Nippon Tungsten Co.,Ltd.
6998・Standard Market・Electric Appliances
Machine Parts Business
Precision machinery components segment centered on Magnetic Head Substrates for HDDs and NT Die Cutters
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment sales (external customers + internal) | ¥6,854 million | ¥7,146 million | ↓ |
| Sales to external customers | ¥6,837 million | ¥7,121 million | ↓ |
| Segment profit (operating income basis) | ¥662 million | ¥885 million | ↓ |
| Segment assets | ¥8,837 million | ¥9,049 million | ↓ |
| Depreciation and amortization | ¥354 million | ¥365 million | ↓ |
| Impairment loss | ¥797 million | ¥0 million | ↓ |
| Increase in tangible and intangible fixed assets | ¥521 million | ¥446 million | ↑ |
| Investment in equity-method affiliates | ¥858 million | ¥788 million | ↑ |
Business Details
Manufactures and sells NT Die Cutters (components for hygiene product manufacturing equipment), Magnetic Head Substrates for HDDs (for large-capacity HDDs used in data centers), Metal Parts for Twin-Screw Kneading Extruders, semiconductor/LCD-related machine parts, wear- and corrosion-resistant parts, and precision-machined carbide/ceramic products, among others. Centered on domestic manufacturing, the segment supplies the semiconductor/electronic components market, hygiene products equipment/medical parts market, and industrial equipment/parts market in cooperation with affiliated companies in China, the United States, Italy, and Thailand. In FY2026 (ending March 2026), this segment accounted for approximately 53% of consolidated external sales, making it the core segment.
Recent Overview
A sharp decline in China-related demand in the industrial equipment/parts market and recognition of an impairment loss directly impacted performance
In the Machine Parts Business for FY2026 (ending March 2026), sales decreased 4.1% year on year to ¥6,854 million, and segment profit decreased 25.2% year on year to ¥662 million, resulting in lower sales and profit. NT Die Cutters and Magnetic Head Substrates for HDDs remained solid, but the lull in China-related demand for Metal Parts for Twin-Screw Kneading Extruders and inventory adjustments for Wear-Resistant Components for steel mills were major factors in the substantial decrease in sales. In addition, due to declining profitability in the industrial equipment/parts market, an impairment loss on fixed assets of ¥797 million was recognized as an extraordinary loss.
Key Products
Growth Drivers
- Continued strong demand for Magnetic Head Substrates for HDDs against a backdrop of expanding data center investment
- Expanded sales of new structural units for NT Die Cutters and capture of new capital investment demand from overseas customers
- Progress in sales expansion activities in the hygiene products/medical parts market and growth in demand for medical applications
- Recovery in mass production demand for Metal Parts for Twin-Screw Kneading Extruders (customers' mass production demand is expected to be pushed back)
- Utilization of the global manufacturing and sales structure, including the equity-method affiliate SV NITTAN CO., LTD.
Risks
- Substantial decline in China-related demand (Metal Parts for Twin-Screw Kneading Extruders, etc.) and risk of continued stagnation in the Chinese economy
- Rising raw material procurement costs and supply risk associated with China's strengthened tungsten export controls
- Profit pressure from prolonged high raw material (tungsten, etc.) prices
- Risk of additional impairment associated with declining profitability in the industrial equipment/parts market
- Impact on trade and supply chains from U.S. tariff policy developments
- Risk of sales fluctuation due to a lull in demand from some customers (Molds for Electronic Equipment Manufacturing, etc.)
- Risk of prolonged inventory adjustment for wear-resistant components for steel mills
Last updated: June 25, 2026