DAISHINKU CORP.
6962・Prime Market・Electric Appliances
Business
Daishinku Corp. is a specialized manufacturer that handles the entire process from growing artificial crystal to producing and selling crystal devices, including General Crystal Units / Tuning Fork Crystal Units and Crystal Oscillators (TCXO, etc.). With domestic locations (Hyogo, Tottori, Tokushima, Kyushu) as core manufacturing bases, the company operates globally through a network of 14 companies, including manufacturing subsidiaries in Taiwan, China, Indonesia, and Thailand, and sales subsidiaries in the United States, Germany, Hong Kong, Singapore, and other locations. Major customers are manufacturers in the automotive (ADAS, electrification), telecommunications (5G, optical transceivers), consumer (wearables, PCs), and industrial/AI data center sectors, with overseas sales accounting for approximately 87% of total sales.
Business Model
The company internalizes the entire process of crystal growth, processing, and assembly at its domestic mother factory, transferring technology to and outsourcing manufacturing to overseas manufacturing subsidiaries. Finished products are sold directly by regional sales subsidiaries to manufacturers in the automotive, communications, consumer, and industrial sectors. The company's proprietary Arkh Series achieves 5 to 7 times the output of conventional methods through WLP (Wafer Level Package) technology, aiming to improve profitability by combining cost competitiveness with high added value.
Company Strengths
The Arkh Series adopts photolithography and WLP (Wafer Level Package) technology, achieving 5-7x output per unit area compared to conventional 1-by-1 manufacturing through wafer-level batch processing. It eliminates the need for ceramic packages and conductive adhesives, reducing material costs, and further cost reductions are being pursued through the adoption of larger 6-inch wafers. The company has established a proprietary manufacturing process that is difficult for competitors to replicate in a short period.
The company develops and manufactures a wide variety of products in-house, including Crystal Units, Crystal Oscillators (SPXO, TCXO, OCXO), and crystal filters, and holds the No.1 share in the crystal filter field. The Arkh Series product lineup has been expanded to include crystal units (Arkh.3G, Arkh.6G), oscillators (Arkh.2G), and high-frequency differential output oscillators (supporting 625MHz), promoting customer lock-in through single-source supply.
With a history of over 60 years since its founding in 1963, the company operates multiple domestic sites in addition to manufacturing subsidiaries in Taiwan, China, Indonesia, and Thailand, and sales subsidiaries in the United States, Germany, Hong Kong, Singapore, and other locations. In FY2026 (ending March 2026), overseas sales amounted to ¥34,462 million, accounting for approximately 87% of the total, reflecting a global customer base and supply system that has been built up. In October 2025, a new site was also established in Poland, strengthening the company's expansion in Europe.
ENVALITH's Perspective
Performance Trend
Revenue peaked at ¥41,306 million in FY2022 (ending March 2022), gradually declined to ¥38,621 million in FY2025 (ending March 2025), then recovered slightly to ¥39,552 million in FY2026 (ending March 2026), up 2.4% year on year. Operating profit plunged from ¥5,195 million in FY2022 (ending March 2022) to ¥915 million in FY2025 (ending March 2025), then improved for two consecutive periods to ¥1,133 million in FY2026 (ending March 2026). However, gross profit decreased by ¥141 million year on year, and the main driver of the operating profit improvement was a reduction in SG&A expenses (from ¥8,410 million to ¥8,050 million). As external factors, a sharp rise in memory semiconductor prices led to reduced demand in the communications and consumer sectors, while a surge in the Taiwan dollar weighed on the Taiwan segment, causing a decline in revenue (down 5.2%) and a sharp drop in profit (down 89.7%). On the other hand, steady performance in the automotive sector and a recovery in the industrial sector supported revenue growth in North America, Europe, and Japan. Operating CF turned negative at ¥(1,779) million due to a sharp increase in inventories, indicating that the actual cash-generating capacity is more severe than the headline figures suggest.
Growth Strategy
Paradigm shift in the crystal device industry through the Arkh concept and advancement of the OCEAN+2 strategy
Rolling out the world's thinnest Arkh.3G (adopting WLP technology, targeting IC integration) and Arkh.2G (a crystal oscillator compatible with conventional products). Wafer-level batch processing achieves 5 to 7 times the output compared to conventional methods, establishing overwhelming cost advantage and productivity. No new factory construction is required, also suppressing CO2 emissions.
Positioning competitors as partners, the company promotes industry standardization by supplying Arkh Series crystal units as the "embedded crystal unit" within crystal oscillators. Rather than limiting supply to a single company, the aim is to spread adoption across the entire industry, expanding market size and creating stable demand.
Capturing expanding demand for differential output oscillators driven by the increase in AI data centers, optical transceivers, and the spread of edge AI, as well as demand for thin, lightweight crystal devices for wearables such as smart glasses. Steady growth in the automotive sector (ADAS, electrification) also continues to serve as a growth driver. External tailwinds in the market environment are also present.
Advancing DX promotion and the development of fully automated production through the introduction of automated transport robots, realizing a "factory of the future" suited to an era of declining working population. Continuing to enlarge crystal wafer sizes and pursuing continuous technological innovation to establish an unmatched competitive advantage, achieving both improved profitability and reduced environmental impact.
The Arkh Series uses little heavy oil and no helium, giving it product characteristics resilient to geopolitical risks such as heightened tensions in the Middle East. The increase in raw materials and stored goods (from ¥6,492 million in the previous period to ¥11,980 million in the current period) is also positioned as part of strengthening the stable supply system, though balancing this against cash flow deterioration from the rapid rise in inventory remains a challenge.
Last updated: July 19, 2026

