Oiles Corporation

Basic Information

Stock Code
6282
Industry
Machinery
Category Detail
Iron, Steel & Metal Products
Prefecture
Kanagawa Prefecture
Establishment Year
March 1952
Listing Year
December 1989
Official Website
https://www.oiles.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Fudotetora, Nippon Kiso Gijutsu, Hi-Hiist, Tsubaki Nakashima, NSK, JTEKT, Nachi Fujikoshi, MinebeaMitsumi, IKO Nippon Thompson, THK, Daido Metal, Sonocom

Overview

Oiles Corporation is Japan's leading manufacturer of oilless bearings and seismic isolation/vibration control devices, founded in 1952, possessing numerous patents and strong technological capabilities as a machinery manufacturer.

Current Situation

Oiles Corporation recorded consolidated sales of approximately 53 billion yen and operating profit of 3.1 billion yen in the fiscal year ended March 2021, maintaining solid management. Its flagship oilless bearing products hold about 50% share of the domestic market, and it maintains the top position in seismic isolation and vibration control devices. Production is conducted at five factories in Japan and overseas, with active expansion into overseas markets. The company focuses on advanced technology development, holding over 1,800 patents that support business stability. It is also promoting the dissemination of seismic isolation technology for a sustainable society and the expansion of its construction machinery business. Moving forward, it aims for further growth domestically and internationally through new material development and strengthening overseas bases. Management maintains a high-profit structure while building a system flexible to market fluctuations. It is also actively engaged in social contribution activities to enhance corporate value.

Trivia

Interesting Facts

  • Holds about 50% of the domestic oilless bearing market as the largest player.
  • Its products are used in the seismic isolation devices of Tokyo Skytree.
  • Possesses over 1,800 patents, demonstrating high technological strength.
  • Constructed Japan's first seismic isolation structure building at its own business site.
  • Leads the industry in developing oilless spherical seal bearings for automotive exhaust pipes.
  • Possesses proprietary technology in architectural window opening/closing devices as well.
  • Expanding globalization with six local subsidiaries overseas.
  • Holds a high share in the architectural vibration control device market.
  • Originally founded as Japan Oilless Bearing Research Institute.
  • Seismic isolation technology adopted in many buildings domestically and internationally.
  • Approximately 2,000 consolidated employees with a high ratio of engineers.
  • Laminated natural rubber and lead plug seismic isolation technology is highly regarded.
  • Recognized as a disaster prevention and mitigation-related stock.
  • Supplies bearing products to diverse industries.
  • Bearings and oiled bearings are the mainstay in Nikkei's industry product classification ahead of the Nikkei 225.

Hidden Connections

  • Deep involvement with historic buildings through seismic isolation work on Yasukuni Shrine lanterns.
  • Stable funding support from Tokyo Small and Medium Enterprise Investment and Cultivation.
  • Strong relationships with major financial institutions such as Mizuho Bank and Nippon Life.
  • Engages in numerous joint projects with major construction industry companies.
  • Patented technologies domestically and internationally serve as entry barriers against competitors.
  • High market credit as a Tokyo Stock Exchange Prime listed company.
  • Product deployment aligned with Japan's trend of strengthening environmental regulations.
  • Introduction of new technologies in seismic isolation device market shapes industry-wide trends.

Future Outlook

Growth Drivers

  • Increasing demand for seismic isolation and vibration control buildings domestically and internationally
  • Expanding demand for environmentally friendly bearings in the automotive industry
  • Increasing bearing demand due to progress in automation and labor-saving in industrial machinery
  • Rising needs for eco-friendly products amid stricter environmental regulations
  • Infrastructure development and construction demand in overseas emerging markets
  • Development of high-value-added products leveraging patented technology
  • Product innovation using IoT and smart technologies
  • Promotion of advanced automation at domestic production bases
  • Further product diversification in the construction machinery market
  • Dissemination of technologies contributing to sustainable society creation
  • Increasing product demand due to heightened disaster prevention and mitigation awareness
  • Market expansion through multifaceted channel development

Strategic Goals

  • Achieve 70% market share in seismic isolation devices domestically and internationally
  • Strengthen business revenue through sales expansion of oilless bearing products
  • Improve competitiveness through digitalization of global production bases
  • Achieve over 60% ratio of low-environmental-impact products
  • Over 30% penetration rate for IoT-compatible smart bearings
  • Become a global company with overseas sales ratio exceeding 40%
  • Maintain R&D investment ratio at over 5% of sales
  • Continuous increase in number of patents held
  • Achieve 50% reduction target in CO2 emissions from manufacturing processes
  • Strengthen contributions to local communities and the environment

Business Segments

Bearings for Automotive Industry

Overview
Mass supplies oilless bearings that are wear-resistant and maintenance-free to the automotive industry.
Competitiveness
In-house technology for high-precision and highly durable bearing manufacturing
Customers
  • Automobile manufacturers
  • Automotive parts suppliers
  • Motorcycle manufacturers
  • Automotive repair shops
Products
  • Oilless bearings
  • Spherical seal bearings
  • Exhaust pipe bearings
  • Engine-related parts

Bearings for Industrial Machinery

Overview
Provides highly durable bearing products for industrial machinery and factory FA equipment.
Competitiveness
Abundant track record in custom-made products
Customers
  • FA equipment manufacturers
  • Machine tool manufacturers
  • Material handling equipment manufacturers
  • Precision machinery manufacturers
Products
  • Oilless bearings
  • Oiled bearings
  • Custom wear-resistant parts

Construction Machinery Manufacturing

Overview
Develops and delivers seismic isolation/vibration control equipment for large buildings and automation devices for construction equipment.
Competitiveness
Domestic top share in seismic isolation device technology
Customers
  • Construction companies
  • Building management companies
  • Construction equipment contractors
  • Design firms
Products
  • Seismic isolation devices
  • Vibration control dampers
  • Window opening/closing control devices
  • Ventilation devices

Overseas Business

Overview
Has local subsidiaries in Asia, America, and Europe markets to deploy products.
Competitiveness
Global production and sales network
Customers
  • Overseas automobile manufacturers
  • Overseas industrial machinery manufacturers
  • Overseas construction equipment companies
Products
  • Oilless bearings
  • Seismic isolation and vibration control devices

Environmentally Friendly Product Development

Overview
Focuses on developing products compliant with environmental regulations to contribute to a sustainable society.
Competitiveness
Patented technology for environmentally compatible products
Customers
  • Environmental companies
  • Construction operators
  • Government agencies
Products
  • Low-environmental-impact seismic isolation devices
  • Energy-saving construction machinery

Maintenance Services

Overview
Provides product maintenance and technical support on a nationwide scale.
Competitiveness
Nationwide technical support system
Customers
  • Building owners
  • Industrial machinery owners
Products
  • Bearing repairs
  • Seismic isolation device maintenance
  • Technical support

Competitive Advantage

Strengths

  • Domestic top share in seismic isolation devices
  • About 50% share in domestic oilless bearing market
  • High technological capability backed by over 1,800 patents
  • Long track record and trust in the industry
  • Product portfolio spanning diverse industries
  • Domestic and overseas production bases and global network
  • Active investment in environmentally friendly product development
  • Solid financial base and high-profit structure
  • Product development capabilities for custom orders
  • High-quality technical support services
  • Strong trading relationships with a wide customer base
  • Strong market position in construction, automotive, and industrial machinery sectors
  • Continuous R&D for product innovation
  • High entry barriers due to diverse patents
  • High expertise of skilled technicians and employees

Competitive Advantages

  • Top share and trust in domestic seismic isolation device market
  • Wear-resistant and oilless functions from proprietary bearing technology
  • Product lineup widely applicable across multiple industries
  • Rapid response via global production and sales system
  • Technological superiority backed by patented technology
  • Proven track record of adoption in large building seismic isolation projects
  • Leadership in product development compliant with environmental regulations
  • High customization capabilities and development support for customers
  • Stable business operations with solid financial base
  • Market trust based on long-term partnerships
  • Flexible product deployment to diverse needs
  • Acquisition of new technologies through continuous R&D investment
  • Cost efficiency through multi-country production bases
  • Contribution to maintenance cost reduction with high-performance products
  • Site-close services and technical support system

Threats

  • Intensifying price competition from overseas rivals
  • Risk of profit pressure from yen appreciation
  • Fluctuations in raw material prices
  • Increased product adaptation costs due to stricter environmental regulations
  • Decline in demand from reduced large-scale building investments
  • Changes in market needs due to automation and DX
  • Risk of technology imitation from patent expiration
  • Uncertain regulatory environment in emerging markets
  • Impact on overseas bases from geopolitical risks
  • Impact on production bases from natural disasters
  • Decline in productivity from labor shortages
  • Decline in competitiveness if unable to keep up with pace of technological innovation

Innovations

2024: Development of New Laminated Rubber Seismic Isolation Device

Overview
Launched a new laminated rubber seismic isolation device that reduces environmental impact and improves durability.
Impact
20% improvement in seismic isolation performance and reduced manufacturing costs

2023: Improvement of Oilless Spherical Seal Bearing

Overview
Developed a bearing using new materials that enables friction reduction and lifespan extension.
Impact
15% extension in product lifespan and reduced maintenance

2022: Introduction of Smart Seismic Isolation Monitoring System

Overview
Developed and started operation of a seismic isolation device condition monitoring system using IoT technology.
Impact
Improved diagnostic accuracy and 30% reduction in maintenance costs

2021: Introduction of Automation Equipment at Overseas Production Bases

Overview
Introduced the latest automation equipment at factories in China and Thailand, significantly improving production efficiency.
Impact
25% improvement in productivity and labor cost reduction

2020: New Development of Heat-Resistant Bearing Materials

Overview
Developed new materials for bearings strong in high-temperature environments and began deployment for industrial machinery.
Impact
Improved reliability of bearing performance

Sustainability

  • Promotion of environmentally considerate design for seismic isolation devices
  • Reduction of CO2 emissions in production processes
  • Promotion of waste recycling
  • Development and application of resource-saving technologies
  • Cooperation with local communities on environmental conservation
  • Continuous improvement of environmental management systems
  • Compliance with environmental standards in supply chain
  • Strengthening environmental education for employees
  • Improvement in power usage efficiency
  • Establishment of sustainable material procurement
  • Enhancement of employee health and safety management
  • Enhancement of corporate value through social contribution activities