Kurogane Kakojo

Basic Information

Stock Code
7997
Industry
Other Products
Category Detail
Daily Necessities & Household Products
Prefecture
Osaka Prefecture
Establishment Year
March 1927
Listing Year
October 1961
Official Website
https://www.kurogane-kks.co.jp/
TSE Information
TSE Information
Yahoo! Finance
Yahoo! Finance
Other Companies
Inaba Seisakusho, MIT, Kawakami Paint, Takano, Komatsu Wall Industry, Itoki, Nippon ISK, Okamura, Uchida Yoko

Overview

Kurogane Kakojo is a long-established manufacturer founded in 1927, primarily producing and selling office furniture and medical equipment, and holds a solid position in the market for business-use steel products.

Current Situation

Kurogane Kakojo recorded consolidated sales of approximately ¥9.5 billion in the fiscal year ending November 2019, maintaining a stable financial base. Its mainstay office furniture business supplies metal desks and chairs, while also focusing on medical equipment such as hospital beds and Accu-Door units. The Accu-Door unit, in particular, is highly regarded as a barrier-free sliding door system and is a flagship product of the company. Belonging to the Sanwa Group and Midori-kai, it has established a stable supply-demand system through collaboration with related companies. Competitors include Okamura, Itoki, and Uchida Yoko, and the company continues to pursue technological development and quality improvements for differentiation. Looking ahead, it anticipates expansion in demand for products in the medical and welfare sectors, focusing on new product development and expansion of sales channels. The company promotes management with environmental considerations in mind, aiming to balance medium- to long-term growth with social responsibility.

Trivia

Interesting Facts

  • Company name 'Kurogane' means iron, originating from its metal products manufacturing.
  • Launched a study desk brand tied up with children's TV programs in the 1970s.
  • Accu-Door unit features barrier-free design without floor rails.
  • Known as a member company of Midori-kai and Sanwa Group.
  • Long-established metal furniture manufacturer headquartered in Nishiku, Shinmachi, Osaka City.
  • One of the few furniture makers with high expertise in medical equipment.
  • Consolidated sales of approximately ¥9.5 billion, positioned as a stable mid-sized company.
  • Major shareholders include Y.K. Co., Ltd. and Nippon Life Insurance.
  • Engages in diversified business including home furniture and fittings.
  • Leads market demand for barrier-free with medical overhead sliding doors.

Hidden Connections

  • Collaborates with many construction and furniture-related companies through Sanwa Group and Midori-kai.
  • Once collaborated with Fuji TV children's programs to expand brand recognition.
  • Major financial institutions such as Nippon Life Insurance and Dai-ichi Life Insurance are shareholders.
  • Proprietary medical equipment competes and collaborates with medical device manufacturers.
  • Strength in regionally rooted corporate networks in Osaka City.
  • Fittings manufacturing technology utilized in supplies for home builders.
  • Related stocks include paint maker Kawakami Paint and stationery-related MIT Holdings.
  • Developing products adapted to aging society as medical and welfare supplies.

Future Outlook

Growth Drivers

  • Increasing demand for medical and welfare products due to aging population
  • Changes in office furniture demand from workstyle reforms
  • Market expansion for barrier-free products
  • Growing demand for eco-friendly products amid stricter environmental regulations
  • Sales network expansion through strengthened Sanwa Group ties
  • Differentiation via IoT and smart furniture technologies
  • Demand for public facility renewals from local governments
  • Growth in housing remodeling market
  • Development of new markets seeking safety and comfort
  • Automation and efficiency in manufacturing processes

Strategic Goals

  • Expand sales ratio in medical and welfare fields to over 30%
  • Company-wide rollout of low-environmental-impact product lines
  • Active adoption and development of new and high-function materials
  • Full-scale entry into overseas markets with proprietary products
  • Strengthen R&D structure for smart furniture
  • 30% efficiency improvement through digitalization of production sites
  • Increase joint product development with Sanwa Group
  • Enhance social contribution through community collaborations
  • Continue stable dividend policy and strengthen shareholder returns
  • Maximize diverse sales channels and EC utilization

Business Segments

Office Furniture Segment

Overview
Provides metal furniture that contributes to comfortable office environments, catering to various industries.
Competitiveness
Product lineup with proven track record, high reliability, and durability.
Customers
  • Corporate Offices
  • Public Institutions
  • Educational Institutions
  • Medical Institutions
  • Government Offices
Products
  • Metal Desks
  • Office Chairs
  • Conference Tables
  • Storage Cabinets
  • Lockers

Medical & Welfare Equipment Segment

Overview
Provides equipment emphasizing safety and comfort for medical facilities.
Competitiveness
Market differentiation through proprietary barrier-free designs.
Customers
  • Hospitals
  • Nursing Homes
  • Elderly Care Facilities
  • Rehabilitation Centers
Products
  • Accu-Door Unit
  • Medical Beds
  • Chair Beds
  • Medical Lockers

Fittings & Residential Equipment Segment

Overview
Provides high-quality fittings for homes, supporting comfortable living environments.
Competitiveness
Balance of durability and design.
Customers
  • Home Builders
  • Remodeling Contractors
  • Architectural Design Firms
Products
  • Metal Fittings
  • Wooden Fittings
  • Sliding Door Systems

Office Paper Products Segment

Overview
Offers a wide range of paper products to support daily office work.
Competitiveness
Thorough quality control and stable supply system.
Customers
  • Offices
  • Educational Institutions
  • Printing Companies
  • Stationery Retailers
Products
  • Copy Paper
  • Various Files
  • Stationery Paper Products

Theater & Public Equipment Segment

Overview
Provides highly durable equipment suitable for public spaces.
Competitiveness
Customization to meet specific needs.
Customers
  • Theaters
  • Cultural Facilities
  • Public Halls
Products
  • Theater Chairs
  • Public Benches

Competitive Advantage

Strengths

  • Long history and trust in the industry
  • High-quality steel furniture technology
  • Expertise in medical and welfare fields
  • Solid management and stable financial base
  • Advantages through collaboration with Sanwa Group
  • Diverse sales channels
  • Regionally focused service provision
  • Proprietary barrier-free product development capabilities
  • Established brand recognition in the market
  • Diverse product lineup

Competitive Advantages

  • Hit products like Accu-Door unit and other proprietary medical equipment
  • Abundant experience and know-how in office furniture
  • Strong sales and procurement network via Sanwa Group
  • Manufacturing technology for highly durable steel products
  • Differentiation in medical and welfare markets with barrier-free products
  • Brand recognition from study desks since the 1970s
  • Strong delivery and customization for a wide customer base
  • Maintaining financial stability through prudent management
  • Multiple customer touchpoints via multi-channel approach
  • Trust in quality and safety of business products

Threats

  • Intensifying competition from major furniture and medical equipment makers
  • Risk of cost increases due to raw material price fluctuations
  • Market share erosion by new entrants
  • Risk of declining domestic demand due to population decrease
  • Increased product development and manufacturing costs from stricter environmental regulations
  • Impact of economic fluctuations on corporate investments
  • Strengthened price competitiveness of overseas products
  • Concerns over productivity decline due to labor shortages
  • Decline in market competitiveness from lagging technological innovation
  • Delays in responding to changing social needs

Innovations

2023: Announcement of improved Accu-Door unit model

Overview
Developed an overhead sliding door with enhanced quietness and durability.
Impact
Improved product evaluation in the medical welfare market.

2022: Introduction of eco-friendly steel materials

Overview
Reduced environmental impact by using materials with high recyclability.
Impact
Strengthened compliance with environmental regulations and improved corporate image.

2024: Launch of new medical chair bed model

Overview
Introduced new product with space-saving design and improved operability.
Impact
Contributed to increased adoption in caregiving sites.

2021: Promotion of production process automation

Overview
Significantly improved manufacturing efficiency through smart factory initiatives.
Impact
Achieved cost reductions and improved production quality.

2020: Enhanced design for residential fittings

Overview
Strengthened responsiveness to the housing market with diverse designs.
Impact
Increased attention and sales from the housing equipment market.

Sustainability

  • Promotion of using recyclable metal materials
  • Expansion of barrier-free design products
  • Strengthening energy-saving measures in manufacturing processes
  • Environmental conservation activities in collaboration with local communities
  • Thorough environmental management in the supply chain