Miroku Corporation
7983・Standard Market・Other Products
Business
Miroku Co., Ltd. is a pure holding company originating from a hunting gun manufacturer founded in 1893. Comprising 6 consolidated subsidiaries and 3 affiliated companies, it operates four segments: Hunting Guns Business (approximately 85% of net sales), Machine Tools Business (approximately 16%), Cloud Solutions Business, and Others (Decorative Automotive Steering Wheels and Woodworking Products). In the Hunting Guns Business, the company supplies OEM products to the Browning Group (US and Belgium), a globally recognized firearms brand, with the two Browning Group companies accounting for over 82% of segment sales. The Machine Tools Business operates domestically and internationally as a comprehensive niche manufacturer specializing in Deep Hole Drilling Machines (Gun Drill Machines). The company is listed on the Tokyo Stock Exchange Standard Market.
Business Model
In the Hunting Guns Business, under long-term supply contracts valid through June 2028 (for the US) and December 2030 (for Europe), the company stably secures orders from the Browning Group and manufactures and delivers products. The Machine Tools Business consists of three divisions—machine manufacturing, contract processing, and tool sales—with the processing division positioned as the core pillar of profit. The Cloud Solutions Business is deploying SaaS for equipment maintenance, currently in the phase of acquiring new customers. Fundraising across the group combines operating cash flow with borrowings from financial institutions.
Company Strengths
The company has entered into long-term supply contracts with Browning Arms Company (US) and Browning International S.A. (Belgium), running through June 2028 and December 2030, respectively. In FY2025 (ended October 2025), combined sales to these two companies reached ¥10,263,708 thousand (82.0% of total sales), and order intake also performed solidly, rising 12.5% year on year to ¥10,260,012 thousand.
Since its founding in 1971, Miroku Machine Tool has operated as one of Japan's leading comprehensive gun drill manufacturers, integrating three business divisions—machine manufacturing, contract processing, and tool sales—in the niche market of deep hole drilling machines. The company maintains a four-site domestic network and develops its business with the processing division as its core, targeting the semiconductor manufacturing equipment and FPD markets. In FY2025 (ended October 2025), sales in the Machine Tools Business totaled ¥1,994 million (up 18.3% year on year).
The Miroku Nissho Plant was completed in February 2025 at the Nangoku Nissho Industrial Park in Nangoku City, Kochi Prefecture. As of the end of October 2025, cumulative investment in buildings, machinery, and equipment reached ¥5,572 million. Full-scale operation from February 2026 is expected to expand production capacity and improve productivity, while the reduction in depreciation expense burden—following the impairment loss on fixed assets (¥2,513 million) recorded at the end of the previous fiscal year—is expected to materialize from FY2026 (ending October 2026) onward.
ENVALITH's Perspective
Performance Trend
Consolidated net sales for the first half of FY2026 (ending March 2026) (November 2025 to April 2026) were ¥6,204 million (down 1.6% year on year), operating profit was ¥107 million (down 5.4% year on year), and ordinary profit was ¥209 million (down 25.4% year on year). Full-year results over the past five fiscal years progressed as follows: FY2021 ¥13,653 million → FY2022 ¥11,471 million → FY2023 ¥11,887 million → FY2024 ¥10,918 million → FY2025 ¥12,518 million, with operating profit posting consecutive losses in FY2024 and FY2025. As an external factor, sluggish orders from the Browning Group due to Trump tariffs and soaring raw material prices have been squeezing profitability in the Hunting Guns Business. Despite the company-specific improvement factor of a decline in depreciation expenses (from ¥282 million in the same period last year to ¥220 million in the current first half), delays in passing on costs are hindering profit recovery. The full-year operating loss forecast of ¥100 million suggests three consecutive fiscal years of operating losses.
Growth Strategy
Four-pronged approach: operation of the new Nissho plant, deepened cooperation with the Browning Group, strengthening of the Machine Tools Business processing division, and acceleration of customer acquisition in the Cloud Solutions Business
The new Nissho plant in Nankoku City, Kochi Prefecture, began full-scale operation in February 2026. The company is promoting labor savings, process automation, robotization, and utilization of IT/IoT to improve productivity and strengthen price competitiveness. Combined with the effect of depreciation expense runoff, this will serve as a foundation for medium- to long-term earnings improvement.
The company is working to stabilize orders by strengthening relations with its major customer, the Browning Group, while continuing negotiations to pass through the impact of rising raw material prices onto sales prices. Orders for Bolt Action Rifles have been sluggish due to the impact of U.S. tariffs under the Trump administration, making recovery an urgent priority.
The company is promoting stable earnings centered on improving the utilization rate of the processing divisions at its four nationwide sites, along with strengthening face-to-face sales in the machine division to acquire new customers. Segment profit for the first half of FY2026 (ending October 2026) rose 34.8% year on year to ¥99 million, indicating tangible results.
The company is strengthening sales efforts to acquire new customers for its Cloud Service for Equipment Maintenance Operation Efficiency. Sales for the first half of FY2026 (ending October 2026) expanded rapidly, up 111.8% year on year to ¥14 million, while operating loss narrowed from ¥24 million in the same period last year to ¥11 million. Progress toward profitability has been confirmed.
Last updated: July 17, 2026