Terasaki Electric Industries
Basic Information
- Stock Code
- 6637
- Industry
- Electrical Equipment
- Category Detail
- Shipbuilding
- Prefecture
- Osaka Prefecture
- Establishment Year
- April 1980
- Listing Year
- March 2007
- Official Website
- https://www.terasaki.co.jp/
- TSE Information
- TSE Information
- Yahoo! Finance
- Yahoo! Finance
- Other Companies
- Hanshin Nenryo, Akasaka Ironworks, Furuno Electric, Nitchitsu, Tokyo Keiki
Overview
Terasaki Electric Industries is an electrical equipment manufacturer established in 1980, with power distribution control systems and circuit breakers as its main products, and is a specialist manufacturer with a high market share in the marine and industrial sectors.
Current Situation
Terasaki Electric Industries recorded consolidated sales of approximately 36.8 billion yen and operating profit of approximately 2.2 billion yen in the fiscal year ending March 2018, building a steady profit base. Its main power distribution control systems are centered on marine, factory, and building applications, with low-voltage circuit breaker products enjoying stable demand. Through competitive technical partnerships, it has collaborated with Korea's Hyundai Heavy Industries to strengthen marine power distribution systems. In 2016, it consolidated its head office functions within the Kami Factory site in Hirano-ku, promoting an efficient production system. It is also focusing on environmentally friendly cogeneration systems and medical equipment fields to pursue diversification. Following a scandal in 2018, it has strengthened governance and improved its internal management system. Moving forward, in line with changes in market segments, it aims to enhance competitiveness in the Tokyo Stock Exchange Standard Market by focusing on research and development and customer-oriented services. It has set a medium- to long-term strategy for business expansion and profit stabilization by responding to needs in marine and industrial applications.
Trivia
Interesting Facts
- Founded in 1923, it is one of Japan's established companies in the electrical equipment industry.
- Has a technical partnership with Korea's Hyundai Heavy Industries for marine power distribution systems.
- Holds one of the top domestic market shares in the low-voltage circuit breaker market.
- In 2018, an embezzlement incident by an employee was revealed, leading to strengthened governance.
- Head office relocated in 2016 to the Kami Factory site in Hirano-ku, Osaka City.
- Power distribution control systems compatible with diverse applications including marine, factories, and buildings.
- Operates a medical equipment business and has entered the healthcare field.
- Owns consolidated subsidiaries Teratech and Teramex.
- Manufactures cogeneration systems to promote energy efficiency.
- Provides highly reliable distribution equipment based on long-accumulated technology.
Hidden Connections
- Strengthened product supply to the Korean marine market through partnership with Hyundai Heavy Industries.
- Expands business scope through subsidiaries Teratech and Teramex.
- Closely collaborates with local industries in Osaka, contributing to the regional economy.
- Strengthened financial reporting and internal management systems following the scandal.
- Promotes cross-sectional technology development leveraging strengths in diverse industrial fields.
- Marine products form a unique market independent of shipbuilders.
- Medical equipment business applies system control technology.
- Aiming to enhance creditworthiness through transition to Tokyo Stock Exchange Standard Market.
Future Outlook
Growth Drivers
- Increasing demand for energy-saving equipment due to strengthened environmental regulations in the marine industry.
- Market expansion through IoT and AI integration in industrial power distribution control systems.
- Growing needs in the medical equipment field due to aging society.
- Improved reliability and fundraising in the Tokyo Stock Exchange Standard Market.
- Acceleration of new product development emphasizing reduced environmental impact.
- Increased orders for related equipment from recovery in domestic and international shipbuilding demand.
- Expanded sales of power management systems for SMEs.
- Strengthened business development in overseas markets, especially Asia.
- Enhanced corporate value through internal controls and governance strengthening.
- Product and service innovation through digital technology utilization.
- Expansion of cogeneration system demand.
- Stabilization of profit base through diversification strategy.
Strategic Goals
- Achieve power distribution control system sales exceeding 20 billion yen.
- Establish medical equipment business sales at 5 billion yen.
- Maintain top domestic market share for energy-saving equipment.
- Operate environmentally considerate factories achieving 30% CO2 emission reduction.
- Expand overseas sales ratio to 25%.
Business Segments
Marine Electrical Equipment
- Overview
- Provides power distribution and engine monitoring control products for marine vessels.
- Competitiveness
- High reliability and technological strength in the marine industry
- Customers
-
- Shipbuilders
- Shipping operators
- Shipping companies
- Marine equipment maintenance companies
- Products
-
- Marine distribution panels
- Engine monitoring control systems
- Motor control centers
Industrial Control Systems
- Overview
- Deploys power control products for industrial facilities such as factories.
- Competitiveness
- Long-term stable operation and customization capabilities
- Customers
-
- Factory equipment managers
- Energy management companies
- Equipment maintenance companies
- Products
-
- Industrial distribution panels
- Cogeneration systems
- Motor control centers
Medical Equipment and Devices
- Overview
- Provides equipment and control systems for medical sites.
- Competitiveness
- High-precision product deployment through specialized technology
- Customers
-
- Hospitals
- Clinical testing facilities
- Medical equipment sales companies
- Products
-
- Clinical testing equipment
- Medical control systems
Low-Voltage Electrical Equipment
- Overview
- Manufactures and sells low-voltage electrical protection equipment for residential and commercial facilities.
- Competitiveness
- High domestic market share and trusted safety
- Customers
-
- Power equipment contractors
- Building equipment contractors
- Housing construction companies
- Products
-
- Low-voltage circuit breakers
- Earth leakage circuit breakers
- Air circuit breakers
Competitive Advantage
Strengths
- Specialized technology in marine and industrial power distribution control
- Major domestic manufacturer in low-voltage circuit breakers
- Global technological capabilities through technical partnerships
- Long-term trust relationships with customers
- Stable financial base
- Diverse product lineup
- Regionally integrated production system
- Diversification into medical equipment
- Advanced customization capabilities
- Comprehensive training and human resource development
- Thorough quality control
- Cogeneration technology
- Strong internal control system
- Development capabilities for environmentally friendly products
- Competitive edge from extensive track record
Competitive Advantages
- High market share through technology and track record in marine power distribution control
- High safety and reliability of low-voltage circuit breakers
- Product strength enhanced through technical partnership with Hyundai Heavy Industries
- Efficient production bases rooted in local areas
- Market expansion through technology deployment in medical field
- Development capabilities to finely meet diverse customer needs
- Superiority over competitors with advanced control system development
- Stable revenue through order structure based on long-term contracts
- Market entry barriers through development of products compliant with environmental regulations
- Improved customer satisfaction through thorough quality control
- Reliable after-sales service system
- Risk diversification across multiple business fields
- Stable management base built on financial soundness
- Sales network expansion through strong sales channels
- Improved governance through strengthened internal compliance
Threats
- Impact from economic trends in the marine market
- Price competition due to increasing domestic and international competitors
- Risk of rising raw material prices
- Intensified competition from technological innovations by overseas companies
- Decline in production efficiency due to labor shortages
- Cost increases from strengthened legal and environmental regulations
- Risk of corporate image decline from scandals
- Profit pressure from exchange rate fluctuations
- Market share competition from new entrants
- Supply chain instability
- Impact from international trade friction
- Production and logistics disruptions from natural disasters
Innovations
2024: Advancement of Next-Generation Power Distribution Control Systems
- Overview
- Successfully developed power distribution control systems utilizing IoT technology and AI.
- Impact
- Achieves operational efficiency improvements and enhanced fault prediction accuracy.
2023: Environmentally Friendly Cogeneration System
- Overview
- Launched new energy-saving cogeneration units to the market.
- Impact
- Contributes to customers' CO2 reduction targets.
2022: Development of Remote Monitoring Technology for Medical Equipment
- Overview
- Implemented remote monitoring systems with cloud integration.
- Impact
- Contributes to efficiency and safety improvements in medical sites.
2021: New Development of High-Performance Earth Leakage Circuit Breakers
- Overview
- Launched new products with significantly improved response speed and detection accuracy.
- Impact
- Improves household safety and expands market share.
2020: Renewal of Marine Engine Monitoring Control Systems
- Overview
- Introduced new models with enhanced operability and environmental resistance.
- Impact
- Improves customer satisfaction and increases repeat orders.
Sustainability
- Active development and promotion of energy-saving distribution equipment
- Implementation of CO2 emission reduction programs at factories
- Promotion of product design using recycled materials
- Improvement of manufacturing processes to reduce environmental impact
- Ongoing regional cleanup activities as social contribution
- Sustainable management through strengthened compliance
- Regular environmental education for employees
- Product development considering resource and energy savings
- Promotion of renewable energy adoption
- Efforts to reduce waste and improve recycling rates