Asaka Riken

Basic Information

Stock Code
5724
Industry
Non-Ferrous Metals
Category Detail
Iron, Steel & Metal Products
Prefecture
Fukushima Prefecture
Establishment Year
August 1969
Listing Year
November 2008
Official Website
https://www.asaka.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Chugai Mining, Technomasema, ARE Holdings, Onex, Atra G, Matsuda Industries

Overview

Asaka Riken, founded in 1969, belongs to the non-ferrous metals industry and is based in Fukushima Prefecture. It has established a solid position in the industry through its recycling technology centered on precious metal recovery and refining.

Current Situation

Asaka Riken recorded consolidated sales of approximately 8.6 billion yen, operating profit of approximately 800 million yen, and net profit of approximately 600 million yen for the fiscal year ended September 2022, maintaining a sustainable revenue base. In its main precious metal recovery business, it extracts and refines gold, platinum, and others from electronic components and defective products, contributing to a resource-recycling society. In recent years, it has strengthened EV battery regeneration technology, aiming for battery regeneration equivalent to 15,000 vehicles annually by 2030, and is actively promoting technological innovations. It focuses on reducing environmental impact, contributing to CO2 emission reductions and the formation of a circular society. It has also raised 6 billion yen in funding and invested in equipment for a battery regeneration plant, laying the groundwork for future growth. Centered in Koriyama City, Fukushima Prefecture, it deepens collaboration with the local community and emphasizes contributions to the local economy. While differentiating itself from competitors, it aims to establish a sustainable resource utilization model and achieve stable growth in the medium to long term.

Trivia

Interesting Facts

  • The company name 'Riken' is unrelated to the Institute of Physical and Chemical Research.
  • A locally rooted company with headquarters and main factories in Koriyama City, Fukushima Prefecture.
  • Nationally recognized for non-ferrous metal recycling technology.
  • Leading industry initiatives in EV battery regeneration.
  • Established in 1969 with over 50 years of history.
  • Raised 6 billion yen to establish a new battery regeneration plant.
  • Mid-sized company with approximately 180 consolidated employees.
  • Many local shareholders contributing to regional economic revitalization.
  • Competitors include ARE Holdings and Matsuda Industries, among others.
  • High recovery rates of gold and platinum from waste electronic components.
  • Listed in Nikkei company rankings for the non-ferrous metals sector.
  • Advancing technology development in response to stricter environmental regulations.
  • Expanding market share through diverse precious metal product brands.
  • Realization of a resource-recycling society as the core of its management philosophy.
  • Regularly holds technology briefing sessions for investors.

Hidden Connections

  • Local financial institution Joban Bank is a major shareholder with strong regional collaboration.
  • Exchanges technical information with competitors in non-ferrous metal recycling businesses.
  • Battery regeneration business closely tied to the automotive industry's environmental strategies.
  • Actively engages in activities in collaboration with local environmental preservation groups.
  • Has a history of operating an internet service provider business.
  • Own-brand pure gold and platinum products are partially supplied to the jewelry market.
  • Engaged in battery recycling technology development in collaboration with major automakers.
  • Conducts joint research with universities on recycling technologies.

Future Outlook

Growth Drivers

  • Surge in battery regeneration demand due to EV proliferation
  • Increased recycling demand from stricter environmental regulations
  • Improved cost competitiveness through advanced refining technology
  • Social demand for sustainable resource circulation models
  • Expansion of rare metal recycling in global markets
  • Strengthened business foundation through regional economic collaboration
  • Increased value of recovered products from rising resource prices
  • Market expansion driven by technological advances in battery recycling
  • Growing needs for advanced waste electronic component processing
  • Utilization of government circular economy promotion policies and subsidies
  • Improved corporate evaluation from heightened environmental awareness
  • Product diversification through new recycling material development

Strategic Goals

  • Establish regeneration capacity for 15,000 EV batteries annually
  • Reduce CO2 emissions by 30% by 2030
  • Achieve recycling rate of over 90%
  • Double production capacity of battery regeneration plants
  • Deepen symbiotic business development with the region
  • Realize zero environmental impact factories
  • Develop new precious metal recycling products
  • Expand recycling networks domestically and internationally
  • Establish sustainability-oriented management
  • Strengthen recruitment and training of advanced technical personnel

Business Segments

Precious Metal Recycling Business

Overview
Business that recovers precious metals from electronic components and batteries, refines and reprocesses them, and supplies to customers.
Competitiveness
Advanced refining technology and regionally integrated collection network
Customers
  • Electronic component manufacturers
  • Automotive manufacturers
  • Chemical manufacturers
  • Battery manufacturing companies
  • Industrial recycling companies
  • Industrial material trading companies
  • Jewelry manufacturers
  • Precision equipment manufacturers
  • Research and development institutions
  • Recycled resource traders
  • Metal resource plant operators
  • Environmental companies
Products
  • Metal recovery raw materials
  • Precious metal ingots
  • Regenerated platinum products
  • Battery recycling materials
  • Industrial palladium
  • Silver for electronic equipment
  • Metal powders
  • Rhodium for catalysts
  • Alloy products
  • High-purity metal products
  • Recycled metal pellets
  • Refined metal bullion
  • Silver paste
  • Special metal films
  • Metal scrap

Battery Regeneration Business

Overview
Promotes resource circulation and CO2 reduction through regeneration and recycling technology for EV batteries.
Competitiveness
Technological superiority in battery regeneration field and large-scale processing capacity
Customers
  • Electric vehicle manufacturers
  • Battery recycling companies
  • Automotive parts suppliers
  • Environmental businesses
  • Power-related companies
  • Local governments
  • Manufacturing equipment manufacturers
  • Recycled resource trading companies
  • Research institutions
  • Industrial waste treatment companies
Products
  • Lithium-ion battery regeneration
  • Battery material recovery
  • Battery disassembly services
  • Regenerated battery materials
  • Environmental impact reduction technology
  • Battery manufacturing raw material supply
  • Battery dismantling equipment
  • Regenerated cell products
  • Battery repair services
  • Environmental consulting

Refining Technology Contract Services

Overview
External contract processing and technical support services leveraging high-difficulty refining technology.
Competitiveness
Reliable services backed by precise and highly efficient refining technology
Customers
  • Small-scale recycling companies
  • Intermediate treatment companies
  • Chemical plants
  • Mining development companies
  • Electronic waste treatment companies
  • Research and development organizations
  • Universities and technical research institutes
  • Industrial waste treatment companies
  • Pharmaceutical manufacturers
  • Technology development companies
Products
  • Precious metal separation technology
  • Extraction processing services
  • Analysis and inspection services
  • Waste recycling technology
  • Process design consulting
  • Environmental technology development
  • Waste material processing contracts
  • New material processing
  • Metal purity management
  • Waste removal services

Competitive Advantage

Strengths

  • Superior refining technology capabilities
  • Advanced battery regeneration technology
  • Locally integrated collection network
  • Stable financial foundation
  • Extensive resource circulation expertise
  • Diverse precious metal product lineup
  • Proven environmental response capabilities
  • Business expansion through consolidated structure
  • Proactive investment in technology development
  • Relationship building with diverse customer segments
  • Listed on Tokyo Stock Exchange Standard Market
  • Contribution to regional economy
  • Provision of specialized services
  • Flexible business development
  • High-reliability product quality

Competitive Advantages

  • High-efficiency precious metal recovery technology from electronic components
  • Advanced initiatives in EV battery regeneration
  • Geographical advantage based in Koriyama, Fukushima Prefecture
  • In-house refining capabilities for diverse precious metal products
  • High environmental compatibility and sustainable technology
  • Comprehensive customer support system
  • Increased industry recognition in resource recycling
  • Enhanced processing capacity through equipment investment
  • Secured management stability via consolidated structure
  • Product lineup adaptable to wide range of industries
  • Technical know-how for maintaining high-purity products
  • Responsiveness to segmented customer needs
  • Technological innovations emphasizing environmental impact reduction
  • Clear medium- to long-term business vision and investment plans
  • Flexible response to regulatory changes

Threats

  • Profit pressure from fluctuations in precious metal prices
  • Technological innovations by competitors
  • Cost increases due to stricter environmental regulations
  • Rising difficulty in procuring recovery raw materials
  • Demand instability from global economic fluctuations
  • Decline in competitiveness from delayed technology adoption
  • Supply chain disruptions from geopolitical risks
  • Risks from changes in recycling regulations
  • Intensified market competition from new entrants
  • Rising energy costs
  • Risk of business contraction due to regional economic impacts
  • Damage to production facilities from natural disasters

Innovations

2023: Expansion of EV Battery Recycling Technology

Overview
Introduced technology to regenerate EV batteries equivalent to 15,000 units annually.
Impact
Contributes to reduced environmental impact and improved resource circulation rate.

2024: Development of High-Efficiency Precious Metal Refining Process

Overview
Improved precious metal recovery rate from electronic materials by 20% compared to previous methods.
Impact
Achieved improved recovery efficiency and cost reductions.

2022: Diversified Deployment of Regenerated Metal Powder Products

Overview
Developed recycled metal powders for a wider range of applications than before.
Impact
Successfully opened new customer segments.

2021: Strengthening of Environmental Regulation Compliance Technology

Overview
Advanced research and development of exhaust gas reduction technology.
Impact
Contributed to strengthened compliance.

2020: Introduction of Automation to Refining Equipment

Overview
Improved production efficiency by automating part of the process.
Impact
Successfully reduced labor costs and stabilized quality.

2023: Demonstration of CO2 Emission Reduction Technology

Overview
Demonstrated technology for significant reduction in CO2 emissions from factories.
Impact
Achieved reduced environmental impact.

2024: Quality Improvement of Recycled Metal Products

Overview
Improved purity and stability through new manufacturing processes.
Impact
Contributed to enhanced market competitiveness.

2022: Development of Battery Dismantling Automation Technology

Overview
Achieved automation of EV battery dismantling operations for improved efficiency.
Impact
Improved work efficiency by 30%.

2021: Development of Recycling Environmental Impact Assessment System

Overview
Enabled quantitative evaluation of environmental impacts across product lifecycles.
Impact
Contributed to advanced environmental strategies.

2020: Development of New Handled Metal Materials

Overview
Expanded rare metals to improve product diversity.
Impact
Successfully entered new material markets.

Sustainability

  • Set ambitious goal for significant CO2 emission reductions (30% by 2030)
  • Continuous improvement of recycling rates
  • Production processes targeting zero waste
  • Promotion of equipment updates for environmental impact reduction
  • Ongoing implementation of local environmental conservation activities
  • Strengthened labor safety and health activities
  • Full compliance with environmental laws and regulations
  • Building sustainable supply chains
  • Establishment of stable regenerated resource supply system
  • Environmental awareness enhancement through employee training
  • Improved energy efficiency
  • Introduction of environmental impact assessment systems