NS Tool
Basic Information
- Stock Code
- 6157
- Industry
- Machinery
- Category Detail
- Manufacturing Machinery & Electrical Equipment
- Prefecture
- Tokyo
- Establishment Year
- September 1961
- Listing Year
- November 2004
- Official Website
- https://www.ns-tool.com/
- TSE Information
- TSE Information
- Yahoo! Finance
- Yahoo! Finance
- Other Companies
- OSG, Dai-Jeet Industrial, Asahi Diamond Industrial, Fuji Seiko, A-One Precision, Estic, Nakamura Superhard, Fuji Dice, Union Tool, Nissei Resin, Makita, Ohashi Tech, Nac
Overview
NS Tool is a pioneer in the cutting tool industry established in 1961, boasting the top domestic market share particularly in the field of cemented carbide small-diameter end mills as a technology-intensive manufacturer.
Current Situation
NS Tool records consolidated sales of approximately ¥8.1 billion and operating profit of about ¥1.5 billion, maintaining stable growth in the manufacturing and sales of cutting tools. Its mainstay cemented carbide small-diameter end mills hold the top domestic market share in the high-precision machining market. The company is promoting efficiency through development capabilities and production consolidation at the Sendai factory, while focusing on maintaining quality. With the transition from Jasdaq to the Tokyo Stock Exchange Prime Market, its credibility in the capital market has increased. In terms of sustainability, it is investing in new material development and energy-saving manufacturing technologies to reduce environmental impact. In the future, it aims to expand markets both domestically and internationally, with technological innovation and strengthened overseas expansion as strategic priorities. In recent years, it has also been working on improving subsidiary management efficiency and diversifying its product lineup. Additionally, it continues to invest in research for new product development in response to market trends.
Trivia
Interesting Facts
- Holds top domestic share in cemented carbide small-diameter end mills
- Has the latest development center at Sendai factory, leading technological innovation
- Changed market segment from Jasdaq to Tokyo Stock Exchange Prime
- Founded in 1954, tool manufacturer with over 60 years of history
- Many skilled workers proficient in blade grinding technology
- Diversified tool-related manufacturing lines through group of subsidiaries
- Has various dedicated brands for high-precision machining
- Long-term transaction relationships with renowned domestic and international manufacturers
- Possesses proprietary high-durability coating technology
- Also operates tool management system business to improve customer satisfaction
- Achieved rapid shipping system at Sendai inventory center
- Number of employees approximately 340 on a consolidated basis
- Major clients concentrated in automotive and electronics industries
- Built integrated production system through factory consolidation
- Family business supported by the Goto family for a long time
Hidden Connections
- Sendai factory serves as a technology hub for Tohoku region's machinery industry, playing a role in regional revitalization
- High synergy effects with subsidiary Makino through manufacturing equipment collaboration
- Competes with machine tool manufacturer Makita but has indirect transactions for some products
- High capital liquidity as multiple foreign investment trusts are among major shareholders
- Close technical cooperation with cemented carbide material manufacturers
- Tool management system for manufacturing sites aims to become industry standard
- Regularly holds industrial technology seminars in local Shinagawa Ward, contributing to human resource development
- Major customers concentrated in high-tech industries such as automotive, aircraft, and semiconductors
Future Outlook
Growth Drivers
- Increasing demand for high-precision machining domestically and internationally
- Expansion of parts machining market for electric vehicles
- Increase in tool demand due to spread of industrial robots
- Efficiency of manufacturing processes through DX promotion
- Development of new technologies to respond to stricter environmental regulations
- Advancement of tool design using AI technology
- Strengthening sales for global markets
- Promotion of equipment investment due to production recovery after COVID-19
- Development of special tools for metal 3D printers
- Expansion of IoT-compatible services for manufacturing sites
- Revenue expansion through subsidiary management efficiency
- Introduction of product lifecycle management
Strategic Goals
- Maintain over 50% share in cemented carbide tool markets domestically and internationally
- 30% reduction in CO2 emissions through introduction of green manufacturing technology
- Maintain R&D expenses at over 5% of total sales annually
- Achieve industry-leading number of patents for advanced machining technology
- Achieve group sales over ¥10 billion through subsidiary collaboration
- Secure over 50% domestic share in tool management systems
- Improve new product development speed by 1.5 times current
- Expand overseas sales ratio to over 20%
- Achieve over 80% employee satisfaction
- 100% application of sustainable procurement standards
Business Segments
Precision Cutting Tool Manufacturing
- Overview
- Manufactures high-precision cutting tools for industry, corresponding to various industrial applications.
- Competitiveness
- Technological strength in cemented carbide small-diameter tools and high-quality production system
- Customers
-
- Automotive parts manufacturers
- Electronics manufacturers
- Aerospace companies
- Medical equipment manufacturers
- Industrial machinery manufacturers
- Robot manufacturers
- Mold manufacturers
- Products
-
- Cemented carbide end mills
- Turning tools
- Grinding equipment
- Special tools
- Tool machinery
- Machining auxiliary equipment
Tool Development Support Services
- Overview
- Provides tool development support and technical consulting.
- Competitiveness
- Custom technology proposals based on extensive track record
- Customers
-
- Machine tool manufacturers
- Manufacturing research institutions
- Industrial equipment design companies
- Products
-
- Custom tool design
- Tool evaluation testing
- Machining optimization consulting
Management Support for Subsidiaries
- Overview
- Promotes management efficiency and collaboration strengthening within the group subsidiaries.
- Competitiveness
- Group synergy creation capability
- Customers
-
- G Tech Co., Ltd.
- Makino Co., Ltd.
- Nisshin Engineering Co., Ltd.
- Products
-
- Shared management resources
- R&D collaboration
- Manufacturing equipment optimization
Industrial Machinery Parts Supply
- Overview
- Provides high-precision industrial machinery parts and maintains a reliable supply system.
- Competitiveness
- Stable supply capability for high-quality parts
- Customers
-
- Machining companies
- Precision equipment manufacturers
- Metal processors
- Products
-
- Machine parts
- Bearings
- Shafts
Tool Management System Sales
- Overview
- Sells systems to support tool operation efficiency.
- Competitiveness
- User-friendly design specialized for manufacturing sites
- Customers
-
- Manufacturing factories
- Tool specialty stores
- Machine tool manufacturers
- Products
-
- Tool management software
- Inventory management systems
- Maintenance alerts
Competitive Advantage
Strengths
- Top technological capability in cemented carbide small-diameter end mills
- High-precision production system by skilled technicians
- Efficient consolidation of domestic production bases
- Diverse product lineup
- Diversified subsidiary group structure
- Upgrade from Jasdaq to Tokyo Stock Exchange Prime
- Solid financial foundation
- Long-term trust in high-quality brand
- Strong transaction relationships with major industry manufacturers
- Continuous capital investment and R&D
- Strength in peripheral equipment such as product inspection machines
- End mill wear resistance improvement technology
- Flexibility to meet customer needs
- Custom tool design technology
- Comprehensive after-sales service system
Competitive Advantages
- Top share in domestic cemented carbide small-diameter end mill market
- High production efficiency at Sendai factory
- Wide product deployment and technology development through subsidiaries
- Provides products for difficult machining with high R&D capabilities
- Provision of tool management systems tailored to manufacturing sites
- Sales system closely connected to domestic and international customers
- Customer response capability through diverse product categories
- Advanced quality control system meeting government standards
- Stable funding and management foundation
- High brand recognition in cutting tool market
- Response capturing steady demand from manufacturing industry even during COVID-19
- Enhanced competitiveness through technology and information sharing among subsidiaries
- Outstanding cemented carbide processing technology
- Speedy delivery system
- Promotion of environmentally friendly product development
Threats
- Slowdown in related industries due to global semiconductor shortage
- Risk of fluctuations in international material prices
- Succession of skilled technicians issue
- Intensifying price competition with global competitors
- Exchange rate fluctuations affecting import/export costs
- Rising production costs due to stricter environmental regulations
- Market competition pressure from new entrants
- Decline in product competitiveness due to delayed response to technological advances
- Rising labor costs in domestic manufacturing
- Profit pressure from increased electricity costs
- Supply chain disruptions due to new infectious diseases
- Risk of declining customer demand
Innovations
2020: Sendai Factory New Development Center Completed
- Overview
- Completed a center specialized in R&D of the latest technologies, strengthening product development capabilities.
- Impact
- Achieved efficiency in new product development and quality improvement
2020: Sendai Inventory Center Opened
- Overview
- Newly established a centralized inventory center to build a rapid delivery system.
- Impact
- Contributes to shorter delivery times and improved customer satisfaction
2021: High Wear-Resistant Coating Technology Developed
- Overview
- Established proprietary wear-resistant coating technology for cemented carbide.
- Impact
- Extends tool life by 30% compared to conventional
2022: Improved Machining Accuracy Technology for Micro-Diameter End Mills
- Overview
- Dramatically improved precision in fine parts machining by applying laser processing.
- Impact
- Promotes market development for high-value-added products
2023: Introduction of Automation Equipment to Improve Production Efficiency
- Overview
- Promoted automation of manufacturing lines using robots and IoT.
- Impact
- 10% reduction in production costs and improved yield
2023: Development of Recycled Materials to Reduce Environmental Impact
- Overview
- Established technology for using recycled materials in cutting tools, contributing to environmental consideration.
- Impact
- 20% reduction in waste volume
Sustainability
- Promotion of energy-saving in manufacturing processes
- Promotion of recycling used tools
- Active use of environmentally friendly materials
- Measures to improve workplace safety
- Community coexistence activities with local communities
- Regular in-house environmental education
- Setting CO2 emission reduction targets
- Continuous implementation of waste reduction campaigns
- Introduction of green procurement standards
- Sustainable supply chain management
- Environmental contribution through special tools for EV vehicles
- Promotion of renewable energy use