DAISHINKU CORP.

Business Details

This segment is handled by Daishinku Corp. itself, responsible for domestic manufacturing and sales. It manufactures Crystal Units, Crystal Oscillators (TCXO, etc.), and other crystal application electronic components including the Arkh Series, and sells them for automotive, industrial, consumer, and communications applications. Internal transfers to overseas subsidiaries (inter-segment sales of ¥23,268 million) substantially exceed external sales (¥7,428 million), reflecting the segment's significant role as the group's manufacturing supply base. The company is currently promoting the introduction of a next-generation fully automated production pilot line.

Recent Overview

Sales increased across all fields, with a dramatic improvement from a large loss in the prior period to profit of ¥1,053 million

In FY2026 (ending March 2026), sales increased across all domestic fields, and sales to external customers reached ¥7,428 million (up ¥456 million, or 6.6%, year on year). Segment profit reached ¥1,053 million, a dramatic improvement of ¥1,896 million from the segment loss of ¥842 million in the prior period. Increased production and sales of high-value-added products and cost reductions contributed to this result. Segment assets expanded to ¥60,639 million (up ¥7,129 million year on year) due to an increase in construction in progress and other factors.

Key Products

Growth Drivers

• Steady trends in the automotive field (expanding demand driven by progress in ADAS and electrification)
• Growing demand for differential output oscillators for AI data centers and optical transceivers
• Expanded sales of the Arkh Series (expanding the Arkh.3G and Arkh.2G lineup and promoting industry standardization)
• Achieving 5-7 times the output compared to conventional methods through wafer-level batch processing, providing overwhelming cost advantages
• Improved productivity and enhanced competitive advantage through larger 6-inch wafer format
• Development of fully automated production through DX promotion and introduction of automated transport robots

Risks

• Risk of recurring demand decline in the communications and consumer fields due to sharp increases in memory semiconductor prices
• Structural dependence on inter-segment internal transfers (low external sales ratio, with performance affected by demand trends at overseas subsidiaries)
• Increased fixed cost burden due to rising depreciation expenses associated with increases in construction in progress and fixed assets
• Risk of decreased internal transfer demand due to deteriorating performance at overseas subsidiaries, such as the significant profit decline in the Taiwan segment
• Rising manufacturing costs due to supply uncertainty and geopolitical risk regarding natural resources such as helium
• Foreign exchange risk (impact on internal transfer pricing for overseas shipments)