Elecom

Basic Information

Stock Code
6750
Industry
Electrical Equipment
Category Detail
Information & Communication Equipment
Prefecture
Osaka Prefecture
Establishment Year
May 1986
Listing Year
November 2006
Official Website
https://www.elecom.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
MCJ, Buffalo, Wacom, EIZO, Hochiki, Nippon Antenna, Kondo

Overview

Elecom is an electrical equipment manufacturer based in Osaka Prefecture, founded in 1986, and is a fabless company boasting the top domestic market share in the PC peripherals field.

Current Situation

Elecom achieved consolidated sales of approximately 107.3 billion yen and operating profit of approximately 13.9 billion yen in the fiscal year ending March 2022, establishing a top-class domestic market share in PC peripherals such as mice and keyboards. Its main business is shifting from the BtoC market centered on consumer electronics retailers to the BtoB market, and it is strengthening its operations through M&A. As a fabless manufacturer, it actively promotes global procurement and excels in quality and cost management. By making DX Antenna and Tescom Electric subsidiaries, it is diversifying its business and expanding sales channels domestically and internationally. The company has obtained environmental certification ISO14001 and focuses on quality management and product safety. In the future, it will prioritize IoT-related devices and corporate solutions development, aiming for sustainable growth. It is emphasizing overseas expansion, including growth in China and Southeast Asia.

Trivia

Interesting Facts

  • Elecom is steadily expanding its business areas through large-scale M&A.
  • Realizes multi-variety small-lot production through fabless model.
  • Maintains top-class share in the domestic mouse market.
  • Gained attention for GPL issues in firmware of Linux-based products.
  • One of the largest PC peripherals companies listed on the Prime Market.
  • Accelerating management shift from BtoC to BtoB.
  • Deploys directly operated 'Elecom Design Shop' stores at multiple locations from Osaka headquarters.
  • Develops approximately 4,000 new products annually across diverse categories.
  • Actively promoting overseas expansion centered on China and Southeast Asia.
  • Growing through capital and business alliances with many leading companies.
  • Largest shareholder is founder Junji Hatada with over 28% ownership.
  • Has multiple subsidiaries including DX Antenna and Nippon Antenna through M&A.
  • Product lineup extends to approximately 17,000 items.
  • Also provides custom-designed products to a wide range of customers.
  • Continues full model changes every 3-4 years for products.

Hidden Connections

  • Elecom Logistics, a logistics subsidiary, supports an efficient supply system.
  • Closely collaborates on product development and sales with affiliate Logitec Corporation.
  • Experienced trial and error in communications field through short-term entry and exit from MVNO business.
  • Engaged in legal dispute with Brother Industries over inkjet printer-related litigation.
  • Has subsidiaries in the US, Europe, and Asia, building an international business network.
  • Chairman Representative Director Junji Hatada from founding family deeply involved in management.
  • Strengthening competitiveness in communications-related business through management integration with Nippon Antenna.
  • Diverse product genres greatly contribute to industry-specific evaluations and transactions.

Future Outlook

Growth Drivers

  • Building stable revenue base through focus shift to BtoB market
  • Expansion of IoT and smart device demand
  • Acceleration of global procurement and overseas market expansion
  • Strengthening competitiveness through higher value-added products
  • Increased focus on SDGs and environmentally responsive products
  • Business expansion through M&A and alliances
  • Expansion of corporate services and solutions
  • Product planning emphasizing user experience
  • Optimization of domestic and international direct sales channels
  • Operational efficiency improvement through digital technology applications

Strategic Goals

  • Achieve over 60% overall ratio of corporate sales
  • Realize over 40% overseas sales ratio
  • Establish top-class domestic position in IoT and smart devices
  • Build product lineup reducing environmental impact by 50%
  • Expand new business sales to over 20 billion yen

Business Segments

Corporate IT Solutions

Overview
Provides planning, sales, and service support for IT equipment and peripherals to diverse corporate customers.
Competitiveness
Diverse product lineup and nationwide sales and support network
Customers
  • Corporate Enterprises
  • Government Agencies
  • Educational Institutions
  • Small and Medium Enterprises
  • Large Enterprises
  • IT-Related Companies
  • Distribution Industry
  • Manufacturing
  • Medical Institutions
  • Financial Institutions
Products
  • Network Equipment
  • Security-Related Products
  • OA Equipment Peripherals
  • Business PC Accessories
  • Business Storage Media
  • Security Devices
  • Custom Design Products for Corporates
  • Cloud-Linked Devices
  • Mobile Accessories
  • IT Project Support Services

Logistics and Distribution Solutions

Overview
Provides efficient work support equipment for logistics and retail industries.
Competitiveness
Highly specialized product lineup pursuing functionality and quality
Customers
  • Logistics Providers
  • Retail Chains
  • Distribution Centers
  • Warehouse Operators
  • EC Operators
  • Manufacturers
  • Trading Companies
  • Logistics Equipment Manufacturers
Products
  • OA Furniture
  • PC Racks
  • Carrying Bags
  • Logistics Peripherals
  • Barcode Readers
  • Business Numeric Keypads
  • Network Equipment

Products for Educational and Research Institutions

Overview
Provides competitive IT equipment and support tailored to educational institutions.
Competitiveness
Flexible proposal capabilities attuned to educational site needs
Customers
  • Universities
  • Vocational Schools
  • Research Institutions
  • Public Libraries
  • Educational Administrative Agencies
Products
  • Educational Peripherals
  • PC Accessories
  • Data Storage Devices
  • Network-Related Equipment
  • Educational Support Software

Smart Home and Security Business

Overview
Provides security equipment and IoT products for the smart home market.
Competitiveness
High technological capability and abundant product lineup
Customers
  • Home Builders
  • Home Security Companies
  • Individual Homeowners
  • Real Estate Management Companies
Products
  • Home Security Devices
  • Security Cameras
  • Smart Locks
  • IoT Home Appliance Linkage Devices

Overseas Business Expansion Support

Overview
Provides product development and support tailored to global needs.
Competitiveness
Overseas procurement and product deployment considering regional characteristics
Customers
  • Overseas Sales Partners
  • Global Companies
  • Exporters
Products
  • PC Peripherals for Overseas
  • International Standard Compliant Products
  • Multi-Language Support Devices

OEM/ODM Business

Overview
Leverages fabless strengths to plan and provide diverse OEM products.
Competitiveness
Flexible product design and high-quality management system
Customers
  • Other Industry Manufacturers
  • Home Appliance Manufacturers
  • IT Equipment Manufacturers
Products
  • Custom Input Devices
  • Custom Storage Media
  • Brand License Products

Mobile Carrier Related Business

Overview
Deploys a variety of products centered on mobile market accessories.
Competitiveness
Development capabilities that quickly respond to market trends
Customers
  • Smartphone Carriers
  • MVNO Operators
  • Mobile Shops
  • Mobile Device Manufacturers
Products
  • Mobile Accessories
  • SIM-Related Products
  • Mobile Charging Devices

Environment and Energy Business

Overview
Focuses on R&D of energy-saving and environmentally friendly products.
Competitiveness
Next-generation battery technology and product commercialization experience
Customers
  • Energy-Related Companies
  • Environmental Equipment Manufacturers
Products
  • Sodium-Ion Batteries
  • Low Environmental Impact Products

Retail Store Support

Overview
Provides products to support efficient retail store operations.
Competitiveness
Proposal sales power leveraging industry knowledge
Customers
  • Electronics Retail Stores
  • Office Supply Stores
  • Specialty Store Operators
Products
  • Sales Promotion Fixtures
  • POS Peripherals
  • Store Supplies

Business Software Linkage Devices

Overview
Promotes development of peripherals that link with software.
Competitiveness
Integration technology with software
Customers
  • IT System Vendors
  • Software Manufacturers
Products
  • Peripheral Linkage Solutions
  • Business Connection Devices

Products for Medical and Nursing Equipment

Overview
Plans and provides dedicated IT equipment for medical and nursing fields.
Competitiveness
Design emphasizing safety and usability
Customers
  • Medical Institutions
  • Nursing Facilities
  • Medical Equipment Manufacturers
Products
  • Input Devices
  • Network Equipment
  • Dedicated Accessories

IT Support for Manufacturing

Overview
Provides IT equipment that contributes to manufacturing site efficiency.
Competitiveness
Product lineup with high durability and site adaptability
Customers
  • Manufacturing Companies
  • Factory Managers
Products
  • On-Site PC Peripherals
  • Network Equipment
  • Data Management Solutions

Competitive Advantage

Strengths

  • Top-class domestic share in mice and keyboards
  • Diverse product lineup and brand strength
  • Cost advantages based on global procurement
  • Active business expansion into corporate market
  • Flexible production through fabless model
  • Business expansion through aggressive M&A strategy
  • Extensive sales and support network
  • Advanced quality management system
  • Strong relationships with long-term customers
  • Advanced product development capabilities

Competitive Advantages

  • Able to serve both consumer and corporate markets with diverse products
  • Strengthened management base and new business acquisition through M&A
  • Accelerating growth centered on emerging countries through overseas market expansion
  • Balancing product development speed and quality management
  • Fabless system suppresses costs and capital investment
  • Competitive edge in BtoB market through differentiated products
  • Customer touchpoint expansion through diverse sales channels
  • Gaining social trust through environmental certifications
  • Strong brand image and customer trust
  • Promoting new product development backed by advanced technological capabilities

Threats

  • Intensifying domestic competition and price decline pressure
  • Exchange rate fluctuation risks in overseas markets
  • Delays in rapid market introduction of new technologies/products
  • Instability in global supply chains
  • Increased product compliance costs due to strengthened environmental regulations
  • Offensives and price competition from overseas competitors
  • Burden of responding to rapid technological changes in IT market
  • Customer dependency risks such as government agencies

Innovations

2024: Management Integration Plan with DX Antenna and Nippon Antenna

Overview
Plans management integration in February-March 2025 to fuse expertise of both companies and strengthen communications equipment business.
Impact
Contributes to improved competitiveness in communications equipment field and promotes acquisition of new customers.

2023: Tescom Electric Joins Group

Overview
Made Tescom Electric a subsidiary to strengthen home appliance business and expand product lineup.
Impact
Achieved new market development and revenue diversification.

2022: Advancing Sodium-Ion Battery Development

Overview
Accelerating mass production research on long-life sodium-ion battery technology as alternative to conventional lithium-ion batteries.
Impact
Creates competitive advantage in next-generation environmental products.

2021: Expansion of Corporate Network Security Products

Overview
Announced new models strong in IoT device linkage to strengthen security business.
Impact
Successfully expanded corporate customer base.

2020: Introduction of New Wireless Mouse Technology

Overview
Launched mouse with new low-power infrared LED technology to improve market competitiveness.
Impact
Succeeded in product differentiation and increased sales.

Sustainability

  • Continuous operation of ISO14001 environmental management certification
  • Promotion of energy-saving across all products
  • Expansion of recyclable material usage
  • Reduction of waste and improvement of recycling rate
  • Stricter environmental standards in supply chain
  • Planning and expanded sales of low environmental impact products
  • Environmental awareness activities for employees
  • Active participation in local cleanup activities
  • Strengthened compliance with environmental laws and regulations
  • CO2 reduction through optimized power management