Earnings Stabilization and Cost Reduction in the Fastener Business

「Sales of fastening components to external customers decreased from ¥225.596 million in the same period of the previous year to ¥183.643 million. Due to the decline in sales and changes in the sales mix, the company posted an operating loss of ¥8.850 million in the current interim consolidated accounting period, compared with operating profit of ¥20.318 million in the same period of the previous year.」

「During the first quarter of the fiscal year under review, sales and profit declined year on year due to changes in the capital investment plans of some major customers. However, inquiries, particularly in the social infrastructure sector, remained firm, and we continued sales activities aimed at developing new sales channels and expanding market share.」

「As a result, the Engineering business reported net sales of ¥371,847 thousand, down 3.7% year on year, and operating profit of ¥11,894 thousand, compared with an operating loss of ¥132,274 thousand in the previous-year period.」

「In particular, adoption of high-value-added products such as Smart Spring (electric power spring), a new product for electric power companies, and Smart Hyper Load Nut (SHLN), whose use is expanding in telecommunications towers and urban development, increased successively. Product development aligned with customer needs and stronger sales capabilities proved effective, resulting in both net sales and operating profit exceeding the previous-year period. As a result, the Engineering business reported net sales of ¥225,601 thousand, up 5.2% year on year, and operating profit of ¥20,318 thousand, up 336.7%.」

「In the Engineering business, sales of anti-loosening products remained firm, particularly for public works and urban development, but orders from the energy sector declined, resulting in lower net sales and profit. As a result, the Engineering business reported net sales of ¥214,505 thousand, down 20.7% year on year, and operating profit of ¥4,653 thousand, down 94.3%.」

「Sales of anti-loosening products used in public works and urban development remained firm, but orders from the energy sector declined, causing both net sales and operating profit to fall below the previous-year period.」

「As a result, the Engineering business reported net sales of ¥459,412 thousand, up 12.6% year on year, and operating profit of ¥88,594 thousand, up 9.3%.」

「As a result, the Engineering business reported net sales of ¥377,948 thousand, up 25.0% year on year, and operating profit of ¥86,549 thousand, up 113.8%.」

「Sales of anti-loosening products used in public works and urban development remained firm, while stronger demand for energy-related construction projects was the main factor driving both net sales and operating profit above the previous-year period. As a result, the Engineering business reported net sales of ¥270,429 thousand, up 28.7% year on year, and operating profit of ¥71,675 thousand, up 77.9%.」

「Sales of anti-loosening products used in public works, urban development and energy-related applications remained firm, with both net sales and operating profit slightly exceeding the previous-year period. As a result, the Engineering business reported net sales of ¥122,546 thousand, up 9.6% year on year, and operating profit of ¥26,681 thousand, up 3.2%.」

「In the engineering business, the company continued to increase the penetration and market share of its mainstay anti-loosening nuts and springs in social infrastructure such as expressways, bridges and energy-related facilities and in the domestic construction market. As a result, sales of anti-loosening products used in urban development and public works were strong, enabling net sales to exceed the level of the same period of the previous year, but operating income stagnated because of higher raw-material prices and other factors.」

「In the engineering business, the company continued to increase the penetration and market share of its mainstay anti-loosening nuts and springs in social infrastructure such as expressways, bridges and energy-related facilities and in the domestic construction market. As a result, sales of anti-loosening products used in urban development and public works were strong, enabling net sales to exceed the level of the same period of the previous year. Net sales in the engineering business were ¥210.086 million, compared with ¥183.405 million in the same period of the previous year, while operating income was ¥40.279 million, down 6.4% year on year.」

「In the engineering business, the company continued to increase the penetration and market share of its mainstay anti-loosening nuts and springs in social infrastructure such as expressways, bridges and energy-related facilities and in the domestic construction market. As a result, sales of anti-loosening products used in public works were strong, and both net sales and operating income exceeded the levels of the same period of the previous year. Net sales in the engineering business were ¥111.847 million, compared with ¥94.934 million in the same period of the previous year, and operating income was ¥25.848 million, up 6.4% year on year.」

「In the engineering business, the company continued to promote the technology and quality supporting safety and security of its mainstay anti-loosening nuts and springs for social infrastructure such as expressways, bridges and energy-related facilities and for the domestic construction market. As a result of efforts to increase product penetration and market share, it secured a certain level of sales, mainly from existing customers. However, it was unable to offset the reaction to strong orders related to the Tokyo Olympics in recent years, and both net sales and operating income fell below the previous fiscal year.」

「In the engineering business, the company continued to increase the penetration and market share of its mainstay anti-loosening nuts and springs in social infrastructure such as expressways, bridges and energy-related facilities and in the domestic construction market, but results did not exceed the level of the same period of the previous year because it was unable to offset the reaction to orders received in the previous fiscal year related to events held in 2021.」

「In the engineering business, the company worked to increase the penetration and market share of its mainstay anti-loosening nuts and springs in social infrastructure such as expressways, bridges and energy-related facilities and in the domestic construction market, but results did not exceed the previous year, partly because of a reaction to public-works-related orders received in the previous year. As a result, net sales in the engineering business were ¥183.405 million, down 11.1% year on year, and operating income was ¥43.053 million, down 32.6%.」

「The company's mainstay anti-loosening nuts and springs have attracted considerable attention not only as products for newly built social infrastructure such as expressways, bridges and energy-related facilities, but also as materials for repairs and replacement work on structures built through emergency construction in the latter half of the 1950s. As a result of efforts to expand market share, inquiries and orders for infrastructure products have been trending upward, but they were not recognised as sales during the quarter, and both sales and profit fell below the levels of the same period of the previous year.」

「As a result, net sales in the engineering business were ¥389.218 million, down 17.8% year on year, and operating income was ¥104.103 million, down 13.0%.」

「In the engineering business within Other businesses, the company worked to increase the penetration and market share of anti-loosening nuts and springs in social infrastructure such as expressways, bridges and energy-related facilities and in the domestic construction market. As a result, sales, led by infrastructure products, remained relatively firm, but net sales fell below the level of the same period of the previous year. Net sales in Other businesses were ¥311.008 million, down 19.5% year on year, and operating income was ¥92.079 million, down 30.0%.」

「In the engineering business within Other businesses, the company worked to increase the penetration and market share of anti-loosening nuts and springs in social infrastructure such as expressways, bridges and energy-related facilities and in the domestic construction market. As a result, sales, led by infrastructure products, remained relatively firm. Net sales in Other businesses were ¥210.963 million, down 18.0% year on year, and operating income was ¥64.690 million, down 30.7%.」

「In the engineering business within Other businesses, the company worked to increase the penetration and market share of anti-loosening nuts and springs in social infrastructure such as expressways, bridges and energy-related facilities and in the domestic construction market. As a result, sales, led by infrastructure products, remained relatively firm and exceeded the previous fiscal year. Net sales in Other businesses were ¥117.358 million, up 3.5% year on year, and operating income was ¥43.854 million, up 39.2%.」

「In the engineering business within Other businesses, the company worked to increase the penetration and market share of anti-loosening nuts and springs in social infrastructure such as expressways, bridges and energy-related facilities and in the domestic construction market. As a result, sales, led by infrastructure products, remained strong and exceeded the previous fiscal year. Net sales in Other businesses were ¥483.666 million, up 23.6% year on year, and operating income was ¥120.991 million, up 46.9%.」

「Going forward, while public works related to the Tokyo Olympic and Paralympic Games are winding down, public investment is expected to increase in areas such as regional revitalisation and disaster prevention and the renewal of ageing infrastructure. The company will therefore continue working to increase product penetration and expand market share.」

「In the fastener business within the engineering segment, the company worked to increase the penetration of anti-loosening nuts and springs in social infrastructure for roads and energy-related applications and in the domestic construction market, and to expand market share. As a result, net sales in the fastener business increased 38.2% year on year to ¥252.515 million.」

「As a result, net sales in the engineering business were ¥255.378 million, up 98.6% year on year, and operating income was ¥32.339 million, up 41.9%.」

「In the engineering business, the company will strengthen its entry into infrastructure-related businesses, including power, railway and road projects, looking beyond the 2020 Tokyo Olympic and Paralympic Games. It will also focus on winning public works projects related to the 2025 Osaka Expo and steadily build orders by maximising its strength of holding patents for anti-loosening products.」

「As a result, net sales in the engineering business were ¥414.483 million, up 17.2% year on year, and operating income was ¥61.225 million, down 9.4%.」

「In the engineering business, the company worked to expand sales of anti-loosening nuts and springs for the infrastructure market. It also worked to improve customer satisfaction and expand sales of products for mass retailers targeting inbound visitors, including stainless-steel bottles and lightweight suitcases, in cooperation with its Chinese subsidiary. As a result, although some products for mass retailers stagnated, sales of anti-loosening nuts and anti-loosening springs remained relatively firm.」

「As a result, sales of anti-loosening nuts and bolts and suitcases were relatively firm, but several other products lagged behind. The company will work to raise performance across the board and further expand the business.」

「In the engineering business, the company strengthened its sales structure for anti-loosening nuts and springs for infrastructure facilities such as expressways, power-related facilities and public works facilities, seeking to secure stable sales and orders. It also worked to expand sales of products for mass retailers targeting inbound visitors, including stainless-steel bottles and lightweight suitcases, and changed the models of these products to create a foundation for future sales growth. However, despite operating income exceeding the level of the same period of the previous year, net sales were slightly lower because sales of anti-loosening nuts stagnated and sales of products for mass retailers declined amid weak inbound demand.」

「However, sales of anti-loosening nuts stagnated, and sales of products for mass retailers declined because of weak inbound demand, causing net sales and operating income to fall below the levels of the same period of the previous year. As a result, net sales in the engineering business were ¥217.017 million, down 10.0% year on year, and operating income was ¥39.505 million, down 4.8%.」

「In the engineering business, the company worked to expand sales of Hyper Road Nuts, mainly in the expressway and railway markets, while seeking to secure stable orders and sales through anti-loosening products and other offerings for infrastructure providers.」

「Under these conditions, in the testing-equipment business, the Group provided products and services to a broad range of users, including manufacturers in the automotive, steel and industrial machinery sectors, research institutions, schools and government agencies, through one-stop solutions backed by advanced technology and many years of experience, covering the development, design and production of testing and measuring equipment through to maintenance, calibration and contract testing services. In the engineering business, the Group strengthened its production structure and expanded sales of anti-loosening nuts developed through innovative ideas and proprietary technology, and anti-loosening springs that prevent nuts from coming off, while also selling products to general consumers and providing housing-related services.」

「As the core business of the engineering segment, the fastener business focused on strengthening sales of its mainstay products, Hyper Road Nuts and anti-loosening springs, primarily for infrastructure facilities such as expressways and power-related facilities, as well as facilities related to public works.」

「However, the products themselves are gaining broad acceptance in the road, railway and construction sectors, as well as the steel industry. The company is working to secure stable earnings and achieve further cost reductions by embedding the sales strategy and production structure it fundamentally reviewed last year, while also considering sales in overseas markets such as China.」