Growing Sales Through Product-Category Initiatives, New Customer Acquisition and Stronger Customer Relationships

「For fast-moving items, primarily consumables, demand was pulled forward and supply constraints emerged against the backdrop of price revisions by cutting tool manufacturers, the Company's main suppliers. We worked to maintain appropriate inventory levels and broaden our product lineup, strengthening our ability to respond to customer needs. For spot items, mainly equipment projects, we focused on strengthening proposal activities, expanding new products, and proposing automation and labor-saving products.」

「For fast-moving items, primarily consumables, demand was pulled forward and supply constraints emerged against the backdrop of price revisions by cutting tool manufacturers, the Company's main suppliers. We worked to maintain appropriate inventory levels and broaden our product lineup, strengthening our ability to respond to customer needs. For spot items, mainly equipment projects, we focused on strengthening proposal activities, expanding new products, and proposing automation and labor-saving products.」

「For cutting tools, a core product category, the company steadily implemented promotional programs and campaigns of its leading manufacturers, expanded sales of its original Victory end mill brand, and strengthened initiatives with newly handled manufacturers.」

「At the same time, the company enhanced its inventory lineup and expanded sales channels, while promoting the use of the sales support system introduced last year.」

「For measurement, the Company conducted exhibitions and seminars tailored to regional characteristics, strengthened sales of products focused on energy saving and SDGs, expanded sales of measuring tools and measuring instruments, and grew its inspection and calibration business. However, sales were ¥3.994 billion, down 1.8% year on year. For industrial equipment, machine tools and other products, the Company worked to sell equipment such as machine tools, conducted its own promotional campaigns, expanded its lineup of new suppliers, and strengthened sales of products focused on energy saving and SDGs. However, sales were ¥18.008 billion, down 2.9% year on year.」

「Product category Sales (¥ million) Year-on-year (%) Cutting tools 10,456 -3.0 Measurement 1,937 -7.9 Industrial equipment, machine tools and other products 9,091 -2.9 Total 21,486 -3.4」

「Product category Sales (¥ million) Year-on-year (%) Cutting tools 5,255 -2.0 Measurement 969 -8.1 Industrial equipment, machine tools and other products 4,448 -5.1 Total 10,674 -3.9」

「For cutting tools, the Company's core product, the Company steadily implemented promotional campaigns by major manufacturers and various other campaigns, promoted its original-brand Victory end mills, and continued to strengthen its product lineup through inventory expansion to improve the convenience of NICE-NET and avoid lost sales opportunities. However, sales were ¥21.444 billion, down 2.7% year on year. For measurement, the Company worked to expand sales of measuring tools and measuring instruments and grow its inspection and calibration business, while promoting participation in MechatroTech Japan and user-focused trade shows and pursuing automation projects with major manufacturers, mainly through the Measurement Equipment Sales Office. Sales were ¥4.067 billion, up 2.6% year on year. For industrial equipment, machine tools and other products, the Company focused on sales of equipment such as machine tools, mainly through the Equipment Sales Office, participated in MechatroTech Japan, prepared promotional brochures for industrial equipment, focused on IoT-related products such as smart glasses, and sold products contributing to the environment with a focus on energy saving and SDGs. Sales were ¥18.551 billion, up 0.5% year on year.」

「Product category Sales (¥ million) Year-on-year (%) Cutting tools 16,239 -3.7 Measurement 3,135 6.7 Industrial equipment, machine tools and other products 14,055 1.9 Total 33,430 -0.5」

「Product category Sales (¥ million) Year-on-year (%) Cutting tools 10,778 -1.9 Measurement 2,104 6.9 Industrial equipment, machine tools and other products 9,362 2.2 Total 22,245 0.6」

「Product category Sales (¥ million) Year-on-year (%) Cutting tools 5,363 -1.8 Measurement 1,055 9.2 Industrial equipment, machine tools and other products 4,689 3.4 Total 11,107 1.3」

「(Cutting tools) For cutting tools, the Company's core product, the Company steadily implemented various campaigns and strengthened its product lineup through inventory expansion to improve the convenience of NICE-NET and avoid lost sales opportunities. Sales were ¥22.036 billion, up 1.6% year on year. For measurement, the Company continued to expand sales of measuring tools and measuring instruments and grow its inspection and calibration business, while strengthening its expertise by exhibiting at user-focused trade shows, holding seminars, and obtaining manufacturer certifications. Sales were ¥3.963 billion, up 4.3% year on year. For industrial equipment, machine tools and other products, the Company conducted its own promotional campaigns and focused on sales of equipment such as machine tools, mainly through the Equipment Sales Department established in March. Sales were ¥18.457 billion, up 1.8% year on year.」

「During the third-quarter consolidated cumulative period, despite the impact of delivery delays for measurement and industrial equipment and machine tools, the Company strengthened its product lineup by expanding inventories to improve the convenience of NICE-NET and avoid lost sales opportunities, and held web seminars on measurement to expand sales. Product category Sales (¥ million) Year-on-year (%) Cutting tools 16,870 +2.9 Measurement 2,937 +0.3 Industrial equipment, machine tools and other products 13,791 +1.5 Total 33,599 +2.1」

「We strengthened our product range by expanding inventories to improve the convenience of NICE-NET and avoid lost opportunities, while conducting Web seminars on measuring instruments and working to expand sales.」

「The Company conducted promotional campaigns and web seminars on measurement while working to expand sales. Sales by product category were ¥5,462 million for cutting tools, up 4.1% year on year, ¥966 million for measurement, down 3.6%, and ¥4,537 million for industrial equipment, machine tools and other products, down 6.2%.」

「Operating results by product category were as follows. (Cutting tools) The Company expanded inventories at major manufacturers and promoted use of NICE-NET, its order-management system, resulting in sales of ¥21.777 billion, up 14.9% year on year. (Measurement) The Company worked to expand sales of measuring tools and measuring instruments and grow its inspection and calibration business, while actively holding web seminars for users and strengthening its expertise through manufacturer certifications. Sales were ¥3.812 billion, up 4.0% year on year. (Industrial equipment, machine tools and other products) The Company conducted its own promotional campaigns and actively expanded sales of products eligible for subsidies and products compliant with legal amendments. Sales were ¥18.480 billion, up 11.8% year on year.」

「As the prolonged impact of the infection continued to prevent satisfactory sales activities, the Company worked to expand sales while taking infection-control measures and actively pursued the implementation and strengthening of non-face-to-face sales activities, including promotional campaigns, sales activities using online meeting systems, and web seminars on measurement.」

「During the first-quarter consolidated cumulative period, satisfactory sales activities remained difficult as the end of the infection remained unforeseeable. Nevertheless, the Company continued promotional campaigns and web seminars on measurement and worked actively to expand sales.」

「For measurement, as restrictions on sales activities persisted, the Company actively held web seminars for users, continued to strengthen its expertise by obtaining manufacturer certifications, and developed new suppliers with a view to establishing repair and calibration services, while working to expand sales. However, sales were ¥3.667 billion, down 17.0% year on year. For industrial equipment, machine tools and other products, the Company conducted promotional activities such as various campaigns after economic activity resumed, and worked to expand sales of BCP and infection-control products. However, sales were ¥16.523 billion, down 15.6% year on year.」

「For cutting tools, the Company's core product category, the Company worked to strengthen its expertise through internal study sessions and manufacturer training, held exhibitions and seminars on cutting processes throughout Japan, and steadily implemented measures including promoting new products for processing new materials and various campaigns. However, sales were ¥22.463 billion, down 7.6% year on year. For measurement, the Company worked to strengthen its expertise by increasing the number of employees with manufacturer certifications, held exhibitions and seminars throughout Japan on visual inspection, and developed new suppliers with a view to establishing repair and calibration services, while working to expand sales. However, sales were ¥4.416 billion, down 8.8% year on year. For industrial equipment, machine tools and other products, the Company held exhibitions and seminars throughout Japan on deburring and the environment. Although its NR products initiatives produced some results after the performance of its NR sludge recovery equipment and NR belt skimmers was favorably evaluated, sales were ¥19.587 billion, down 6.0% year on year.」

「For cutting tools, the Company worked to strengthen its expertise through internal study sessions and manufacturer training, held exhibitions and seminars on cutting processes throughout Japan, and steadily implemented measures including promoting new products for processing new materials and various campaigns. However, sales were ¥17.229 billion, down 6.7% year on year. For measurement, the Company worked to strengthen its expertise by increasing the number of employees with manufacturer certifications, held exhibitions and seminars on visual inspection throughout Japan, and developed new suppliers to promote sales. However, sales were ¥3.448 billion, down 4.1% year on year. For industrial equipment, machine tools and other products, the Company held exhibitions and seminars throughout Japan on deburring and the environment, and worked to develop and expand sales of NR products, the Company's original-brand products. However, sales were ¥14.673 billion, down 6.2% year on year.」

「For cutting tools, the Company worked to strengthen its expertise through internal study sessions and manufacturer training, held exhibitions and seminars on cutting processes throughout Japan, and steadily implemented measures including promoting new products for processing new materials and various campaigns. However, sales were ¥11.728 billion, down 3.9% year on year. For measurement, the Company worked to strengthen its expertise by increasing the number of employees with manufacturer certifications, held exhibitions and seminars on visual inspection throughout Japan, and developed new suppliers to promote sales. However, sales were ¥2.279 billion, down 2.9% year on year. For industrial equipment, machine tools and other products, the Company held exhibitions and seminars throughout Japan on deburring and the environment, and worked to develop and expand sales of NR products, the Company's original-brand products. However, sales were ¥9.751 billion, down 3.5% year on year.」

「For cutting tools, the Company worked to strengthen its expertise through study sessions on new products and manufacturer training, and steadily implemented measures including promoting new products for processing new materials and various campaigns. However, sales were ¥5.905 billion, down 2.0% year on year, partly because of the decline in operating days caused by the long holiday period. For measurement, the Company worked to strengthen its expertise by promoting exhibitions and seminars and increasing the number of employees with manufacturer certifications, while developing new suppliers and promoting sales in the field of visual inspection. Sales were ¥1.234 billion, up 0.4% year on year. For industrial equipment, machine tools and other products, the Company promoted product development and promotional activities to improve efficiency, reduce labor requirements and improve the environment at manufacturing sites, while focusing on sales of NR products, the Company's original-brand products. However, sales were ¥5.044 billion, down 1.6% year on year.」

「For our core cutting-tool products, we actively participated in manufacturer training to strengthen our expertise, while steadily implementing initiatives such as promoting new products for processing new materials and conducting various campaigns. Revenue was ¥24,323 million, up 7.1% year on year.」

「The status of initiatives and their results by product category during the period were as follows. For cutting tools, the Company expanded inventories, actively participated in manufacturer training to strengthen its expertise, and steadily implemented measures including promoting new products for processing new materials and various campaigns. Sales were ¥18.466 billion, up 8.6% year on year.」

「For our core cutting-tool products, we expanded inventories and actively participated in manufacturer training to strengthen our expertise, while steadily implementing initiatives such as promoting new products for processing new materials and conducting various campaigns. Revenue was ¥12,204 million, up 9.4% year on year.」

「The status of initiatives and their results by product category during the period were as follows. For cutting tools, the Company actively participated in manufacturer training to strengthen its expertise and steadily implemented measures including promoting new products for processing new materials and various campaigns. Sales were ¥6.023 billion, up 9.2% year on year.」

「(1) Expanding sales ① Strengthening initiatives by product category: cutting tools, measurement, industrial equipment, robots and other products ② Acquiring new customers ③ Strengthening relationships with business partners」

「(1) Expanding sales ① Strengthening initiatives by product category: cutting tools, measurement, industrial equipment, robots and other products ② Acquiring new customers ③ Strengthening relationships with business partners」