Daiken Iki

Basic Information

Stock Code
7775
Industry
Precision Instruments
Category Detail
Biotechnology & Pharmaceuticals
Prefecture
Osaka Prefecture
Establishment Year
November 1968
Listing Year
March 2009
Official Website
https://www.daiken-iki.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Hogi Medical, Create Medic, JMS, Manny, Asahi Intecc, Medikit, Kikusui Kasei, Matsufuji, Nipro, Forval T, Wattman

Overview

Daiken Iki is a medical device manufacturer based in Osaka Prefecture, established in 1968. It primarily manufactures and sells precision medical devices such as suction devices for preventing hospital infections, and is an advanced company focusing on research and development.

Current Situation

Daiken Iki recorded net sales of approximately 8.5 billion yen and net profit of approximately 860 million yen in the fiscal year ended March 2020, maintaining a stable financial base. Its main business is vacuum suction devices and infusion devices, accounting for about 87% of sales, and it receives high evaluations in medical settings. The company focuses on developing the latest medical devices, continuing research and development in cutting-edge technologies for infection prevention and anesthesia. It is also working on developing environmentally friendly products and energy-saving measures in manufacturing processes. In 2023, it transitioned to the Tokyo Stock Exchange Standard Market, enhancing trust from the capital markets. In the medium to long term, it positions diversification of medical devices and expansion into overseas markets as key strategies. In recent years, it has actively challenged new product launches utilizing precision processing technology and advanced services. Risks include changes in medical regulations and intensifying competition, but it aims to expand market share leveraging its technological strengths.

Trivia

Interesting Facts

  • Veteran medical device manufacturer founded in 1968 in Kita-ku, Osaka City
  • Holds high market share in domestic medical vacuum suction devices
  • Early focus on research and development of infection prevention medical devices
  • Listed on Tokyo Stock Exchange Standard Market to ensure transparency
  • Mid-sized precision instrument manufacturer with about 330 employees
  • Head office located in Ayumi-no Industrial Park, Izumi City
  • Handles a wide variety of medical consumables
  • Applies ISO standards to medical device quality control
  • Product development emphasizing collaboration with regional healthcare
  • Has track record of technical cooperation with competitors

Hidden Connections

  • The Yamada family, major shareholders, forms the core of management and supports stable operations
  • Strong ties with medical device-related companies in Osaka Prefecture
  • Collaborates with industry groups on medical safety promotion activities
  • Focuses on Southeast Asia market for overseas expansion
  • Directly incorporates voices from medical sites into product development
  • Has joint research track record with university research institutions for new product development
  • Research and development company receiving multiple public research grants
  • Contributes to local economy in Izumi City and creates regional employment

Future Outlook

Growth Drivers

  • Expansion of medical device demand due to aging society
  • Increased product demand from strengthened infection prevention measures
  • Enhanced expansion in overseas markets, especially Southeast Asia
  • Product innovation through AI and IoT technologies
  • Growing attention to sustainability-compliant products
  • Japanese government support measures for medical device industry
  • Increasing and diversifying needs from medical sites
  • Expansion of online sales channels
  • Efficient business operations through work style reforms
  • Technological strength enhancement through engineer training
  • Promotion of facility digitalization
  • New product development leveraging regulatory easing

Strategic Goals

  • Expand overseas sales ratio to over 30%
  • Maintain top domestic share in medical suction devices
  • Increase ratio of low-environmental-impact products to over 50%
  • Expand R&D investment to 5% of sales
  • Expand product deployment to diverse medical fields
  • Promote product innovation using digital technologies
  • Continuously strengthen regional social contribution activities
  • Improve employee satisfaction and build comfortable work environment
  • Develop new products compliant with medical safety standards
  • Achieve greening of supply chain

Business Segments

Hospital Facility Equipment

Overview
Provides precision medical devices used in hospitals and medical facilities.
Competitiveness
Product development specialized in infection prevention and high-quality control
Customers
  • General hospitals
  • Clinics
  • University hospitals
  • Medical offices
Products
  • Vacuum suction devices
  • Infusion devices
  • Hand washing equipment
  • Electric pumps

Medical Supplies & Consumables Supply

Overview
Stable supply of consumables needed in medical settings.
Competitiveness
Wide variety of products and immediate delivery system
Customers
  • Medical device sales companies
  • Pharmaceutical wholesale companies
  • Medical institution stock departments
Products
  • Syringes
  • Catheters
  • Disposable medical supplies

Overseas Market Business

Overview
Medical device export business advancing overseas expansion.
Competitiveness
Product adaptability to local needs
Customers
  • Overseas medical institutions
  • Medical device distributors
  • Government agencies
Products
  • Vacuum suction devices
  • Infusion devices

Competitive Advantage

Strengths

  • High precision processing technology
  • Strong research and development capabilities
  • Product development meeting medical safety standards
  • Diverse product lineup
  • Stable financial base
  • Long years of industry experience
  • Strong trust relationships with customers
  • Rapid product supply capability
  • Domestic and international sales networks
  • Flexible product customization
  • ISO certified
  • High product quality control
  • Comprehensive technical support system
  • Excellent manufacturing cost efficiency
  • Stable major customer base

Competitive Advantages

  • Suction technology tailored to medical site needs
  • Device development specialized in robust infection prevention measures
  • In-house development and manufacturing/sales system for multiple products
  • Efficient logistics system based in Osaka
  • Reliability and information disclosure as a listed company
  • Continuous technological innovation by specialized engineers
  • Utilization of extensive industry trading network
  • High product durability and safety
  • Precise control in infusion-related products
  • Extensive medical industry experience of management
  • Improved customer response through multi-location operations
  • Solid brand recognition in the domestic market
  • Specialized team structure for each product line
  • Quality assurance through introduction of high-precision inspection equipment
  • Transparency in investor disclosures

Threats

  • Increased response costs due to medical device regulatory amendments
  • Technological innovation competition from domestic and foreign competitors
  • Fluctuations in medical institution supply and demand due to new infectious diseases
  • Impact of exchange rate fluctuations on import/export costs
  • Profit pressure from rising manufacturing costs
  • Disruptions in international supply chains
  • Risks of patent and intellectual property rights infringement
  • Intensified price competition from emerging medical devices
  • Delays in responding to sudden changes in market needs
  • Challenges in securing talent and engineer shortages
  • Recall risks associated with quality defects
  • Market share erosion by new entrants

Innovations

2024: Development of New High-Performance Vacuum Suction Device

Overview
Newly designed energy-saving and high-efficiency vacuum suction device launched to market.
Impact
Contributes to reducing power load in medical settings

2023: Renewal of Hand Washing Equipment for Infection Prevention

Overview
Developed next-generation hand washing equipment with touchless functionality.
Impact
Further reduces in-hospital infection risks

2022: Productization of Improved Control Precision Infusion Device

Overview
Significantly improved infusion speed and volume precision in medical infusion devices.
Impact
Achieves both enhanced safety and operability

2021: Introduction of Manufacturing Automation Equipment

Overview
Promoted automation in production processes to improve quality and efficiency.
Impact
20% productivity improvement and halved defect rate

2020: Introduction of Digital Remote Monitoring System

Overview
Improved maintainability of medical devices through remote monitoring.
Impact
Reduced downtime and enhanced services

2024: Adoption of Environmentally Friendly Materials in Products

Overview
Completed development of components using biodegradable plastics.
Impact
Contributes to reducing environmental impact of medical waste

2023: Energy Efficiency Improvement in New Electric Pumps

Overview
Improved energy efficiency of electric pumps by 15%.
Impact
Reduces power costs for medical devices

Sustainability

  • Promoting recycling to reduce medical waste
  • Strengthening energy-saving product design and factory energy management
  • Annual publication of CSR and environmental reports
  • Regional environmental conservation activities and greening initiatives
  • Creating a comfortable workplace for employees