Nakabayashi

Basic Information

Stock Code
7987
Industry
Other Products
Category Detail
Professional Services for Businesses
Prefecture
Tokyo
Establishment Year
June 1951
Listing Year
October 1977
Official Website
https://www.nakabayashi.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Kyowa Nissey, Hotman, Nanshin, KYORITSU, Japan Sosei Group, Kojitsudo Holdings, Takeda iP Holdings, Sunmesse, ProNexus, TOPPAN Holdings, Dai Nippon Printing, Kyodo Printing, TAKARA & COMPANY

Overview

Nakabayashi, established in 1951, is Japan's leading producer of albums, paper products, office equipment, and childcare supplies, offering diverse manufacturing and sales through its proprietary brands.

Current Situation

Nakabayashi achieved consolidated sales of 57.8 billion yen in the fiscal year ended March 2017 and maintains a stable financial base. It holds the largest market share in Japan for its core album and bookbinding business, and is steadily expanding in office equipment and childcare products. In recent years, it has launched the Digio2 digital peripheral brand and entered the PC peripherals market. Through aggressive M&A strategies, it has expanded related companies, diversifying into business machines, caregiving products, and more. Following the 2017 subsidiary acquisition, it has further strengthened its business, focusing on diversifying distribution channels and e-commerce expansion. After a customer data leak incident in 2020, it has worked to enhance information security and promote compliance improvements. After paying administrative fines to the Japan Fair Trade Commission, it aims for improved internal controls and transparent management. As part of its growth strategy toward 2030, it is focusing on higher-value-added products, digitalization, environmentally friendly product development, and expanding its presence in domestic and international markets.

Trivia

Interesting Facts

  • Fueru Album has been on sale since 1968 as a long-selling product.
  • Digital peripherals are unified under the Digio2 brand.
  • Acquired childcare maker Liman in 2005 to expand business areas.
  • Former subsidiary Roas brand was used for office equipment.
  • Customer data leak incident in 2020 led to security enhancements.
  • Long-term sponsor of programs like 'Oi! Konbanwa'.
  • Strengthened business recording paper via tender offer for Kokusai Chart.
  • Also manufactures V-Cut Mat photo frames with UV-cut sheets.
  • Strong reputation domestically in bookbinding and planner manufacturing.
  • Operates with dual bases in Osaka head office and Tokyo head office.

Hidden Connections

  • Supplies audio pens for Obunsha's English learning materials, involved in education sector.
  • Acquired company that was Toshiba Tec subsidiary, broadening business scope.
  • Received cease-and-desist order from Japan Fair Trade Commission but focusing on prevention.
  • Official uniform sponsor for Cerezo Osaka, supporting sports.
  • Changed to Tokyo Stock Exchange Standard market in 2023 for market fit.
  • Previously operated web shop for audio pens and security products.

Future Outlook

Growth Drivers

  • Expanding demand for high-value-added paper products.
  • Brand strengthening and product expansion in digital peripherals market.
  • Growth in childcare and caregiving market due to aging society.
  • Sales expansion via EC and direct sales channels, diversifying customer touchpoints.
  • Competitive edge through environmentally friendly and sustainable product development.
  • Business expansion and synergy creation via M&A strategy.
  • Sophistication and differentiation of business machines and printing services.
  • Trust recovery through strengthened information security measures.
  • Corporate brand uplift from community-focused CSR activities.

Strategic Goals

  • Raise ratio of high-value-added paper products sales to 60% of total.
  • Achieve 20% domestic market share for Digio2 brand.
  • Establish top-3 domestic position in childcare and caregiving products.
  • Increase EC sales channel ratio to 30%.
  • Reduce group-wide environmental impact by 50%.
  • Enter overseas markets in earnest to boost sales by 10%.
  • Strengthen integrated management with related subsidiaries.
  • Accelerate product development using new digital technologies.
  • Maintain industry-leading customer data protection systems.
  • Improve employee satisfaction through diverse work styles and talent development.

Business Segments

Album and Bookbinding Related Services

Overview
Album and bookbinding-related services for companies and educational institutions.
Competitiveness
Advanced bookbinding technology and diverse product lineup
Customers
  • Printing companies
  • Publishing companies
  • Schools
  • Photo studios
  • Advertising agencies
Products
  • Bookbinding services
  • Corporate album production
  • Photo book production
  • Fueru Photobook

Office Equipment and Security Products

Overview
Provides shredders and other security products for offices.
Competitiveness
User-friendly and highly reliable product design
Customers
  • Corporate offices
  • Government offices
  • School corporations
  • Medical institutions
  • Logistics companies
Products
  • Shredders
  • Time recorders
  • Security files

PC Peripherals Sales

Overview
Offers a wide range of PC peripherals from home to business use.
Competitiveness
Unified product lineup under the Digio2 brand
Customers
  • PC manufacturers
  • IT retailers
  • Corporate IT departments
  • Electronics retailers
Products
  • Mice
  • Keyboards
  • USB hubs
  • Card readers

Childcare and Caregiving Products

Overview
Offers childcare and caregiving products emphasizing safety.
Competitiveness
Compliance with top-class domestic safety standards
Customers
  • Baby goods stores
  • Care facilities
  • Hospitals
  • Welfare organizations
Products
  • Child seats
  • Welfare equipment
  • Caregiving supplies

Specialty Printing and Roll Paper Processing

Overview
High-quality industrial recording paper manufacturing and processing services.
Competitiveness
Precision processing technology built over many years
Customers
  • Printing companies
  • Logistics providers
  • Manufacturers
  • Sales agents
Products
  • Recording paper manufacturing
  • Roll paper processing
  • Data processing paper

Staffing and Recruitment Services

Overview
Provides staffing and recruitment services tailored to personnel needs.
Competitiveness
Talent network covering diverse industries
Customers
  • General companies
  • Manufacturing
  • Offices
  • IT-related companies
Products
  • Staffing
  • Recruitment
  • Outsourcing

EC-Related Services

Overview
Online sales support and logistics services.
Competitiveness
Proven EC platform
Customers
  • Retail stores
  • Manufacturers
  • Internet companies
Products
  • Online mall operation
  • EC system development
  • Logistics support

Competitive Advantage

Strengths

  • Renowned bookbinding technology and domestic market leader
  • Diverse product lineup and brand strength
  • Expansion of PC peripherals brand Digio2
  • Business diversification through entry into childcare products
  • Stable financial base with consolidated sales of 57.8 billion yen
  • Nationwide sales and service network
  • Group synergies through related companies
  • Accelerated growth via mid- to long-term M&A strategy
  • Development of advanced security products
  • Customization capabilities responsive to customer needs
  • Secured diverse distribution channels
  • High-quality control system

Competitive Advantages

  • Leading brand with largest share in domestic album market
  • Broad product range from bookbinding to childcare
  • Strength in unified PC peripherals under Digio2 brand
  • Diverse distribution routes and strong sales channels
  • Sustainable management leveraging stable finances and workforce diversity
  • Business expansion and growth promotion through M&A
  • Improved and strengthened customer data security
  • Manufacturing technology and know-how cultivated over years
  • Service expansion via strong related company network
  • High reliability in childcare and caregiving products
  • Promotion of environmentally considerate products
  • Flexible marketing and advertising

Threats

  • Risk of brand image deterioration from customer data leaks
  • Market shrinkage due to digitalization in printing industry
  • Intensifying price competition from rivals
  • Rising business costs from stricter regulations
  • Raw material price fluctuations from supply chain changes
  • Financial burden from Japan Fair Trade Commission fines
  • Technology competition with new entrants
  • Intensified competition in overseas markets
  • Production site risks from natural disasters
  • Burden of responding to stricter industry environmental regulations
  • Declining product demand due to changing consumer preferences
  • Challenges in adapting to rapid IT advancements

Innovations

2023: Business expansion through subsidiary acquisition of Kokusai Chart

Overview
Acquired Kokusai Chart, formerly a Toshiba Tec subsidiary, to strengthen business recording paper operations.
Impact
Expanded product lineup and created synergy effects

2021: Enhanced information security and compliance

Overview
Reviewed systems after customer data leak and responded to Japan Fair Trade Commission.
Impact
Contributed to trust recovery and operational improvements

2020: Renewal of EC site 'Fueru Mall'

Overview
Strengthened online sales platform to expand customer touchpoints.
Impact
Achieved EC sales growth and improved customer satisfaction

2024: New PC peripherals development under Digio2 brand

Overview
Advanced expansion of digital products like wireless mice and keyboards.
Impact
Contributed to enhanced presence in IT market

Sustainability

  • Development and promotion of environmentally friendly paper products
  • Energy-saving initiatives in manufacturing processes
  • Improved waste recycling rate
  • Diversity in workforce and creating comfortable work environments
  • CSR activities for coexistence with local communities