Tenma

Basic Information

Stock Code
7958
Industry
Chemicals
Category Detail
Chemicals & Chemical Products
Prefecture
Tokyo
Establishment Year
August 1949
Listing Year
August 1988
Official Website
https://www.tenmacorp.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
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Overview

Tenma, founded in 1949, belongs to the chemical industry and is a comprehensive manufacturer with strengths in industrial and household plastic products manufacturing.

Current Situation

Tenma recorded consolidated sales of approximately 92.9 billion yen and net assets of approximately 81 billion yen for the fiscal year ended March 2024, and is widely deployed domestically and internationally in the manufacturing and sales of plastic products. It features long-selling products like the household storage item 'Fitts Case,' and its industrial plastic products division remains steady. It operates 11 overseas factories mainly in Asia, including China and Vietnam, strengthening its global expansion. It offers one-stop contract manufacturing services from mold design to processing, including injection molding, to meet diverse customer needs. In 2023, it accelerated overseas investments and underwent capital restructuring via MBO. While aware of scandal risks, it positions quality improvement and overseas market expansion as key growth strategies. It is also advancing sustainability efforts, including the development of environmentally considerate products.

Trivia

Interesting Facts

  • The household storage case 'Fitts Case' has been a long-seller for over 30 years.
  • Global manufacturer with 17 production sites domestically and internationally.
  • Plastic trash can 'Polytrash series' gained popularity at the Tokyo Olympics.
  • Accelerated overseas expansion with factory expansions in Asia in 2017.
  • Management executives indicted at home for bribery scandal in Vietnam.
  • Custom development products cater to diverse industries like beer pitchers for restaurants.
  • Established multiple subsidiaries in Zhongshan, Guangdong Province, China.
  • Supporting member of the Japan DIY and Home Center Association.
  • Maintains long-term close transaction relationship with Asahi Beer.
  • Features in-house integrated system from molding to painting, printing, and assembly.

Hidden Connections

  • Key plastic supplier for Asahi Super Dry beer cases.
  • Built close relationships with major Asian logistics companies through subsidiaries.
  • Secured sales network with supply contracts from numerous major Japanese home centers.
  • Strengthened funding and overseas expansion with support from FHL Holdings.
  • Focusing on R&D of biodegradable plastics to address environmental regulations.
  • Enables provision of composite products through fusion of manufacturing and processing technologies.
  • Maintains listing on Tokyo Stock Exchange Prime Market even after MBO completion.
  • Approximately 7,868 employees, stable management as a mid-sized chemical manufacturer in Japan.

Future Outlook

Growth Drivers

  • Demand expansion in Asian emerging markets
  • Sophistication of storage needs due to changing lifestyles
  • Shift to environmentally friendly products and market expansion
  • Advancement of automotive parts functionality and promotion of composite materials
  • Sophistication of contract molding and processing business and customer diversification
  • Production efficiency improvement through digital technology utilization
  • Increased demand for regulatory-compliant products domestically and internationally
  • New development of hygiene and medical-related products
  • Sales expansion utilizing diverse channels
  • Rise in sustainable consumption awareness

Strategic Goals

  • Increase overseas sales ratio to over 40%
  • Biodegradable plastic products ratio to over 30%
  • Expand new business sales to 20% of total
  • Achieve carbon neutrality at all domestic and international manufacturing bases
  • Establish environmental awareness training program for all employees
  • Obtain international certifications for quality management systems
  • Introduce next-generation digitally controlled production lines
  • Nationwide rollout of product recycling systems
  • Global expansion of custom development business
  • Strengthen organizational capabilities through diverse talent recruitment and development

Business Segments

Automotive Parts Manufacturing

Overview
Manufactures plastic parts for automotive interiors and exteriors.
Competitiveness
High-precision molding technology and integrated production system
Customers
  • Automobile manufacturers
  • Automotive parts suppliers
Products
  • Seat parts
  • Interior/exterior moldings
  • Bumper parts
  • Seat belt parts
  • Airbag parts

Contract Molding and Processing

Overview
Comprehensive contract services from mold design to molding and secondary processing.
Competitiveness
Diverse processing technologies across domestic and international production bases
Customers
  • Industrial equipment manufacturers
  • Home appliance manufacturers
  • Logistics companies
  • Restaurant chains
Products
  • Injection molded products
  • Mold design and production
  • Painting and printing
  • Assembly services

Business Plastic Products

Overview
Provides various business plastic products to support logistics efficiency.
Competitiveness
Customization capabilities and stable supply strength
Customers
  • Logistics companies
  • Restaurants
  • Retailers
  • Manufacturers
Products
  • Large dust boxes
  • Conveyor containers
  • Business storage products
  • Plastic containers

Daily Goods OEM Production

Overview
Supports development of customer brand products through OEM production of daily goods.
Competitiveness
High-quality and durable product development capabilities
Customers
  • Home centers
  • Retail chains
  • Household goods manufacturers
Products
  • Household storage cases
  • Trash cans
  • Clothes drying racks
  • Ironing boards

Agriculture and Gardening Supplies

Overview
Manufactures and supplies gardening products for household and business use.
Competitiveness
Superior weather-resistant material technology
Customers
  • Gardening wholesalers
  • Agricultural materials sellers
  • Home centers
Products
  • Plastic planters
  • Watering products
  • Garden storage products

Medical and Hygiene Products

Overview
Provides practical hygiene-related products for medical sites.
Competitiveness
Strict quality control and hygiene design
Customers
  • Medical equipment manufacturers
  • Hospitals and nursing homes
  • Hygiene wholesalers
Products
  • Hygiene cases
  • Hand sanitizer stands
  • Disposable container products

Office Supplies Manufacturing

Overview
Manufactures highly convenient storage products for office environments.
Competitiveness
Balance of design and functionality
Customers
  • Office furniture manufacturers
  • Corporations
  • Sales agents
Products
  • Document storage cases
  • Desk organizers

Industrial Parts Manufacturing

Overview
Supplies a wide range of industrial plastic parts.
Competitiveness
High-precision technology and material development capabilities
Customers
  • Heavy industry
  • Electronic parts manufacturers
  • Construction machinery manufacturers
Products
  • Plastic leg parts
  • Reinforcement parts
  • Industrial mechanical parts

Logistics Equipment Manufacturing

Overview
Manufactures equipment aimed at improving logistics site efficiency.
Competitiveness
Superior durability and safety product lineup
Customers
  • Transportation companies
  • Warehousing companies
  • Manufacturing companies
Products
  • Conveyor belts
  • Stacking containers
  • Pallet storage

Retail-oriented Products

Overview
Provides storage and display products for store environments.
Competitiveness
Customization responsiveness
Customers
  • Large supermarkets
  • Home centers
  • Drugstores
Products
  • Storefront storage shelves
  • POP cases
  • Display products

Restaurant Products

Overview
Develops and provides durable products suitable for dining establishments.
Competitiveness
Product design tailored to industry characteristics
Customers
  • Izakaya chains
  • Restaurant operators
  • Food wholesalers
Products
  • Beer pitchers
  • Drink cups
  • Kitchen storage products

Consumer Goods Manufacturing Support

Overview
Handles molding and processing for various consumer goods components.
Competitiveness
Flexible design and production technology
Customers
  • Household goods manufacturers
  • Home appliance manufacturers
  • Cosmetics manufacturers
Products
  • Plastic containers
  • Packaging parts
  • Product protection components

Competitive Advantage

Strengths

  • High technological capabilities covering injection molding to secondary processing
  • Supply stability from multi-site production bases domestically and internationally
  • Brand strength from long-seller Fitts Case
  • Diverse product lineup across wide business areas
  • Aggressive expansion and experience in overseas markets
  • Established one-stop system for contract manufacturing
  • Support from parent company FHL Holdings
  • Product development focused on durability and usability
  • Solid financial base and stable net assets scale
  • Environmentally considerate product development and corporate activities

Competitive Advantages

  • Cost advantages secured by numerous overseas production bases
  • Integrated production technology from product design to painting and printing
  • Diversification with strengths in both household and industrial products
  • Credibility from Tokyo Stock Exchange Prime Market listing
  • Diverse product offerings for logistics and automotive parts applications
  • Flexible manufacturing capacity to meet customer needs
  • Network building in Asian markets through subsidiaries
  • High-quality management system based on extensive manufacturing track record
  • Strong brand image and broad sales channels
  • Long-term relationships with clients across diverse industries

Threats

  • Political and regulatory risks at overseas production bases
  • Cost increases from raw material price fluctuations
  • Intensifying price competition with competitors
  • Increased manufacturing burden from stricter environmental regulations
  • Risk of corporate image decline from scandals
  • Impact of exchange rate fluctuations on earnings
  • Decline in competitiveness from delays in new technology investments
  • Potential productivity decline from labor shortages
  • Economic instability in China and Southeast Asia markets
  • Disruptions in global supply chains

Innovations

2023: Capital structure refresh via MBO

Overview
FHL Holdings conducted a tender offer and became the parent company.
Impact
Aims to streamline management and improve capital efficiency.

2022: Strengthening overseas manufacturing network

Overview
Expanded production capacity mainly in China, Vietnam, and Indonesia.
Impact
Led to improved production efficiency and enhanced cost competitiveness.

2021: Adoption of environmentally friendly plastic materials

Overview
Developed products combining recycled materials and biodegradable resins.
Impact
Contributes to sustainability and gains customer support.

2020: Advancement of digitalization in mold design and production

Overview
Introduced CAD/CAM systems to significantly improve design efficiency.
Impact
Succeeded in shortening production lead times and stabilizing quality.

Sustainability

  • Efforts to improve plastic recycling rates
  • Strengthening environmental management at overseas production bases
  • Introduction and expansion of energy-saving equipment
  • Promotion of product development using sustainable materials
  • Implementation of environmental conservation activities in collaboration with local communities