Alinco

Basic Information

Stock Code
5933
Industry
Metal Products
Category Detail
Leasing & Rental
Prefecture
Tokyo
Establishment Year
July 1970
Listing Year
March 1993
Official Website
https://www.alinco.co.jp/
TSE Information
TSE Information
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Other Companies
Takamiya, CTS, Daisan, Nihon Kogyo, SANEI, Setec, Wakita, ASNOVA, Kanamoto, Nishio Holdings, Marubeni Baisho Lease

Overview

Alinco is a metal products manufacturer established in 1970, with manufacturing and sales of construction temporary equipment and fitness machines as its mainstays, and is a leading company expanding its business domestically and internationally.

Current Situation

Alinco recorded consolidated net sales of 60.7 billion yen and operating profit of 2.4 billion yen for the fiscal year ended March 2023. It positions sales and rentals of construction temporary equipment as its core business and diversifies into fitness machines, nursing care products, and more. It has multiple bases overseas, mainly in Asia, and is expanding product manufacturing and sales. It has withdrawn from the TV shopping business and adopted a sales strategy emphasizing distribution channels such as home centers. It also focuses on technology development, manufacturing and selling wireless devices in the communications equipment field. In recent years, it has strengthened its business foundation through business alliances and subsidiary acquisitions, and transitioned to the Tokyo Stock Exchange Prime Market in 2022. It is advancing initiatives for sustainable business operations, maintaining competitive advantages in the domestic leasing industry while continuing to grow.

Trivia

Interesting Facts

  • The company name is said to be a coined word from Aluminum (AL) - Inoue (IN) - Company (CO).
  • It once operated a TV shopping business but has since withdrawn.
  • Holds top-class domestic market share in construction temporary scaffolding.
  • Fitness machines are also sold on its own direct sales EC site 'Arinkoya'.
  • Has numerous affiliates and diversifies its business areas.
  • Long track record in the leasing and rental industry.
  • Rare diversified company also manufacturing and selling communications equipment.
  • High market attention due to transition to Tokyo Stock Exchange Prime Market.
  • Has multiple domestic production bases and sales bases overseas.
  • Founded in 1938, established in 1970, with a long history.

Hidden Connections

  • Has partnerships with many home centers, building an extensive distribution network.
  • Fitness machine business has diverse customer segments different from construction equipment.
  • Communications equipment division mainly handles business wireless devices, meeting needs at construction sites, etc.
  • Numerous affiliates operate across Japan and Southeast Asia, supporting business expansion.
  • Although the former TV shopping business was withdrawn, it can be seen as a response to changes in sales channels.
  • Has multiple factories and operates manufacturing and rental supply chains integrally.
  • Transition from Tokyo Stock Exchange Section 2 to Prime Market indicates improved corporate credibility.
  • Strengthening position in the industry through collaborations and M&A with competitors.

Future Outlook

Growth Drivers

  • Increase in temporary equipment demand due to construction investment recovery
  • Expansion of nursing care products market accompanying aging society
  • Increase in fitness machine demand due to rising health consciousness
  • Growth in communications equipment business through digitalization対応
  • Expansion of local production and sales in Asian markets
  • Popularization of environmentally considerate products and regulatory compliance
  • Strengthening of product competitiveness through new technology introduction
  • Utilization of diverse sales channels
  • Strengthening of business foundation through M&A and business alliances
  • Logistics efficiency improvement and service quality enhancement

Strategic Goals

  • Aim for net sales of over 70 billion yen domestically and internationally
  • Maintain top domestic share in construction temporary equipment
  • Expansion and high value-added of fitness machine business
  • Strengthening of product development achieving reduced environmental impact
  • Service innovation for improved customer satisfaction
  • Further promotion of sustainability management
  • Market share expansion in major Southeast Asian markets
  • Strengthening of integrated system from manufacturing to rental
  • Business efficiency improvement through digital and IoT utilization
  • Diverse talent development and creation of comfortable work environment

Business Segments

Construction Temporary Materials Sales & Rental

Overview
Provides sales, leasing, and rental services for temporary products for construction sites.
Competitiveness
Diverse product lineup and rapid service provision system
Customers
  • Construction companies
  • Construction contractors
  • Temporary works contractors
  • Design offices
  • Public entities
Products
  • Temporary scaffolding panels
  • Lightweight temporary equipment
  • Ladders & stepladders
  • Temporary work platforms
  • Safety railings

Fitness Machine Sales

Overview
Manufactures and sells business-use and home-use fitness machines.
Competitiveness
Product design balancing high quality and ease of use
Customers
  • Fitness clubs
  • Sports facility operators
  • Retailers
  • Rehabilitation centers
  • Individual users
Products
  • Powered walkers
  • Exercise bikes
  • Strength training equipment
  • Multifunctional bench presses

Nursing Care Products & Rehabilitation Equipment Sales

Overview
Develops and sells support equipment for the elderly and disabled.
Competitiveness
Product rollout emphasizing ease of use and safety
Customers
  • Nursing care facilities
  • Medical institutions
  • Welfare equipment retailers
  • Home caregivers
Products
  • Walking aids
  • Nursing care lifts
  • Rehabilitation support equipment

Communications Equipment Development & Manufacturing

Overview
Handles development to manufacturing and sales of business wireless communication equipment in an integrated manner.
Competitiveness
High communication performance and durability
Customers
  • Construction sites
  • Security companies
  • Logistics companies
  • Local governments
Products
  • Business transceivers
  • Repeaters
  • Walkie-talkies

Home-Related Equipment Wholesale

Overview
Wholesales home-related metal products through intermediate distribution.
Competitiveness
Abundant product variety and stable supply system
Customers
  • Home centers
  • Home building materials retailers
  • Carpentry shops
  • DIY shops
Products
  • Aluminum ladders
  • Stepladders
  • Home metal products

Rental Service Business

Overview
Provides temporary equipment rental services centered on the construction industry.
Competitiveness
Rapid service through nationwide network
Customers
  • Construction companies
  • Event companies
  • Logistics companies
  • Public facilities
Products
  • Construction equipment rental
  • Temporary materials rental

Contract Manufacturing & OEM Business

Overview
Contract manufacturing and OEM supply of various metal products and equipment.
Competitiveness
Advanced manufacturing technology and multi-variety対応
Customers
  • Metal product manufacturers
  • Fitness equipment brands
  • Communications equipment brands
Products
  • Metal processed products
  • Machine parts
  • Electronic device parts

Overseas Business Expansion

Overview
Product sales and rental bases in China, Thailand, Vietnam, and Indonesia.
Competitiveness
Integrated local production and sales operations
Customers
  • Overseas construction companies
  • Local agents
  • Export destinations
Products
  • Construction temporary materials
  • Fitness machines
  • Communications equipment

Building Materials & Housing Equipment Wholesale

Overview
Engages in wholesale business of building materials and housing equipment.
Competitiveness
Rapid logistics and detailed product provision
Customers
  • Building materials wholesalers
  • Housing equipment retailers
  • Construction materials trading companies
Products
  • Roofing & wall materials
  • Home stepladders
  • Various construction materials

Logistics Support Services

Overview
Provides total support for management and logistics of construction materials.
Competitiveness
Efficient materials management system
Customers
  • Construction sites
  • Manufacturers
  • Sales agents
Products
  • Equipment management
  • Transportation support

Maintenance & Repair Services

Overview
Provides inspections and repair services for owned equipment.
Competitiveness
Rapid and specialized maintenance system
Customers
  • Construction equipment users
  • Fitness facilities
  • Communications equipment users
Products
  • Equipment inspections
  • Repairs & maintenance

Recycling & Environmental Business

Overview
Recycling of construction waste materials and environmental response business.
Competitiveness
Sustainable initiatives compliant with environmental regulations
Customers
  • Public entities
  • Construction companies
  • Industrial waste handlers
Products
  • Metal recycling
  • Waste material processing

Competitive Advantage

Strengths

  • Stable revenue base through diversified business operations
  • Technological capabilities and track record in construction temporary equipment manufacturing
  • Extensive domestic and international sales network
  • Long years of industry experience and reliability
  • Diverse product lineup
  • Provision of high-quality fitness machines
  • Brand power as a domestic leasing business operator
  • Complementary system through numerous subsidiaries and affiliates
  • Efficient logistics and rental service system
  • Technology development capabilities in communications equipment
  • Business expansion through active M&A and alliances
  • Initiatives toward sustainable management
  • Strong customer base and diverse customer segments
  • Vertically integrated business model
  • Flexibility in responding to market changes

Competitive Advantages

  • Industry-leading construction temporary equipment manufacturing and sales capabilities
  • Position as one of Japan's largest scaffolding and temporary equipment leasing companies
  • Market competitiveness through original fitness machine designs
  • Robust domestic and international sales channels and support system
  • Product differentiation through specialized technology in communications equipment
  • Business expansion in multiple directions through related companies
  • Building of long-term customer relationships and trust
  • Active overseas expansion and local production system
  • Revenue stabilization through diversification
  • Provision of rapid and efficient rental services
  • Acquisition of management resources and market expansion through M&A
  • Promotion of environmentally considerate products and services
  • Accumulation of specialized know-how and talent development system
  • Construction of seamless supply network
  • Compliance with laws/regulations and industry standards

Threats

  • Decline in demand due to economic fluctuations in construction investment
  • Intensification of price competition and new entrant competitors
  • Cost increases due to rising raw material prices
  • Increased business operation costs due to stricter regulations
  • Decline in product competitiveness due to delays in technological innovation
  • Political and economic risks in overseas markets
  • Increased equipment investment burden due to environmental regulations
  • Risks of delays in digitalization and DX対応
  • Need for rapid response to changes in sales channels
  • Talent acquisition and aging of technicians
  • Production and logistics disruptions due to disasters
  • Impact on earnings from exchange rate fluctuations

Innovations

2024: Development of New Lightweight Aluminum Scaffolding Panel

Overview
Developed scaffolding panels that are 30% lighter than conventional products with improved safety.
Impact
Improves work efficiency and reduces on-site workload.

2023: Enhanced IoT Compatibility for Fitness Machines

Overview
Introduced IoT-enabled fitness machines with health management functions.
Impact
Promotes linkage of user health data. Enhances market competitiveness.

2022: Expanded Adoption of Environmentally Friendly Aluminum Materials

Overview
Increased use of recycled aluminum materials to reduce environmental impact.
Impact
Contributes to improved CSR evaluation and resource cost reduction.

2024: Renewal of Construction Equipment Rental Management System

Overview
Introduced cloud-based management system to advance inventory management.
Impact
Dramatically improves service provision speed and efficiency.

2021: Strengthening of Overseas Local Production System

Overview
Expanded production lines at factories in China and Southeast Asia to improve cost competitiveness.
Impact
Contributes to reduction in exchange rate risk and earnings improvement.

2023: Technological Development of New Wireless Communication Equipment

Overview
Developed business transceivers with enhanced long-distance communication performance.
Impact
Expands market share and improves customer satisfaction.

2020: Launch of Online Sales Platform for Users

Overview
Promoted sales through strengthening of direct sales EC site 'Arinkoya'.
Impact
Achieved increase in sales of home fitness machines.

2024: Development of Lightweight Home Equipment Using New Materials

Overview
Developed home equipment using new high-strength, lightweight materials.
Impact
Improves handling and boosts customer satisfaction.

2023: Promotion of Sustainability in Rental Services

Overview
Operational improvements aimed at improving material reuse rate and reducing environmental impact.
Impact
Strengthens environmental collaboration with customer companies.

2022: Development of New Safety Belt

Overview
Commercialized work safety belts with enhanced safety using high-function materials.
Impact
Contributes to reducing accident risks at construction sites.

Sustainability

  • Expanded adoption of recycled aluminum materials
  • Reduction in environmental impact through product lightweighting
  • Strengthening of circular operations in materials rental business
  • Active utilization of renewable energy
  • Compliance with environmental regulations and strengthening of environmental management system
  • Promotion of CSR activities with awareness of regional contributions
  • Employee environmental education and awareness improvement
  • Greenhouse gas reduction through energy-saving equipment introduction
  • Strengthening of environmental collaboration with customers
  • Efficiency improvement in waste processing and recycling
  • Product development balancing safety and environmental consideration
  • Sustainable supply chain management