TOTECH CORPORATION
9960・Prime Market・Wholesale Trade
Product Sales Business
Totech's core business handling sales and maintenance of air conditioning, control, and energy-saving equipment
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment sales (including internal, full year) | ¥96,820 million | ¥93,084 million | ↑ |
| External customer sales (full year) | ¥93,786 million | ¥90,686 million | ↑ |
| Segment profit (gross profit basis, full year) | ¥21,691 million | ¥19,721 million | ↑ |
| Segment assets (fiscal year end) | ¥60,083 million | ¥60,739 million | ↓ |
| Gross margin (segment profit / segment sales incl. internal) | 22.4% | 21.2% | ↑ |
Business Details
This segment provides procurement and sales of equipment centered on air conditioning equipment, control equipment, and energy-saving equipment, along with installation work and after-sales service. Equipment sales are primarily handled by the Company itself, Totech Hokkaido Co., Ltd., and Archback Co., Ltd., while maintenance and servicing are handled by Nippon Bilcon Co., Ltd. and others. Its main demand sources are urban redevelopment projects and private-sector capital investment, and it has built a resilient earnings base through expansion of maintenance services. It is the Group's core segment, accounting for approximately 57% of consolidated sales.
Recent Overview
Achieved year-on-year growth in both sales and profit, driven by urban redevelopment
In the Product Sales Business for FY2026 (ending March 2026), against a backdrop of a solid order environment for urban redevelopment projects, sales reached ¥96,820 million (up 4.0% year on year) and gross profit reached ¥21,691 million (up 10.0% year on year). Profit growth outpaced sales growth, and the segment profit margin improved to 22.4% from 21.2% in the prior period. Demand capture in the data center and renewable energy-related fields also contributed positively. Segment assets stood at ¥60,083 million, a slight decrease of ¥656 million from the prior fiscal year end.
Key Products
Growth Drivers
- Robust order environment for urban redevelopment projects (continued redevelopment plans in major metropolitan areas)
- Capture of capital investment demand related to data centers and renewable energy
- Growth in relatively high-margin air conditioning equipment maintenance projects
- Increased capital investment demand driven by the reshoring of manufacturing to Japan
- Increased inquiries for energy-saving equipment driven by carbon-neutrality demand
Risks
- Cost pressure from persistently elevated construction material prices
- Difficulty securing construction and service personnel due to chronic labor and engineer shortages in the construction industry
- Rising procurement costs for imported equipment (such as control equipment) due to geopolitical risk and foreign exchange fluctuations
- Possible indirect impact on private-sector capital investment from consumer spending restraint caused by rising consumer prices
- Risk of customer companies revising capital investment plans due to the impact of U.S. trade policy
Last updated: June 23, 2026