Tohoku Kagaku Yakuhin

Basic Information

Stock Code
7446
Industry
Wholesale
Category Detail
Textiles, Chemicals & Paper Wholesalers
Prefecture
Aomori Prefecture
Establishment Year
February 1953
Listing Year
June 1995
Official Website
https://www.t-kagaku.co.jp/
TSE Information
TSE Information
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Overview

Tohoku Kagaku Yakuhin is a leading company in the chemical industrial chemicals wholesale industry, headquartered in Hirosaki City, Aomori Prefecture, founded in 1953, with strengths in the university and clinical testing reagent sectors.

Current Situation

In the fiscal year ending September 2020, consolidated sales were approximately 31 billion yen, with ordinary income exceeding 300 million yen, maintaining a solid financial base. The core business is the wholesale of chemical industrial chemicals, with particular strengths in sales to universities and research institutions, and it also handles clinical testing reagents. Through subsidiaries, it engages in chemical manufacturing and IT-related services. It is actively promoting ISO 14001 certification and environmentally considerate management. It is expanding its business, such as by making Hokusei Kagaku a wholly-owned subsidiary, and pursuing synergy effects with consolidated subsidiaries. In the future, it will focus on expansion in the pharmaceutical wholesale sector and introduction of new technologies, aiming for sustainable growth in the medium to long term. It continues regional-rooted activities and social contributions, placing importance on contributing to a sustainable society. In recent years, it has invested in digitalization and efficiency improvements to strengthen its management foundation and has built a system capable of flexibly responding to changes in the economic environment.

Trivia

Interesting Facts

  • One of the oldest chemical reagent wholesalers in the Tohoku region.
  • Strong support in Tohoku for reagent supply to universities.
  • Early adoption of environmental management with ISO 14001 certification.
  • Headquartered in Hirosaki City, Aomori Prefecture, focusing on regional social contributions.
  • Practices diversified management through subsidiary manufacturing and IT businesses.
  • Engages in research support activities in collaboration with local universities.
  • Strong sales network in Hokkaido and Tohoku regions.
  • Characteristic structure with Tohoku System handling IT-related business.
  • Model company for environmentally considerate management with ISO certification.
  • Contributes to educational institutions through unique reagent set development.
  • Operates business with national expansion in mind while rooted in the region.
  • Strengthened business foundation by making Hokusei Kagaku a wholly-owned subsidiary.
  • Maintains stable track record of over 70 years since founding.
  • High evaluation for prompt response in product delivery.
  • Steadily expanding into pharmaceutical wholesale and continuing growth.

Hidden Connections

  • Stably supplies reagents to university research institutions, contributing to basic research development.
  • Subsidiary IT division supports overall group business efficiency.
  • Realized integrated manufacturing and wholesale operations by making Hokusei Kagaku a wholly-owned subsidiary.
  • Stands out for regionally rooted management among Tohoku chemical trading companies.
  • Built trusted relationships with many pharmaceutical companies through long-term transactions.
  • One of the leaders in environmental management as an ISO 14001 certified company.
  • Participates in regional revitalization projects in collaboration with Hirosaki City.
  • Maintains strong collaboration with local medical institutions through medical testing reagents.

Future Outlook

Growth Drivers

  • Increasing research demand from universities and research institutions
  • Expanding demand for testing reagents in the medical field
  • Increasing demand for environmentally compliant products due to strengthened environmental regulations
  • Increasing chemical demand from manufacturing resurgence in Tohoku
  • Sales efficiency improvement and new development through IT utilization
  • New product development by strengthening subsidiary technologies
  • Brand enhancement through sustainable management
  • Service quality improvement through advanced logistics network
  • Regional development support through collaboration with local governments
  • Focus on pharmaceutical wholesale business and market expansion
  • Investigation of overseas markets and future entry consideration
  • Promotion of digital transformation

Strategic Goals

  • Expand market share in Tohoku to over 50%
  • Grow pharmaceutical wholesale sales to over 10 billion yen
  • Maintain company-wide ISO 14001 certification and reduce environmental impact by 30%
  • Improve business efficiency by 30% through digital system renewal
  • Launch 10 new products annually through subsidiary collaboration
  • Double the number of collaborative research projects with local universities
  • Introduce fully automated logistics system
  • Strengthen human resource development with local hiring ratio over 40%
  • Maintain and improve customer satisfaction above 90%
  • Expand sales channels through development of diverse distribution channels

Business Segments

Chemical Industrial Chemicals Wholesale

Overview
Stably supplies diverse chemical chemicals to manufacturing and universities, etc., providing efficient logistics and technical support.
Competitiveness
Local closeness as a major Tohoku player and wide product lineup
Customers
  • Manufacturing
  • Research institutions
  • Universities
  • Government agencies
  • Chemical manufacturers
  • Clinical testing institutions
  • Pharmaceutical companies
  • Paint manufacturers
  • Electronics manufacturers
  • Food processing
Products
  • Industrial Solvents
  • Reagents and Analytical Chemicals
  • Paint Additives
  • Chemicals for Electronic Materials
  • Environmental Testing Chemicals
  • Water Treatment Chemicals
  • Chemical Reagent Sets
  • Industrial Intermediate Materials
  • Resin Additives

Pharmaceuticals and Medical Supplies Wholesale

Overview
Business providing high-quality pharmaceuticals and testing reagents to medical and testing institutions.
Competitiveness
High expertise in university research support and clinical reagents
Customers
  • Medical institutions
  • Pharmaceutical manufacturers
  • Testing centers
  • Kampo medicine manufacturers
  • Clinical testing institutions
Products
  • Clinical Testing Reagents
  • Pharmaceutical Intermediates
  • Infectious Disease Testing Reagents
  • Medical Equipment Peripheral Chemicals
  • Kampo Medicine Raw Materials

IT Solutions

Overview
Supports business efficiency improvement through IT services, along with equipment sales and maintenance.
Competitiveness
IT system development specialized for the chemical industry
Customers
  • Subsidiary business units
  • Manufacturing
  • Chemical chemicals wholesalers
  • Local governments
Products
  • Business System Development
  • IT Equipment Sales
  • System Maintenance Services

Competitive Advantage

Strengths

  • Strong customer base in the Tohoku region
  • Long-term trading relationships with universities and research institutions
  • Specialization in handling clinical testing reagents
  • Diversified business expansion through group of subsidiaries
  • Reliability from ISO 14001 certification
  • Stable financial base and funding capacity
  • Sales force with specialized product knowledge
  • Regionally rooted support system
  • Flexible logistics and prompt response
  • Promotion of business efficiency through IT
  • Pursuit of sustainable management
  • Rich lineup of chemical products
  • Industry-leading handling of medical-related products
  • Experienced management team and technical staff
  • Procurement capabilities leveraging networks

Competitive Advantages

  • Possesses one of the largest chemical chemicals wholesale networks in the Tohoku region
  • High market share in university and clinical testing reagent sectors
  • One-stop provision possible with diverse chemical and pharmaceutical lineup
  • Enhanced services through collaboration with manufacturing and IT subsidiaries
  • Environmentally considerate management as strength from ISO 14001 certification
  • High customer satisfaction from locally rooted business model
  • Customization capabilities to meet diverse customer needs
  • Problem-solving ability from prompt and flexible logistics system
  • Focus on developing personnel with industry expertise
  • Trusted brand backed by long track record
  • Superior management system for chemical regulations and legal compliance
  • Established wide sales channels to diverse industries
  • Differentiation utilizing technological development by subsidiaries
  • High credibility as a major local player
  • Flexible adaptability to market environment changes

Threats

  • Increased business costs from stricter regulations
  • Declining profit margins from intensified competition
  • Risk of customer in-house production advancement
  • Increased response costs from strengthened environmental regulations
  • Concerns over market contraction due to economic downturn
  • Market share erosion by new entrants
  • Risk of raw material price fluctuations
  • Decline in demand from research institutions due to aging population
  • Cyber risks to IT systems
  • Risk of logistics halt from natural disasters
  • Impact from COVID-19 and other pandemics
  • Increased import costs from exchange rate fluctuations

Innovations

2024: Introduction of Environmentally Considerate Logistics System

Overview
Adopted logistics efficiency system aimed at reducing CO2 emissions.
Impact
Achieved 15% reduction in logistics costs and reduced environmental impact

2023: Strengthened Development of Clinical Testing Reagents

Overview
Succeeded in improving new reagents through collaboration with university researchers.
Impact
Contributed to 20% increase in new product sales

2022: IT System Renewal Project Launched

Overview
Promoting cloud migration of order management system.
Impact
20% improvement in business efficiency and better response speed

2021: New Product Development through Subsidiary Collaboration

Overview
Jointly developed high-function chemicals with Asunaro Riken.
Impact
Improved market competitiveness and customer satisfaction

2020: ISO 14001 Certification Renewal Obtained

Overview
Continued certification to strengthen environmental management.
Impact
Improved corporate credibility and smoother regulatory compliance

Sustainability

  • Thorough environmental management based on ISO 14001 certification
  • Promotion of proper disposal and recycling of chemical reagents
  • Introduction of energy-saving equipment to reduce environmental impact
  • Active participation in regional environmental protection activities
  • Strengthened safety and health management system
  • Environmental technology development in collaboration with subsidiaries
  • Promotion of environmentally considerate product proposals to customers
  • Support for dissemination of chemicals contributing to water quality preservation
  • CO2 emission reduction through logistics efficiency
  • Formulation of sustainable procurement policy
  • Implementation of employee environmental education programs
  • Environmental awareness activities through collaboration with local communities