TOLI Corporation
7971・Standard Market・Chemicals
Business
Toli Corporation is a comprehensive interior materials manufacturer founded in 1919, with its core business being the manufacture and sale of domestic interior products, primarily Vinyl Flooring, Carpet, Wallcovering Materials, and Window Treatment. Under a group structure comprising 17 consolidated subsidiaries and 1 affiliated company, the company operates across three segments: Interior Business (domestic manufacturing/sales and interior construction), Global Business (exports and overseas local sales), and Building Materials & Other Business (building materials, housing equipment, and inter-industry industrial materials). Its main customers span the non-residential contract market—including accommodation facilities, offices, schools, and medical/welfare facilities—as well as the residential market. The company is listed on the Standard Market of the Tokyo Stock Exchange.
Business Model
The company builds an integrated value chain spanning product development and manufacturing (in-house factories in Itami, Atsugi, Shiga, etc.) through logistics, sales, and construction. Wholesale sales to distributors and construction contractors via group sales companies (such as Ric Corporation), along with interior construction work, form the core of revenue. Profitability is secured through two approaches: raising average selling prices via the introduction of high-value-added new products and list price revisions, and reducing manufacturing costs through large-scale capital investment.
Company Strengths
Since its founding in 1919, the company has progressively expanded its product range across vinyl floor tiles, Carpet, Wallcovering Materials, and curtains. Its environmentally friendly tile carpet "Sustiback" received the 2025 Good Design Award, among other external recognitions of its proprietary recycling technology and product design capabilities, giving it a technological foundation that competitors find difficult to replicate in the short term.
The company has built a group-wide structure that completes everything in-house, from manufacturing (Itami, Atsugi, Shiga, Kohka Tori Refloor, etc.) to logistics (Tori Logistics) and sales/construction (Techno Kamei, etc.). Manufacturing cost reductions have progressed through three major capital investment projects, including the installation of new nylon spinning equipment for Carpet, and the Interior Business segment achieved segment profit of ¥5,156 million in FY2026 (ending March 2026), up 17.8% year on year.
The equity ratio has risen steadily, from 47.9% in FY2023 (ended March 2023) to 52.0% in FY2026 (ending March 2026). Operating cash flow in FY2026 (ending March 2026) improved substantially to ¥9,115 million, up from ¥2,469 million in the previous fiscal year. The ratio of cash flow to interest-bearing debt stands at 1.4 years, and the interest coverage ratio is 68.1 times, indicating a high level of financial safety.
ENVALITH's Perspective
Performance Trend
From FY2022 (ending March 2022) to FY2026 (ending March 2026), revenue rose from ¥88,513 million to ¥112,337 million, marking five consecutive fiscal years of revenue growth. After operating profit declined 12% year on year in FY2025 (ending March 2025) due to higher costs and expenses, FY2026 (ending March 2026) saw a significant increase across all profit items, driven by higher sales volumes of new products, reduced manufacturing costs, and price revisions on some products: operating profit of ¥5,100 million (up 16.5% year on year), ordinary profit of ¥5,733 million (up 22.9%), and profit attributable to owners of parent of ¥4,459 million (up 27.1%). The equity ratio improved to 52.0% (from 51.1% in the previous fiscal year). However, for FY2027 (ending March 2027), the company forecasts a substantial decline in operating profit to ¥4,100 million (down 19.6% year on year), primarily due to a sharp rise in raw material prices stemming from heightened tensions in the Middle East, indicating that deteriorating external conditions are becoming a downward factor on business performance.
Growth Strategy
Under the medium-term plan 'SHINKA Plus ONE 2.0', the company pursues sustainable growth centered on maximizing capital investment effects, global expansion, and ESG promotion
Continuing to maximize the investment effects of the Kobe TOLI Reflor No. 3 line, the tile carpet recycling plant, and the nylon spinning equipment for carpets, to drive ongoing manufacturing cost reductions. Effects have already become evident in FY2026 (ending March 2026), and further progress in cost reduction is expected from FY2027 (ending March 2027) onward.
Continuing to introduce new products across the Vinyl Flooring, Wallcovering Materials, Carpet, and Window Treatment categories to expand sales volume and raise average selling prices. In FY2026 (ending March 2026), the Interior Business achieved net sales of ¥107,231 million (up 6.5% year on year) and segment profit of ¥5,156 million (up 17.8% year on year).
Advancing distributor initiatives and local inventory strategies in markets including China, North America, ASEAN, the Middle East, and India. Strengthening region-specific sales promotion leveraging TOLI North America Corporation, the U.S. local subsidiary that began operations in July 2024. In FY2026 (ending March 2026), the Global Business continued to post a segment loss of ¥275 million, making a return to profitability an urgent priority.
The recycling system for the environmentally-friendly tile carpet 'Sustee Back' received the 2025 Good Design Award. The medium-term management indicators target a recycling rate of 88.5% or higher and a reduction in industrial waste output of 58% or more (versus fiscal 2019), promoting consistent environmental measures from product design through disposal.
Last updated: July 19, 2026