ENVALITH
モリト株式会社 logo

MORITO CO., LTD.

9837・Prime Market・Wholesale Trade

Official website
モリト株式会社 logo
MORITO CO., LTD.9837

Business

Morito Co., Ltd. is a global company founded in 1908, primarily engaged in the manufacturing and sale of apparel-related materials, living industry materials, and automotive interior parts. The company consists of Morito and 23 consolidated subsidiaries and 1 affiliate, operating across three segments: Japan, Asia, and Europe/Americas. Its main products range widely, from apparel accessories such as eyelets, snap fasteners, and hook-and-loop fasteners to kitchen equipment rental, marine leisure goods, and game-related products. Its customer base is broad, including apparel manufacturers, uniform manufacturers, automotive manufacturers, department stores, and government agencies. Consolidated net sales for FY2025 (ending November 2025) were ¥56,867 million. The company is listed on the Prime Market of the Tokyo Stock Exchange.

Business Model

The company procures and manufactures apparel materials and related products locally through its network of bases across Japan, Asia, Europe, and the US, then sells to customers in each region. The majority of cost of sales consists of purchases (total purchases of ¥39,295 million in FY2025 (ending November 2025)), reflecting a trading-company-type business model. Quality control under the "Morito Standard" and its proprietary global network serve as differentiating factors. The company aims to diversify revenue through business area expansion via M&A (Ms.ID, Mitsuboshi Corporation, etc.) and the development of its BtoC and e-commerce platform businesses.

Company Strengths

Revenue rose for five consecutive periods, from ¥43,637 million in FY2021 (ended November 2021) to ¥56,867 million in FY2025 (ended November 2025). Operating profit more than doubled over the same period, from ¥1,620 million to ¥3,334 million. In FY2025 (ended November 2025), revenue grew 17.2% year on year and operating profit grew 16.2% year on year, both accelerating, confirming the continuity of earnings expansion.

The company made Ms.ID Co., Ltd. a wholly owned subsidiary in December 2024, followed by Mitsuboshi Corporation (and Shanghai Mitsuboshi Trading Co., Ltd.) in April 2025. As a result, apparel-related revenue in the Japan segment expanded structurally, up 65.1% year on year. Japan segment revenue reached ¥41,310 million (up 25.1% year on year) in FY2025 (ended November 2025).

Net assets at the end of FY2025 (ended November 2025) stood at ¥39,832 million, with an equity ratio of 71.8% (down 3.0 percentage points from 74.8% in the previous period, but still at a high level). The company's funding policy is based in principle on internal funds, maintaining a conservative financial management approach with operating cash flow as its primary source. Interest-bearing debt remains limited relative to total assets of ¥55,498 million.

ENVALITH's Perspective

For the interim period of FY2026 (ending November 2026), net sales were ¥33,068 million (up 28.1% YoY) and operating profit was ¥2,058 million (up 31.2% YoY), showing strong upper-line profitability. However, interim net profit attributable to owners of the parent fell sharply to ¥1,645 million (down 29.9% YoY). The main cause was the drop-off of the ¥1,105 million gain on negative goodwill (related to Mitsuboshi Corporation) recorded in the same interim period of the prior year; on an ordinary profit basis, the increase was 26.4%, indicating that underlying performance remained solid. Investors should focus on understanding the true earnings level after excluding the drop-off effect of extraordinary gains and losses.

The full-year earnings forecast (net sales of ¥63,000 million, operating profit of ¥3,500 million, net profit of ¥3,000 million) remains unchanged. The interim progress rate was 52.5% for net sales and 58.8% for operating profit, indicating a first-half-weighted progression. Meanwhile, risks remain for the second half, including uncertainty over US tariff policy, struggles at some Japanese automakers, and rising procurement costs stemming from Middle East tensions. It should also be noted that if the yen shifts toward appreciation as an external factor, this could exert downward pressure on yen-denominated revenue from overseas segments.

Regarding Kunaga Seisakusho Co., Ltd. (acquisition cost of ¥200 million), acquired on April 1, 2026, goodwill of ¥413 million has been provisionally recorded, but the allocation of acquisition cost has not yet been finalized. Once the fair value assessment of identifiable assets and liabilities is completed, the allocation amount will be finalized, and the goodwill and intangible fixed asset amounts may change. In addition, because the difference between the share acquisition date and the consolidated fiscal year-end date is within three months, the company's performance has not been reflected in the current interim period's profit and loss, making it a challenge to assess its contribution to earnings from the second half onward.

Growth Strategy

Aiming to become a global niche top through M&A, BtoC expansion, sustainable products, and strengthening of the global network

M&A continues to be pursued as a key initiative under the 8th Medium-Term Management Plan. Ms.ID Co., Ltd. (December 2024), Mitsuboshi Corporation (April 2025), and Hisanaga Seisakusho Co., Ltd. (April 2026) have been consolidated in succession, strengthening the integrated manufacturing-and-sales structure. Structural expansion of net sales is being achieved through the selection and integration of niche-top companies.

The consolidation of Ms.ID Co., Ltd., which operates a BtoC business utilizing an e-commerce platform, has diversified the company's traditionally BtoB-centered revenue structure. The direct sales business, including silver accessories, has contributed to increased sales in the Japan segment, and digital marketing and sales enhancement efforts continue to be pursued.

The company is promoting the development and sale of "MURON®," a yarn made from 100% domestically recovered discarded fishing nets, and "ASUKAMI®," a blended paper utilizing textile scraps from sewing factories. As part of the Morito Group's initiative "Rideeco®" aimed at realizing a sustainable society, the company seeks to acquire new business and achieve differentiation.

The kitchen equipment rental, sales, and cleaning business within the Product-related segment has performed well, contributing to increased sales in the Japan segment for the first half of FY2026 (ending November 2026). The expansion of the service-based revenue model is enhancing the earnings stability of the trading-company-type business.

Last updated: July 17, 2026