Toami

Basic Information

Stock Code
5973
Industry
Metal Products
Category Detail
Construction Materials & Equipment
Prefecture
Osaka Prefecture
Establishment Year
September 1940
Listing Year
December 1995
Official Website
http://www.toami.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Sanko Metal Industry, ES, Nissho Group, Shinwa, Daiken, Ootani Industry, Sanyo Industry, Okabe, Carmate, Denkyo G, Genex

Overview

Toami is a leading welded wire mesh manufacturer founded in 1940 and an established company headquartered in Osaka Prefecture with strengths in metal products for civil engineering and construction.

Current Situation

Toami is steadily operating as the industry leader in welded wire mesh for civil engineering and construction. It has major factories and subsidiaries in the Chubu, Kyushu, and Chugoku regions, establishing a wide-area supply network. Recently, it has pursued business diversification and strengthened local operations through the acquisition of a construction company in Fukuoka. Paid-in capital is 1.29 billion yen, with 233 employees (FY2013). Performance is on a stable growth trajectory, with high-quality product supply leveraging technological strengths serving as a key differentiator from competitors. It continues active capital investments, focusing on product development and customer needs response systems. It is also developing environmentally friendly products to contribute to a sustainable society. Moving forward, it aims to pursue high value-added construction materials and expansion of construction solution services as growth strategies. Additionally, it is promoting related business expansion and new market development to solidify its position amid intensifying competition.

Trivia

Interesting Facts

  • Originates from an established wire mesh manufacturer lineage founded in 1887 in Shijonawate City.
  • Recognized as the largest welded wire mesh manufacturer in the industry.
  • Company name derives from abbreviation of former name 'Toyo Wire Mesh'.
  • Highly evaluated for construction materials quality control.
  • Multiple business bases in Kyushu, Chugoku, and Chubu regions.
  • Characterized by strong ties with local construction contractors.
  • Possesses special rust-proof technology for metal mesh products.
  • Listed on Tokyo Stock Exchange Standard Market in 1995.
  • Historic factories support traditional technologies.
  • Advancing business diversification through construction company acquisition.
  • Broad business scope from manufacturing to construction support.
  • Also operates construction business with Nara Prefecture governor's license.
  • Stable foundation with paid-in capital of 1.29 billion yen.
  • President is Yoshihito Kitagawa (as of 2023).
  • Sets industry-standard technical criteria for welded wire mesh manufacturing.

Hidden Connections

  • Actively pursuing construction company acquisitions in collaboration with local contractors.
  • Holds Nara Prefecture governor's license (scaffolding and earthworks) and has entered construction business.
  • Engaged in joint R&D projects with multiple competitors.
  • Long-term trading partners span multiple construction materials traders.
  • Strong family management with long-term succession by the Kitagawa family.
  • Local company advancing environmental conservation collaborations with municipalities.
  • Has independently built a nationwide delivery network for construction materials.
  • Has business alliance track record with multiple mid-sized domestic building materials manufacturers.

Future Outlook

Growth Drivers

  • Stable outlook for domestic construction demand growth
  • Market expansion for high-durability and eco-friendly products
  • Expansion of construction support services business
  • Advancement of production equipment automation and digitalization
  • Enhanced competitiveness through strengthened local business
  • Increasing demand for special-function wire mesh products
  • Increased investment in sustainable building materials technology
  • Expanded alliances with mid-sized construction companies
  • Advanced secondary processing technology
  • Expansion of comprehensive materials supply services for corporate clients
  • Strengthened product development responsive to market needs
  • High value-added construction materials

Strategic Goals

  • Achieve over 30% domestic market share in construction materials
  • Expand construction support services sales to 20% of total sales
  • Fully digitalize and automate production lines
  • Achieve 50%+ ratio of low-environmental-impact products
  • Advance SDGs achievement through community collaboration
  • Breakthrough 5 billion yen in annual sales from new business areas
  • Initiate initial overseas market entry and build business foundation
  • Enhance employee training system and talent development
  • Business expansion via active M&A in related areas
  • Implement co-creation projects through strengthened local government ties

Business Segments

Construction Materials Manufacturing

Overview
Provides various high-quality metal products for construction and civil engineering.
Competitiveness
Product reliability from long years of technological accumulation
Customers
  • Construction companies
  • Civil engineering firms
  • General contractors
  • Architectural design offices
  • Equipment contractors
Products
  • Welded wire mesh
  • Special welded wire mesh
  • Metal building materials
  • Industrial wire mesh
  • Construction materials

Construction Support Services

Overview
Provides materials and technical support at construction sites.
Competitiveness
Strong ties with local construction companies
Customers
  • Construction companies
  • Home builders
  • Renovation contractors
Products
  • Construction wire mesh materials
  • Construction technology support
  • Rust-proof products

Trading Companies and Wholesalers

Overview
Establishes stable supply systems for trading companies and wholesalers.
Competitiveness
Wide-area supply and short delivery capabilities
Customers
  • Building materials traders
  • Metal materials wholesalers
Products
  • Welded wire mesh sets
  • General metal building materials

Competitive Advantage

Strengths

  • Industry leader in welded wire mesh
  • Production bases spread across wide areas
  • Long-accumulated technology and product quality
  • Diverse product lineup
  • Solid financial base
  • Strong ties with local construction contractors
  • High processing technology
  • Stable customer base
  • Flexible product customization
  • Multi-channel sales expansion
  • Construction support services
  • Development of eco-friendly products
  • Quick response to site needs
  • Dual direct sales and wholesale approach
  • Stable growth-oriented management stance

Competitive Advantages

  • Holds superior market share as a major welded wire mesh manufacturer
  • Establishes rapid supply via regional production bases
  • Gains high trust from construction sites with high-quality products
  • Strong response to site needs through close collaboration with construction companies
  • Meets wide customer demands with diverse product lineup
  • Technological edge in special performance products like rust-proof and heat-resistant surpasses competitors
  • Enables long-term capital investment with stable financial base
  • Strong support from construction companies via local strategy
  • Maintains cost competitiveness through manufacturing process efficiency
  • Recent construction company acquisition boosts growth through diversification
  • Stable supply to traders and wholesalers expands transactions
  • Improves customer satisfaction with construction support services
  • Differentiation through advanced metal product development technology
  • Achieves low complaint rate via thorough quality control
  • Enhances corporate image with eco-friendly products

Threats

  • Risk of demand decline due to construction market fluctuations
  • Price competition pressure from rivals
  • Sharp rise in raw material prices
  • Concerns over productivity decline from labor shortages
  • Cost increases from stricter regulations
  • Impact of natural disasters on production bases
  • Increased burden from environmental regulations
  • Competitiveness decline from lagging technological innovation
  • Intensifying competition from overseas products
  • Transaction instability from contractor financial issues
  • Business continuity risk from successor issues
  • Demand reduction from rise of alternative building materials

Innovations

2023: Business Diversification via Construction Company Acquisition

Overview
Acquired a construction company in Fukuoka to strengthen construction support business.
Impact
Delivering expansion effects in local business.

2022: Development of Enhanced Rust-Resistant Welded Wire Mesh

Overview
Improved rust-proof processing technology for greater durability.
Impact
Enhances market competitiveness through extended product lifespan.

2021: Expansion of Production Equipment Automation

Overview
Efficiency and quality stabilization through manufacturing line automation.
Impact
Achieved 20% productivity improvement and reduced defect rate.

2020: Introduction of Eco-Friendly Metal Products

Overview
Promoting recycled material use and energy-saving manufacturing processes.
Impact
Improved corporate environmental rating and cost reductions.

Sustainability

  • Energy efficiency improvement activities at factories
  • Continuous improvement of waste recycling rate
  • Promotion of low-environmental-impact product development
  • Collaborative environmental conservation activities with local communities
  • Employee environmental awareness training
  • Support for waste reduction at construction sites
  • Expansion of energy-saving manufacturing equipment
  • Strengthened operation of environmental management systems
  • Environmental considerations across product lifecycle
  • Forest conservation through green program participation