Nagaoka

Basic Information

Stock Code
6239
Industry
Machinery
Category Detail
Industrial Equipment & Heavy Electrical Apparatus
Prefecture
Osaka Prefecture
Establishment Year
November 2004
Listing Year
June 2015
Official Website
https://www.nagaokajapan.co.jp/
TSE Information
TSE Information
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Overview

Nagaoka is a machinery manufacturer founded in 1934, with strengths in energy and water-related businesses, and a technology-driven company that has established a global position in petroleum plant components.

Current Situation

Nagaoka is a mid-sized machinery manufacturer with 168 consolidated employees, maintaining the world's top position in manufacturing parts for petrochemical plants as of the June 2020 fiscal year. In its main water-related business, it focuses on manufacturing and selling chemical-free water treatment equipment and intake screens, aiming for growth as environmental technology. After civil rehabilitation in 2004, it successfully restructured its operations with sponsor support and listed on the Tokyo Stock Exchange Standard Market in 2015. It actively invests in technology development, operates manufacturing bases in Himeji and Edogawa, and maintains high-quality product supply. Hamada Co., Ltd., the parent company, is the major shareholder, stabilizing the management base. In the future, it plans to strengthen water treatment technology and develop new energy-related equipment, as well as sustainable environmental products. In the medium to long term, it aims for growth by expanding its customer base domestically and internationally while enhancing technological capabilities.

Trivia

Interesting Facts

  • Founded in 1934 in Matsubara City, Osaka Prefecture, as a wire mesh workshop.
  • Holds the top position in the world market for components that promote catalytic reactions.
  • One of the few success stories in company reconstruction after civil rehabilitation in 2004.
  • Related subsidiary in Dalian, China, handles local water treatment equipment manufacturing.
  • High reliability of petroleum refinery plant parts is highly evaluated domestically and internationally.
  • Possesses rare chemical-free water treatment equipment technology in the industry.
  • President Yasuhisa Umetzu leads technological innovations.
  • Manufacturing operations based at Himeji Factory and Edogawa Factory in Tokyo.
  • Parent company Hamada supports management as the major shareholder.
  • Listed on the Tokyo Stock Exchange Standard Market in 2015.
  • Intake screens contribute to river water conservation.
  • Products constitute essential equipment in petrochemical and environmental fields.
  • Head office building in Anjo-cho, Chuo-ku, Osaka, owned by Nomura Real Estate.
  • Expanding into related equipment for medical and food sectors, advancing diversification.
  • Entering the chemical machinery field with advanced manufacturing technology.

Hidden Connections

  • Collaborates with local Osaka industries, contributing to regional economic revitalization.
  • Ongoing strengthening of technology investments through capital alliance with parent Hamada.
  • Global production system established through Nagaoka Equipment (Dalian, China).
  • Patented technologies in petroleum plant field differentiate from competitors.
  • Water treatment business importance increasing with strengthening environmental regulations.
  • Proprietary chemical-free water treatment technology is a result of joint university research.
  • Long-cultivated technical know-how highly evaluated by national waterworks operators.
  • President Yasuhisa Umetzu is well-versed in industry trends and leads management.

Future Outlook

Growth Drivers

  • Expanding demand for chemical-free water treatment technology compliant with environmental regulations
  • Stable growth in petrochemical catalyst parts market
  • Infrastructure investment expansion domestically and internationally
  • New market development through focus on environmental equipment
  • Efficiency and quality improvements in manufacturing processes via DX
  • Strengthening global production and sales networks
  • Rising awareness of environmental sustainability
  • Product differentiation through new material technology innovations
  • Enhanced collaborations with partner companies
  • Tailwinds from government energy and environmental policies
  • Increasing needs for water resource conservation
  • Product development responsiveness to customer needs

Strategic Goals

  • Expand domestic and international share of chemical-free water treatment equipment by 30%
  • Increase environmental product sales to 40% of total
  • Establish sustainable manufacturing processes and reduce CO2 emissions by 40%
  • Boost overseas base production capacity by 20%
  • Strengthen competitiveness through development and launch of new material product lines
  • Improve productivity by 30% through DX promotion
  • Achieve full compliance with international environmental regulations
  • Expand CSR activities through strengthened community collaborations
  • Maintain annual R&D investment at 10% of sales
  • Expand new customer segments and enter diverse markets

Business Segments

Petrochemical Plant Parts Manufacturing

Overview
Manufactures highly durable parts used in oil and chemical plants, supporting safety and efficiency.
Competitiveness
High-quality products backed by world's No. 1 catalyst parts technology
Customers
  • Oil refining companies
  • Petrochemical manufacturers
  • Energy-related companies
  • Plant engineering companies
Products
  • Catalyst reaction parts
  • Heat-resistant seals
  • Plant pipe covers
  • Chemical reaction equipment parts

Water Treatment Equipment Manufacturing & Sales

Overview
Provides water treatment equipment that supports reduced environmental impact and sustainable water use.
Competitiveness
Development capabilities in environmentally friendly chemical-free treatment technology
Customers
  • Municipal waterworks
  • Industrial water treatment companies
  • Environmental service companies
  • Food & beverage manufacturers
Products
  • Chemical-free water treatment equipment
  • Intake screens
  • Purification membrane units
  • Drainage filtration equipment

Environmental Equipment Sales

Overview
Supports sustainable industrial activities through sales of environmental improvement equipment.
Competitiveness
Comprehensive solutions in environmental technology
Customers
  • Industrial waste processors
  • Renewable energy companies
  • Public institutions
  • Environmental facility operators
Products
  • CO2 reduction filters
  • Bio waste treatment equipment
  • Energy recovery equipment

Manufacturing Machinery Sales

Overview
Provides manufacturing equipment for chemical and food sectors, contributing to improved production efficiency.
Competitiveness
Highly durable and customizable product lineup
Customers
  • Chemical manufacturers
  • Pharmaceutical manufacturers
  • Food processors
  • Water treatment equipment manufacturers
Products
  • Agitators
  • Centrifuges
  • Liquid transfer pumps

Competitive Advantage

Strengths

  • World-leading catalyst reaction parts manufacturing technology
  • Strong R&D capabilities and research investment
  • Solid customer base and long-term relationships
  • Risk diversification through diversified business operations
  • Product lineup strong in environmental technology
  • Manufacturing and sales bases domestically and internationally
  • Improved management base stability
  • High-quality product design by specialized engineers
  • Proprietary chemical-free water treatment technology
  • Strengthened collaboration with parent company Hamada
  • Development capabilities for environmental regulation-compliant products
  • Trusted relationships with long-term customers
  • Customization capabilities
  • Adaptability to diverse market needs
  • Utilization of overseas production bases

Competitive Advantages

  • World-class market share in petroleum plant catalyst parts
  • Proprietary technology in chemical-free water treatment equipment contributing to environmental regulations
  • Speed of product improvements through joint development with customers
  • Stable supply system through multi-site operations
  • Improved financial stability through parent company's funding support
  • Enhanced brand power from early entry into environmental and energy fields
  • Reduced market fluctuation risks with broad product range
  • Competitive edge secured by patented technologies
  • Reduced overseas market entry barriers through international standard compliance
  • Long-term customer retention with highly durable products
  • Product development adapting to stricter environmental regulations
  • Flexible product customization to meet customer needs
  • Cost competitiveness through high-efficiency production lines
  • Reliability based on years of track record
  • Comprehensive strength through collaborations with numerous related companies

Threats

  • Cost increases due to global resource price fluctuations
  • Adaptation burden from sudden environmental regulation changes
  • Competitors' technological innovations
  • Demand contraction from Japan's declining population
  • Political risks at overseas production bases
  • Profit margin pressure from exchange rate fluctuations
  • Low-price offensives from emerging market companies
  • Production halt risks from natural disasters
  • Supply chain disruptions
  • Lagging behind rapid environmental technology innovations
  • Challenges in securing talent
  • Risk of declining long-term contract customers

Innovations

2024: Development of Next-Generation Chemical-Free Water Treatment Equipment

Overview
Developed new chemical-free water treatment technology aiming for zero environmental impact.
Impact
Contributes to market expansion through improved performance and energy-saving effects.

2023: High-Durability Technology for Petroleum Plant Catalyst Carriers

Overview
Developed new materials that significantly improve durability of catalyst parts.
Impact
Realizes extended operating time and reduced maintenance costs.

2022: Patent Obtained for New Water Treatment Technology

Overview
Obtained patent for chemical-free water purification system.
Impact
Gaining attention as a key solution for environmental regulations.

2021: Promotion of Digitalization in Manufacturing Processes

Overview
Optimized manufacturing efficiency and quality control using IoT and AI technologies.
Impact
Contributes to productivity improvements and error reduction.

2020: Launch of Environmentally Considerate Drainage Filtration Equipment

Overview
Developed more efficient filtration equipment with lower environmental impact.
Impact
Adoption advancing in public facilities, expanding market share.

Sustainability

  • Promotion of chemical reduction through chemical-free water treatment technology
  • Energy conservation and CO2 emission reductions at manufacturing sites
  • Product development using recycled materials
  • Strengthened waste reduction and recycling
  • Rapid deployment of technologies responding to environmental regulations
  • Participation in local environmental conservation activities
  • Environmental education for employees
  • Building sustainable supply chains
  • Formulation of environmental management policies and improved transparency
  • Reduction of environmental impact across product lifecycles
  • Support for research on water resource protection
  • Collaboration with suppliers to reduce environmental impact