid an uncertain economic outlook
• Risk that orders received in FY2026 (ending March 2026) declined sharply to 71.4% of the prior year level (¥745 million) and the order backlog also shrank to ¥133 million (47.3% of the prior year level), limiting the sales contribution in subsequent periods
• Risk of period-to-period performance volatility due to concentration or timing gaps in the receipt and revenue recognition timing of large-scale orders
• Risk of prolonged production periods and lost orders if procurement difficulties for semiconductors and other electronic components continue
• Risk of disruption to order-taking activities and production systems due to difficulty securing human resources
• Risk of adverse effects on overseas sales due to intensifying U.S. tariff policy and heightened geopolitical risk