KAGA ELECTRONICS CO.,LTD.
8154・Prime Market・Wholesale Trade
Electronic Components Business
The core segment of the Kaga Electronics Group, driven jointly by semiconductor/electronic component sales and EMS.
| Period | Current | Previous | Change |
|---|---|---|---|
| Revenue (external customers) | ¥568,834 million | ¥472,910 million | ↑ |
| Segment profit | ¥19,304 million | ¥16,927 million | ↑ |
| Segment assets | ¥372,659 million | ¥281,610 million | ↑ |
| Depreciation | ¥4,570 million | ¥3,831 million | ↑ |
| YoY change in revenue | +20.3% | — | ↑ |
| YoY change in segment profit | +14.0% | — | ↑ |
Business Details
Centers on the development, manufacturing, and sale of semiconductors and general electronic components, together with EMS (Electronics Manufacturing Service). Combines the multi-product, small-lot capability of an independent trading company with an EMS business leveraging overseas manufacturing bases in Malaysia, Turkey, Mexico, and elsewhere. In July 2025, Kyoei Sangyo Co., Ltd. was made a consolidated subsidiary through a tender offer, expanding the scale of operations. This is the largest segment, accounting for approximately 86% of consolidated revenue. Serves a wide range of end-use applications including automotive, medical, industrial equipment, and air conditioning equipment.
Recent Overview
Achieved 20.3% revenue growth driven by the consolidation of Kyoei Sangyo and aggressive spot sales.
The consolidation of Kyoei Sangyo Co., Ltd. as a subsidiary through the July 2025 tender offer contributed to revenue from the second quarter onward. In the component sales business, the company actively pursued spot sales (approximately ¥41,100 million) in response to memory supply-demand tightness for AI servers, contributing to revenue growth. In the EMS business, although demand slowed among certain automotive-related customers, capacity expansion at overseas bases paid off, with strong performance in air conditioning and medical equipment. As a result, revenue reached ¥568,834 million (up 20.3% year on year) and segment profit reached ¥19,304 million (up 14.0% year on year). In the fourth quarter alone, revenue accelerated to ¥184,942 million (up 46.0% year on year) and segment profit to ¥5,536 million (up 64.8% year on year).
Key Products
Growth Drivers
- Expansion of business scale through consolidation of Kyoei Sangyo Co., Ltd. as a subsidiary (tender offer conducted in July 2025, consolidated from the second quarter onward)
- Aggressive expansion of spot sales leveraging procurement capability as an independent trading company amid expanding memory demand for AI servers
- Expanded orders for air conditioning and medical equipment in the EMS business through aggressive capacity expansion at overseas manufacturing bases (Malaysia, Turkey, Mexico, etc.)
- Recovery in component sales as supply chain inventory adjustments continued to resolve
- Recovery in automotive-related demand amid progress in electrification and sophistication of automotive equipment
Risks
- Risk of revenue decline in FY2027 (ending March 2027) due to the drop-off of spot sales of certain semiconductor products (approximately ¥41,100 million) recorded in the prior period
- Risk of easing memory supply-demand tightness for AI servers and price volatility
- Risk of continued demand slowdown among certain automotive-related customers
- Risk of supply chain disruption and rising procurement costs due to uncertainty in US tariff policy
- Risk of profit pressure from rising wages and logistics costs at overseas manufacturing bases
- Foreign exchange risk (decrease in yen-denominated value of overseas revenue due to yen appreciation)
- Risk of rising resource prices and supply chain disruption due to geopolitical risks (Ukraine situation, Middle East situation)
Last updated: June 30, 2026