Tomita Electric
Basic Information
- Stock Code
- 6898
- Industry
- Electrical Equipment
- Category Detail
- Chemicals & Chemical Products
- Prefecture
- Tottori Prefecture
- Establishment Year
- February 1960
- Listing Year
- December 1995
- Official Website
- https://www.tomita-electric.com/
- TSE Information
- TSE Information
- Yahoo! Finance
- Yahoo! Finance
- Other Companies
- Taiyo Kiso Kogyo, Shinto Holdings, Imura, SCAT, Nissan Chemical, Tokyo Ohka Kogyo, Sumitomo Bakelite, Nippon Kayaku, Just Planning, Tri Chemical Laboratories, ADEKA, Taiyo Holdings, Dexerials, JX Metals, Lobtex, Ishii Hyoki, Fuji Denki Kogyo, Hikari-Sai, ZACROS, Kinei
Overview
Tomita Electric is an electrical equipment manufacturer founded in 1960, with its main business in the manufacturing and sales of ferrite cores and electronic components, holding strengths in the precision electronic materials field both domestically and internationally.
Current Situation
Tomita Electric recorded consolidated sales of 1.42 billion yen and a net loss of 117 million yen for the fiscal year ended January 2019. Its main ferrite cores and electronic components are supplied to the market as compact electronic parts for digital devices, possessing superior technological capabilities compared to competitors. Financially, it maintains a stable base with paid-in capital of approximately 1.96681 billion yen and net assets of 3.42 billion yen. It has subsidiaries in Hong Kong and Zhuhai, China, advancing international expansion. In recent years, it has focused on the ferrite division and withdrew from the home center business in 1997. It is working on product diversification, technological innovation, responding to electronic materials market needs, and also focusing on research into low environmental impact and sustainable materials. Moving forward, it aims for continuous technological development and market expansion in response to growing demand for electronic devices domestically and overseas. It is also diversifying logistics channels and actively developing new sales routes such as e-commerce and direct sales.
Trivia
Interesting Facts
- Founded in 1950 with over 60 years of history
- Shifted business from home centers to specialization in electronic components
- Holds high share in ferrite core manufacturing in the region
- Has wholly-owned subsidiaries in Hong Kong and China for international expansion
- Mid-sized capital structure with approximately ¥1.9 billion in capital
- Tetsuro Kamiya serves as Representative Director and President
- Contributes to local economy as a manufacturer with approximately 346 employees
- Diversified company also handling coils and other electronic passive components
- Wide range of electronic materials product inquiries with diverse product lineup
- Deploys ferrite products for industry under own brands
- Listed on the Tokyo Stock Exchange Standard Market despite being a regional company
- Conducts highly transparent accounting audits by Aska Audit Corporation
- Owns local production base in Zhuhai, China, to maintain cost competitiveness
- Actively developing environmentally responsive ferrites
- Focusing on technological innovation and sustainability for the future
Hidden Connections
- Established rapid product supply system to Asian markets through Hong Kong subsidiary
- Responds to Chinese market needs through Zhuhai Tomita Electronics, a wholly-owned subsidiary
- Management stability through collaboration with capital-affiliated Planning Kamiya
- One of the few electronic component manufacturers based in Tottori Prefecture, unlike peers
- Wide product deployment in electronic materials is characteristic even within the chemicals and chemical products industry
- Balances contributions to local economy with credibility as a listed company
- Technological capabilities honed over long-term management serve as a model for local SMEs
- Past strategic withdrawal from home center business to focus and select operations
Future Outlook
Growth Drivers
- Increasing demand due to miniaturization and high performance of electronic devices
- Expansion of electronic component markets in Asia
- Growing needs for environmentally friendly products
- Acceleration of mass production of IoT and 5G-related devices
- Strengthening of overseas production systems through subsidiaries
- Growth in semiconductor-related industries and expanding materials demand
- Increasing demand for high-performance ferrites in industrial equipment
- Evolution of electronic materials for smart devices
- Increasing inter-company transactions emphasizing sustainability
- Ongoing demand from customers prioritizing quality and reliability
- Differentiation through new material development and technological innovation
- Advancement of digitalization and efficiency in production processes
Strategic Goals
- Expand market share domestically and internationally and double sales
- Improve ratio of environmentally responsive products to over 70%
- Diversify revenue through new market development in electronic materials
- Improve productivity by 30% through introduction of digital technologies
- Enhance operating efficiency through synergies between business divisions
- Sustainable corporate activities in collaboration with local communities
- Maximize revenue from overseas consolidated subsidiaries and promote collaboration
- Continuous strengthening of R&D investment in new materials
- Long-term talent development and next-generation leader training plan
- Maintain and improve the highest standards in safety and health environments
Business Segments
Ferrite Products for Electronic Component Manufacturing
- Overview
- Provides high-precision ferrite cores and noise suppression components for electronic component manufacturing, contributing to improved quality of electronic devices.
- Competitiveness
- High-precision processing technology and long years of industry experience
- Customers
-
- Precision electronic equipment manufacturers
- Communications equipment manufacturers
- Semiconductor manufacturers
- Automotive parts manufacturers
- Industrial equipment manufacturers
- Products
-
- Ferrite cores
- Noise filters
- Transformer cores
- Coil components
- Lead frames
Electronic Materials Supply Segment
- Overview
- Supplies high-functional electronic materials for semiconductor and panel manufacturing, supporting product performance and reliability.
- Competitiveness
- Ability to supply a wide range of electronic materials in one package
- Customers
-
- Semiconductor manufacturers
- LCD panel manufacturers
- Electronic materials trading companies
- Electronic device assembly factories
- Products
-
- Semiconductor encapsulants
- Photoresists
- Optical films
- Polymer materials
- Derivatives
Overseas Production and Sales
- Overview
- Leveraging bases in Hong Kong and China, engages in production and sales of electronic components and materials for overseas markets.
- Competitiveness
- Global production bases and market access
- Customers
-
- Electronics manufacturers in Asia
- Exporters
- International distributors
- Products
-
- Ferrite cores
- Electronic component products
- Electronic materials
Competitive Advantage
Strengths
- Advanced ferrite manufacturing technology
- Expertise in electronic components for digital devices
- Stable subsidiary management structure
- Ownership of international production bases
- Long history and local trust
- Thorough quality control
- Diverse electronic materials lineup
- Extensive experience of engineers
- Continuous equipment investment
- Development of environmentally friendly products
- Prompt response to customer needs
- Specialized development organization
- Recognition within the industry
- Proprietary core technologies
- Stable financial base
Competitive Advantages
- High technology share in ferrite field
- Achieves miniaturization and high performance of electronic components
- Domestic and international production and sales network
- Differentiation from competitors through high-precision processing technology
- Established reliability through own brands
- Advanced development of environmentally responsive products
- Custom product response close to customers
- Synergies through collaboration with group subsidiaries
- Strong position in small and medium device markets
- Building of long-term stable supply system
- R&D organization sensitive to industry trends
- Price competitiveness through optimized manufacturing costs
- Risk diversification through product deployment across multiple industries
- Procurement power for raw materials
- Provision of highly durable and reliable products
Threats
- Stagnation in domestic electronic component demand
- Rise of overseas competitor products
- Risk of raw material price fluctuations
- Profit pressure from exchange rate fluctuations
- Need to keep up with the speed of technological innovation
- Customer concentration risk
- Impact of international trade friction
- Supply chain disruption risk
- Cost increases from strengthened environmental regulations
- Production stagnation due to infectious diseases, etc.
- Management talent shortage due to successor issues
- Increase in new entrants
Innovations
2023: New Alloy Development for Ferrite Materials
- Overview
- Developed and commercialized a new ferrite alloy with improved high-frequency performance.
- Impact
- Contributes to enhanced product competitiveness and new market development.
2022: Expansion of Environmentally Friendly Electronic Materials
- Overview
- Expanded the lineup of electronic materials aimed at reducing environmental impact.
- Impact
- Increased sales of environmentally compliant products.
2021: Mass Production of Compact High-Performance Ferrite Cores
- Overview
- Established mass production system for compact cores for smart devices.
- Impact
- Achieved sales expansion in new markets.
2020: Promotion of IoT in Production Processes
- Overview
- Introduced IoT technology into manufacturing lines to improve production efficiency and quality.
- Impact
- Succeeded in reducing defect rates and costs.
Sustainability
- Promotion of energy-saving at factories
- Plan to improve waste recycling rate
- Active adoption of environmentally responsive materials
- Participation in local environmental conservation activities
- Strengthened information disclosure through CSR reports
- Thorough safety and health management
- Setting long-term goals for reducing environmental impact
- Enhanced environmental education for employees
- Environmental collaboration projects with customers
- Formulation of sustainable procurement policies
- Reduction of carbon footprint
- Implementation of environmental audits in manufacturing processes