Nichiban

Basic Information

Stock Code
4218
Industry
Chemicals
Category Detail
Chemicals & Chemical Products
Prefecture
Tokyo
Establishment Year
January 1918
Listing Year
October 1961
Official Website
https://www.nichiban.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Hotman, Nippon Ichi Soft, Konishi, Yasuhara Chemical, Soken Chemical, Lobtex, Lintec

Overview

Nichiban is a leading major company specializing in adhesive tapes in the chemical industry, founded in 1918, with strengths in medical and industrial tapes, holding high market shares both domestically and internationally as a manufacturer.

Current Situation

Nichiban recorded consolidated sales of approximately 46.9 billion yen and net assets of approximately 41.7 billion yen for the fiscal year ending March 2024, maintaining a solid earnings base. Its main businesses are the medical division and tape division, where it has established a superior position particularly in fields like medical bandages and cellophane tape. Leveraging its technological superiority as the inventor of Japan's first cellophane tape, it offers a diverse product lineup. Through capital participation by Taisho Pharmaceutical, collaboration in the pharmaceutical field is progressing, and overseas expansion is accelerating with representative offices and subsidiaries in Thailand and Europe. In recent years, it has strengthened the development of environmentally friendly products and plastic-free initiatives, aiming for sustainable business operations aligned with the SDGs. It is investing in the construction of an advanced technology building at the Anjo factory and expansion of overseas branches to promote mid- to long-term growth strategies. While there are risks from intensifying market competition and fluctuations in raw material prices, it aims for stable growth through technological innovation and a global network.

Trivia

Interesting Facts

  • Developer of Japan's first cellophane-style adhesive tape.
  • Pioneer in the tape industry with over 100 years of history since founding.
  • Cello Tape is a registered trademark with overwhelming domestic share.
  • Member of the Taisho Pharmaceutical group with strengths in pharmaceuticals.
  • Pioneering efforts in plastic-free products earning recognition domestically and internationally.
  • Former national soccer team player serves as ambassador for sports taping products.
  • Overseas deployment of tape products under the Panfix brand.
  • Hemostatic products contributed to vaccine administration support during the 2020 pandemic.
  • Anjo Factory's advanced technology building is a local landmark.
  • Some products appear in Japan TV dramas, with abundant media exposure.
  • "Nichiban Ondo" company song exists as a Showa-era cultural heritage.
  • History of featuring Sadaharu Oh and Kyu Sakamoto in CMs.
  • Experience sponsoring anime based on Go Nagai originals.
  • Donates comic textbooks to local elementary schools for educational support.
  • Social contribution activities providing medical products to Germany's Peace Village.

Hidden Connections

  • Strong synergy effects in pharmaceuticals due to capital participation by Taisho Pharmaceutical.
  • Close collaboration with chemical and pharmaceutical-related companies within the Otsuka Holdings group.
  • Many bandages seen in convenience stores and drugstores are made by Nichiban.
  • Enhances brand awareness through talent endorsements and tie-ups with TV entertainment programs.
  • Provides taping products to world-class sports events to boost recognition.
  • Nichiban products frequently appear in Japanese stationery games and comics.
  • Founder Kenichi Utahashi was a central figure in industry reorganization under wartime corporate restructuring orders.
  • Some products are essential not only in medical but also in electrical work and agriculture.

Future Outlook

Growth Drivers

  • Increasing demand for plastic-free products due to rising environmental awareness.
  • Expansion of bandages and adhesive tapes in Asian markets.
  • Advances in high-function and multi-function technologies for medical adhesive products.
  • Market growth in sports-related taping products and new customer development.
  • Strengthened local sales through overseas bases tailored to needs.
  • Differentiation through sustainable product development.
  • Improved production efficiency and quality via digital factories.
  • Product innovation through R&D of new materials.
  • Expansion of pharmaceutical-related markets amid growing health consciousness.
  • Strategic investments leveraging group financial strength.

Strategic Goals

  • Achieve over 70% ratio of SDG-compliant products.
  • Expand overseas sales ratio to over 40%.
  • Establish production processes aiming for zero environmental impact.
  • Accelerate integrated growth strategy with pharmaceuticals.
  • Capture market leadership in next-generation adhesive technology.
  • Maintain over 5% annual growth through new market development.
  • Achieve decarbonization management and energy-saving goals.
  • Promote symbiotic business model with local communities.
  • Advanced automation of manufacturing lines using IoT and AI.
  • Develop products and services contributing to solving social issues.

Business Segments

Industrial Tape Manufacturing and Sales

Overview
Provides tape products for industrial packaging and bundling applications to support production efficiency across various industries.
Competitiveness
Adhesive technology cultivated over 70 years and diverse product lineup
Customers
  • Packaging companies
  • Construction and electrical contractors
  • Agricultural machinery manufacturers
  • Logistics companies
  • Manufacturing factories
Products
  • Packaging tape
  • Industrial adhesive tape
  • Masking tape
  • Electrical insulation tape
  • Crop bundling tape and related equipment

Medical Product Supply

Overview
Stably supplies highly functional bandages, pharmaceuticals, and hygiene products to medical institutions.
Competitiveness
High trust in the pharmaceutical field and collaboration with major pharmaceutical groups
Customers
  • Hospitals and clinics
  • Pharmacies
  • Sports facilities
  • Medical equipment distributors
  • Nursing homes
Products
  • Medical bandages
  • Pharmaceutical products
  • Sports taping supplies
  • Medical masks and hygiene products

Stationery and Office Supplies Sales

Overview
Provides a wide range of stationery including adhesive tapes for offices and schools.
Competitiveness
Trusted brand power and broad product range
Customers
  • Stationery stores
  • Corporate office departments
  • Printing companies
  • Educational institutions
  • Government offices
Products
  • Cellophane tape
  • Label products
  • Mending tape
  • Bookbinding and packaging materials
  • OA supply products

Overseas Business Expansion

Overview
Promotes product provision and sales tailored to local needs, mainly in Asia and Europe markets.
Competitiveness
Rapid support system through local subsidiaries and representative offices
Customers
  • Overseas agents
  • Local medical distributors
  • Import/export companies
  • Local factories
  • International logistics companies
Products
  • Cellophane tape (Panfix)
  • Medical bandages
  • Sports taping
  • General industrial tapes

Competitive Advantage

Strengths

  • Technological prowess as Japan's first cellophane tape manufacturer
  • High market share in medical bandages
  • Capital and business collaboration with Taisho Pharmaceutical
  • Global network through overseas expansion
  • Diverse adhesive tape product lineup
  • Over 70 years of stable technological accumulation
  • Advanced initiatives in environmentally friendly products
  • Abundant patents and intellectual property rights
  • Well-equipped R&D bases
  • Diverse sales channel network
  • Solid financial foundation
  • Efficient domestic logistics system
  • Presence in the sports taping market
  • High brand recognition with sense of security
  • Dispersed production capacity across multiple factories

Competitive Advantages

  • Maintains top domestic share with Cello Tape, outstanding brand power
  • Deploys expertise and high-function products in medical and sports tapes
  • Strength in pharmaceuticals through collaboration with major pharmaceutical group
  • Aggressively expanding overseas to address emerging markets
  • Adhesive technology development at advanced labs surpasses competitors
  • Gains trust with safety-standard compliant products in medical field
  • Broad product assortment to meet diverse customer needs
  • Quality assurance system through various certifications
  • Historical market superiority and stable management provide competitive edge
  • Sustainability efforts enhance brand value
  • Brand strategy utilizing sports athlete ambassadors
  • Secures cost advantages through efficient logistics and sales network
  • Superior compliance with pharmaceutical-related regulations
  • Business expansion through domestic and overseas subsidiaries and affiliates
  • In-house development technology for adhesives suitable for diverse uses

Threats

  • Risk of cost increases due to raw material price fluctuations
  • Intensifying price competition from rival companies
  • Exchange rate risks in overseas operations
  • Need for product changes due to stricter environmental regulations
  • Potential market share decline from new entrants
  • Increased development burden from stricter pharmaceutical regulations
  • Brand damage from product safety incidents
  • Global supply chain disruptions
  • Competitive pressure from emerging alternative technologies and materials
  • Risk of demand decline due to economic downturn
  • Rise of local competitors in emerging markets
  • Impact on production and logistics from labor shortages

Innovations

2024: Advanced Technology Building Completed at Anjo Factory

Overview
Strengthens adhesive technology and pharmaceutical development in the new advanced technology building at Anjo Factory.
Impact
Achieves improved R&D capabilities and higher product quality

2023: Development and Commercialization of Plastic-Free Materials

Overview
Advances development of bio-based material tapes aimed at reducing environmental impact.
Impact
Gains high market evaluation and expands eco-friendly product lineup

2022: Performance Enhancement of Battle Win Sports Taping

Overview
Completed sports tape with improved durability and adhesion using new adhesive technology.
Impact
Increases support from athletes domestically and internationally

2021: Advancement of Digital Factory Transformation

Overview
Introduces IoT and AI monitoring systems in manufacturing processes to revolutionize production efficiency.
Impact
Contributes to 15% productivity improvement and quality stability

2020: Expansion of Production System for COVID-19 Response Hygiene Products

Overview
Expands supply by adding manufacturing lines for masks and hemostatic products.
Impact
Significantly expands market share through stable supply

Sustainability

  • Promoting development of alternative materials to reduce plastic waste
  • Strengthening energy-saving measures in manufacturing processes
  • Deploying recyclable tape products
  • Product design contributing to reduction of medical waste
  • Improving packaging materials to reduce environmental impact
  • Conducting environmental education and awareness activities for employees
  • Active compliance with international environmental standards
  • Disclosure of sustainability information in CSR reports
  • Introduction of product lifecycle assessments
  • Participation in local nature conservation activities
  • Establishment of proper management system for wastewater and exhaust gases
  • Formulation and implementation of green procurement standards