DENSO CORPORATION
6902・Prime Market・Transportation Equipment
Japan
DENSO's core segment. Its largest base handling domestic manufacturing, sales, and R&D functions.
| Period | Current | Previous | Change |
|---|---|---|---|
| Revenue (segment total) | ¥4,404,093 million | ¥4,216,429 million | ↑ |
| Revenue from external customers | ¥3,087,881 million | ¥2,918,587 million | ↑ |
| Inter-segment internal revenue | ¥1,316,212 million | ¥1,297,842 million | ↑ |
| Operating profit (segment profit) | ¥185,913 million | ¥220,545 million | ↓ |
| Segment assets | ¥5,413,866 million | ¥5,121,424 million | ↑ |
| Depreciation and amortization | ¥260,342 million | ¥243,000 million | ↑ |
| Increase in non-current assets | ¥295,056 million | ¥312,189 million | ↓ |
Business Details
The Japan segment is centered on DENSO Corporation, which manufactures and sells a wide range of automotive parts including Thermal Systems, Powertrain Systems, Mobility Electronics, Electrification Systems, Advanced Devices, and the Non-Automotive Business. Its main customer is the Toyota Group, and as a domestic manufacturing base it also handles internal supply to other segments. Inter-segment internal revenue amounts to ¥1,316,212 million.
Recent Overview
Revenue expanded on higher vehicle sales, but soaring material costs and increased personnel investment squeezed profit, with operating profit down 15.7% year on year.
In the Japan segment for FY2026 (ending March 2026), revenue expanded to ¥4,404,093 million (up 4.5% year on year) due to an increase in vehicle sales. Meanwhile, operating profit decreased significantly to ¥185,913 million (down ¥34,632 million, or 15.7%, year on year). Although there were improvement effects from rationalization efforts, the impact of soaring material costs and increased investment in people squeezed profit. Revenue from the main customer, the Toyota Group, increased to ¥4,134,582 million on a consolidated basis (¥3,903,121 million in the prior period).
Key Products
Growth Drivers
- Expansion of revenue due to an increase in vehicle sales (up 4.5% year on year)
- Continued efforts to improve profitability through rationalization efforts
- Improvement in product mix through expanded sales of electrification and safety/security products, etc.
- Expansion of internal supply to other segments (internal revenue of ¥1,316,212 million)
- Strengthening R&D cost recovery and promoting investment in focus areas
- Value-added enhancement measures based on the 2030 mid-term management plan "CORE2030"
Risks
- Profit pressure from soaring material costs (main cause of the 15.7% year-on-year decline in operating profit for FY2026)
- Cost increase due to increased investment in people
- Risk of earnings deterioration due to the impact of US tariffs
- Risk of production stoppages or vehicle output cuts among Japanese customers
- Risk of recurrence of product warranty provisions (a large provision was recorded in the prior consolidated fiscal year)
- Increase in fixed costs due to future growth investment (R&D, capital expenditure), with depreciation and amortization trending upward at ¥260,342 million
- Supply chain disruption due to geopolitical risks such as the situation in the Middle East
Last updated: June 11, 2026