Nachi Fujikoshi

Basic Information

Stock Code
6474
Industry
Machinery
Category Detail
Iron, Steel & Metal Products
Prefecture
Tokyo
Establishment Year
December 1928
Listing Year
May 1949
Official Website
https://www.nachi-fujikoshi.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Nitto Net, Oiles Industrial, Hi-Hi-St, Tsubaki Nakashima, NSK, JTEKT, MinebeaMitsumi, Nippon Thompson, THK, Japan Aviation Electronics, Daido Metal Industrial, Daiseki

Overview

Nachi Fujikoshi is a long-established machinery industry company founded in 1928, a leading industry giant boasting high technological prowess with cutting tools, bearings, and industrial robots as its mainstays.

Current Situation

Nachi Fujikoshi achieved consolidated net sales of approximately 239.8 billion yen and operating profit of approximately 6.6 billion yen in the fiscal year ending November 2024, maintaining a stable business foundation. In its mainstay bearing and tool businesses, it has strengths targeted at the automotive industry and competes fiercely with rivals. It also operates in machine tools and industrial robots, responding to the advancement of manufacturing. In recent years, it has built overseas production systems, including in China, to strengthen its competitiveness in the global market. In the wake of the bearing cartel incident, it has strengthened corporate governance and thoroughly enforced legal compliance to restore societal trust. It promotes sustainable product development and efficient production processes while working to reduce environmental impact. Looking ahead, it aims for growth through technological innovation in industrial robots and is focusing on digital transformation. It has also consolidated its head office functions in Tokyo to secure top talent. While maintaining financial soundness, it is considering R&D investments and M&A.

Trivia

Interesting Facts

  • The NACHI brand originates from Kumano Nachi Taisha Shrine
  • Formerly manufactured bicycles under the 'Nachi-go' brand
  • Has a history of Emperor Showa visiting to view products as part of domestic encouragement
  • Received a corporate fine in the 2012 bearing cartel incident
  • Transferred head office functions from Toyama City, Toyama Prefecture to Tokyo
  • Highly evaluated in the industry for manufacturing machine tools and robot technology
  • Incorporates the name of the heavy cruiser 'Nachi' into its logo
  • One of the few Japanese tool manufacturers with history dating back to pre-war era
  • Toyama Local Railway Nachi Fujikoshi Line and Nachi Fujikoshi Station named after the company factory
  • 2017 chairman's statement became a local topic and led to an apology

Hidden Connections

  • The connection between the NACHI brand and Kumano Nachi Taisha Shrine links regional culture and corporate philosophy as a strength.
  • History as a Nikkei 225 constituent stock demonstrates the company's credibility.
  • Long-term transaction relationships with major Japanese automakers are a source of competitiveness.
  • Overseas production of industrial robots is a key part of global strategy.
  • The bearing cartel incident became an opportunity for industry restructuring and strengthened legal compliance.
  • Company products are adopted in a wide range of industries from railways to aircraft.
  • Name linkage with local railway 'Nachi Fujikoshi Line' demonstrates presence in regional economy.
  • Advanced manufacturing technology supports the foundation of Japan's manufacturing industry.

Future Outlook

Growth Drivers

  • Increased demand for high-performance bearings due to automotive electrification
  • Expansion of industrial robot market accompanying factory automation
  • Technological innovation in high-function steel and alloy steel
  • Further promotion of global expansion and emerging market development
  • Improved productivity through introduction of digital technologies
  • Increased demand for energy-saving products in response to strengthened environmental regulations
  • Growing needs for advanced precision metal processing technology
  • Accelerated new product development through advances in materials technology
  • Response to manufacturing DX (digital transformation)
  • Flexible product deployment for diversifying customer needs
  • Strengthening talent acquisition and technology succession
  • Building safe and reliable supply systems

Strategic Goals

  • Double industrial robot sales
  • Target overseas sales ratio of over 60%
  • Deploy energy-saving products for decarbonization society across all products
  • Raise sustainable material usage ratio to 80%
  • Strengthen development of next-generation high-function materials
  • Accelerate IoT and DX in manufacturing sites
  • Expand business in emerging markets and strengthen local production
  • Promote diverse talent utilization and diversity
  • Optimize business portfolio and focus on growth areas
  • Strengthen supply chain resilience and risk management

Business Segments

Cutting Tool Manufacturing and Sales

Overview
Manufactures and provides high-precision cutting tools to meet diverse metal processing needs of customers.
Competitiveness
Tool design that balances high technology and durability
Customers
  • Automotive manufacturers
  • Aerospace industry
  • Machine tool manufacturers
  • Metal processors
  • Precision machinery manufacturers
  • Electrical equipment manufacturers
  • Mold manufacturers
Products
  • Carbide tools
  • Drills
  • End mills
  • Taps
  • Solid end mills
  • Turning inserts
  • Chip saws

Bearing Manufacturing and Sales

Overview
Develops and supplies bearing products that meet high-load and high-precision requirements.
Competitiveness
Long-life and high-precision bearing technology
Customers
  • Automotive parts manufacturers
  • Industrial machinery manufacturers
  • Robot manufacturers
  • Precision machinery manufacturers
  • Construction machinery manufacturers
  • Railway vehicle manufacturers
  • Power tool manufacturers
Products
  • Deep groove ball bearings
  • Tapered roller bearings
  • Needle roller bearings
  • Thrust bearings
  • Hybrid bearings

Industrial Robot Manufacturing

Overview
Develops industrial robots that achieve automation and efficiency in production processes.
Competitiveness
High-precision and high-speed robot technology
Customers
  • Automotive production lines
  • Electronics assembly factories
  • Metal processing factories
  • Food manufacturing
  • Logistics centers
Products
  • Welding robots
  • Transfer robots
  • Assembly robots
  • Painting robots
  • Inspection robots

Machine Tool Sales

Overview
Provides machine tools for diverse applications both domestically and internationally.
Competitiveness
Multifunctional and high-precision machining technology
Customers
  • SME manufacturers
  • Automotive parts manufacturers
  • Electronics manufacturers
  • Aerospace industry
  • Machine tool manufacturers
Products
  • Machining centers
  • Electrical discharge machines
  • Lathes
  • Milling machines

Functional Parts Supply

Overview
Supplies high-quality mechanical parts used in various industrial fields.
Competitiveness
Integration of precision machining and materials technology
Customers
  • Heavy industry manufacturers
  • Industrial machinery manufacturers
  • Automotive parts manufacturers
  • Hydraulic equipment manufacturers
  • Construction machinery manufacturers
Products
  • Hydraulic cylinder parts
  • Special steel parts
  • High-precision bearing parts
  • Industrial materials

Materials Business

Overview
Materials business supplying high-function materials for various product applications.
Competitiveness
Material development capabilities for high quality and diverse applications
Customers
  • Special steel distributors
  • Automotive parts manufacturers
  • Machine tool manufacturers
  • Construction machinery manufacturers
  • Precision equipment manufacturers
Products
  • Special steel
  • Alloy steel
  • Stainless steel
  • Wear-resistant steel

Competitive Advantage

Strengths

  • High cutting tool technological capability
  • Strength in automotive bearings
  • Industrial robot development capabilities
  • Diversified product portfolio
  • Global production network
  • Long history and industry trust
  • Substantial R&D investment
  • Broad domestic and international customer base
  • Stable and sound capital
  • Diverse manufacturing sites
  • High-precision product design capabilities
  • Established quality control system
  • Diverse technologies in industrial machinery
  • Strong 'NACHI' brand
  • Flexible customer response

Competitive Advantages

  • Differentiates by providing high-performance bearings specialized for automotive applications
  • Secures high market share in cutting tools through balance of durability and precision
  • Industrial robot technology meets market needs with high speed and precision
  • Demonstrates competitiveness across multiple regions through global expansion
  • Meets one-stop customer needs with diverse product lineup
  • Stable financial base supports ongoing long-term R&D
  • Achieves high-quality product delivery through integrated production
  • Strengthens legal compliance with solid corporate governance
  • Flexibly responds to OEM and collaborations to adapt quickly to market changes
  • Maintains short delivery times and cost competitiveness with domestic and overseas manufacturing sites
  • High customer loyalty due to strong brand recognition
  • Achieves differentiation from competitors with product technologies across multiple fields
  • Improves product performance through active use of advanced materials
  • Gains social recognition through development of environmentally friendly products
  • Maintains technological superiority through focus on talent development and technology succession

Threats

  • Price competition pressure from global competitors
  • Risk of profit instability due to exchange rate fluctuations
  • Changes in demand from electrification and automation in the automotive industry
  • Impact of international trade friction and tariff systems
  • Cost increases from rising material prices
  • Production cost increases due to strengthened environmental regulations
  • Risk of failing to keep up with rapid technological innovation
  • Market share erosion from new entrants
  • Reignition of legal risks related to bearing cartel
  • Cybersecurity threats
  • Labor shortages and intensifying hiring competition
  • Supply chain disruptions from new pandemics, etc.

Innovations

2024: Development of High-Precision Industrial Robot Control Technology

Overview
Developed industrial robots equipped with next-generation high-speed, high-precision control technology.
Impact
Achieves improved efficiency and quality in production lines.

2023: Wear Resistance Improvement Technology for Carbide Cutting Tools

Overview
Significantly enhanced wear resistance of cutting tools using proprietary coating technology.
Impact
Contributes to extended tool life and reduced machining costs.

2022: New Alloy Steel Development in Materials Business

Overview
Successfully commercialized new high-strength, lightweight alloy steel for automotive applications.
Impact
Promotes increased orders from automakers and market expansion.

2021: Production Line Optimization Using IoT

Overview
Introduced IoT sensors to factory manufacturing equipment to improve production efficiency.
Impact
Achieved reduced defect rates and shorter delivery times.

2020: Expansion of Hybrid Bearing Technology

Overview
Improved performance of hybrid bearings using ceramic materials.
Impact
Contributes to new field development through enhanced heat and corrosion resistance.

Sustainability

  • Promotion of energy-saving at factories and greenhouse gas reduction plans
  • Promotion of resource recycling through increased use of recycled materials
  • Establishment of product design standards considering reduced environmental impact
  • Strengthening of CSR activities aimed at coexistence with local communities
  • Promotion of work-style reforms and diverse talent utilization