Azbil

Basic Information

Stock Code
6845
Industry
Electrical Equipment
Category Detail
Commercial & Industrial Machinery
Prefecture
Tokyo
Establishment Year
August 1949
Listing Year
October 1961
Official Website
https://www.azbil.com/jp/
TSE Information
TSE Information
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Other Companies
Rigaku Holdings, Kyolite Information Communications, Anritsu, Yokogawa Elec, Horiba, HIOKI, JEOL, Shimadzu Corporation, Topcon, Riken Keiki, A&D Holon Holdings, Nifco

Overview

Azbil is an electrical equipment manufacturer established in 1949, holding the top position in Japan in the control and measurement instruments field, with strengths in air conditioning control and fuel control technologies.

Current Situation

Azbil recorded consolidated sales of approximately 264.8 billion yen and operating profit of approximately 25.7 billion yen in the fiscal year ended March 2021, maintaining a solid financial base. It holds the top domestic market share in the air conditioning control sector, with the Building Systems Company as its core driving growth. The company is also focusing on developing manufacturing measurement instruments and automation equipment, actively pursuing technological innovation. It is engaged in new businesses related to the environment and energy conservation, as well as promoting ESG management. With bases overseas in China, Mexico, and elsewhere, it is accelerating global market development, and aims to strengthen and expand its business portfolio through flexible operations under its in-house company system going forward. It is also implementing shareholder return measures such as treasury stock cancellations to achieve sustainable growth.

Trivia

Interesting Facts

  • Founded in 1906, a control instrument manufacturer with a long history
  • Formerly had capital alliance with Honeywell
  • Company name azbil is a coined term from automation, zone, builder
  • Maintains top share in domestic air conditioning control market
  • Head office located in Tokyo Building in Marunouchi
  • Promotes business diversification through in-house company system
  • Established Azbil Yamatake Foundation for social contribution activities
  • Local corporations in China and Mexico for overseas expansion
  • Capital exceeding 10.5 billion yen, solid capital base
  • Actively implementing shareholder return measures like treasury stock cancellations
  • Leads standardization activities in multiple industry associations
  • Cross-industry shares with diverse measurement and monitoring instruments
  • Brand refresh through name change
  • Major shareholders include trust banks and life insurance companies
  • Supported the program 'Chii Sanpo' for a period

Hidden Connections

  • Former name 'Yamatake' derived from founder Takehiko Yamaguchi
  • Long-term technical and capital alliance with Honeywell formed business foundation
  • Azbil brand has high global recognition in automation field
  • Tokyo Building is economic hub housing many major companies
  • Major subsidiary Azbil Jinmen plays key role in China market
  • Contributes to local education and culture through Azbil Yamatake Foundation
  • Energy conservation and environmental technologies enhance industry social evaluation
  • Influential company in Japan's instrumentation industry for technical standardization

Future Outlook

Growth Drivers

  • Expansion of demand for energy-saving and environmentally friendly technologies in global markets
  • Growth in smart building market through IoT and AI technologies
  • Promotion of automation and smart factories in manufacturing
  • Government decarbonization policies and strengthened environmental regulations
  • Expansion of overseas bases and increased equipment investment in emerging countries
  • Increasing demand for energy management solutions
  • Market share expansion through new product development
  • Rapid business deployment utilizing in-house company system

Strategic Goals

  • 50% expansion of air conditioning control market share domestically and internationally
  • Expansion of products and services contributing to environmental impact reduction
  • Business area expansion based on IoT platform
  • Achieve industry-top level ESG ratings
  • Realization of digital transformation
  • Secure approx. 50% of global sales
  • Maintain and expand R&D investment ratio above 5%
  • Promotion of innovation toward sustainable society
  • Strengthen full-scale expansion into Asian emerging markets
  • Organizational strengthening through advanced talent development and diversity promotion

Business Segments

Building Automation Systems

Overview
Provides advanced air conditioning control and equipment management solutions.
Competitiveness
Achieves energy savings with top domestic air conditioning control technology
Customers
  • Commercial buildings
  • Office buildings
  • Government offices
  • Schools
  • Hospitals
Products
  • Air conditioning control systems
  • Building equipment monitoring software
  • Energy-saving devices

Industrial Control Instruments

Overview
Precision control instruments that support stabilization and automation of manufacturing processes.
Competitiveness
High-precision instruments backed by long track record
Customers
  • Manufacturing industry
  • Chemical plants
  • Power plants
  • Automotive related
  • Food processing plants
Products
  • Control valves
  • Flowmeters
  • Temperature and pressure sensors
  • Analysis instruments

Energy Conservation Services

Overview
Supports reduction in energy costs and environmental impact.
Competitiveness
Provision of improvement guarantee-type energy services
Customers
  • Building management companies
  • Factory owners
  • Public facility managers
Products
  • ESCO services
  • Energy management systems

Environmental Monitoring Systems

Overview
Provides measurement instruments for environmental impact measurement and management.
Competitiveness
Leading products compliant with environmental regulations
Customers
  • Environmental companies
  • Municipalities
  • Research institutions
Products
  • CO2 monitors
  • Environmental analysis devices
  • Temperature and humidity management equipment

Security and Safety Systems

Overview
Provides security and surveillance equipment to enhance facility safety.
Competitiveness
Comprehensive safety management through system integration
Customers
  • Commercial facility managers
  • Financial institutions
  • Public facilities
  • Hospitals
Products
  • Surveillance camera systems
  • Access control devices
  • Alarm devices

Production Management Solutions

Overview
Contributes to efficiency and automation of manufacturing lines.
Competitiveness
Standardization specialized for factories and customization capabilities
Customers
  • Manufacturing industry in general
  • Automotive parts manufacturers
  • Electronics manufacturers
Products
  • Production management software
  • Production line control devices

Energy Supply Control Systems

Overview
Achieves highly efficient and stable operation of energy supply.
Competitiveness
Top-class domestic reliability in combustion control technology
Customers
  • Power generation companies
  • Gas companies
  • Chemical plants
Products
  • Fuel control devices
  • Combustion monitoring systems

Equipment Maintenance Services

Overview
Supports maintenance and longevity of facilities.
Competitiveness
Abundant on-site experience and technical know-how
Customers
  • Building owners
  • Facility management companies
  • Large commercial facilities
Products
  • Equipment inspections
  • Repair work
  • Renewal support

IoT and Remote Monitoring Systems

Overview
Remote equipment management utilizing networks.
Competitiveness
High reliability and compatibility with diverse equipment
Customers
  • Manufacturing industry
  • Building management
  • Energy businesses
Products
  • Remote monitoring devices
  • IoT sensor integration software

Industrial Sensor Development

Overview
Develops and provides high-precision sensors specialized for industrial fields.
Competitiveness
Proprietary sensor technology and high-performance design
Customers
  • Electronics manufacturers
  • Automotive parts manufacturers
  • Research institutions
Products
  • Infrared sensors
  • Temperature sensors
  • Pressure sensors

Building Equipment Renewal Business

Overview
Promotes energy saving and modernization of existing building equipment.
Competitiveness
Proposals linked with long-term maintenance plans
Customers
  • Building management companies
  • Real estate owners
  • Local governments
Products
  • Equipment renewal work
  • Energy-saving installation work

Smart Building Development

Overview
Supports next-generation building development using IoT and AI technologies.
Competitiveness
Energy savings and comfort through advanced digital technology
Customers
  • Major developers
  • Corporate building management
  • Government offices
Products
  • Building data analysis software
  • Integrated control systems

Competitive Advantage

Strengths

  • Industry-leading air conditioning control technology
  • Wide product lineup of measurement and control instruments
  • Robust product development with long-term reliability
  • Advanced energy conservation and environmental technologies
  • Extensive domestic and international sales networks
  • Business flexibility through in-house company system
  • Approximately 10,000 technical and sales personnel
  • Shareholder returns through treasury stock cancellations

Competitive Advantages

  • Overwhelming share in domestic instrumentation field
  • Precision control products backed by high technological capabilities
  • Integrated system provision across group companies
  • Long-term trust with customers and maintenance systems
  • Early entry into energy conservation and environmental new businesses
  • Accelerated global expansion through overseas bases
  • Product portfolio responding to diverse customer needs
  • Rapid decision-making and development via in-house companies
  • Stable management base backed by ample capital
  • Solid profit structure in consolidated finances
  • Product differentiation through advanced analysis instruments
  • Strong patent and intellectual property portfolio
  • One-stop response with comprehensive products and services

Threats

  • Suppression of equipment investment due to global economic fluctuations
  • Intensifying competition with global rivals
  • Changes in speed of technological innovation from new technologies and entrants
  • Increased compliance costs from strengthened environmental regulations
  • Rising difficulty in securing and developing talent
  • Profit pressure from exchange rate fluctuations
  • International risks in supply chains
  • Business impacts from pandemics and unforeseen events
  • Decline in competitiveness due to delays in digitalization

Innovations

2024: IoT Platform Expansion

Overview
Enhanced remote monitoring and control functions for equipment using IoT to improve operational efficiency.
Impact
20% improvement in management efficiency, enabling rapid fault detection

2023: Development of Energy-Saving Air Conditioning Control Devices

Overview
Commercialized air conditioning control devices capable of significantly reducing power consumption with new technology.
Impact
10% reduction in energy consumption, contributing to CO2 reduction

2022: Advanced Fuel Efficiency Control Systems

Overview
Introduced multi-stage combustion control technology to reduce fuel costs and environmental impact.
Impact
15% reduction in fuel costs, decreased emissions

2021: Development of Advanced Sensor Technology

Overview
Deployed high-sensitivity infrared and temperature sensors for industrial applications.
Impact
30% improvement in measurement accuracy, gaining new markets

Sustainability

  • Development and promotion of energy-saving products
  • Promotion of environmental impact reduction through ESCO business
  • Promotion of renewable energy utilization
  • Advancement of environmental management systems
  • Promotion of coexistence with local communities and environmental conservation activities
  • Strengthening internal initiatives toward a decarbonized society
  • Promotion of circular resource utilization
  • Supply chain environmental risk management
  • Publication of environmental reports and enhanced transparency