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Default5957NITTOSEIKO CO.,LTD.

Nittoseiko Reports Second Quarter Revenue Growth Amid Strong Demand for High-Value Products

– Nittoseiko CO.,LTD. (5957.T) reported strong revenue growth for the six months ending December 2026, driven by robust demand for high-value products across key segments.

Sales reached ¥17.727 billion, up 7.1% compared to the same period last year, with operating profit increasing by 50.5% to ¥447 million. In the Fastener Business, sales surged due to increased exports to India and solid performance in Southeast Asia. Despite production adjustments in game console components, domestic automotive sales benefited from advanced driver assistance systems (ADAS). Operating profit grew significantly, contributing to overall earnings improvement. Cost reduction efforts through supplier optimization and manufacturing process improvements also bolstered profitability. The Machinery Business saw a 4.8% increase in sales, largely attributed to overseas investments in the United States, Thailand, and South Korea.

Although domestic sales faced challenges due to reduced electric vehicle development projects, international markets showed resilience. Operating profit rose by 6.8%, reflecting successful cost management initiatives. Meanwhile, the Control Systems Business experienced a modest 3.2% rise in sales, primarily fueled by large-scale projects in the energy sector, particularly in petrochemical applications. However, operating profit declined slightly by 3.4%, impacted by rising costs and the stabilization of initial PFAS product sales. The company plans additional price adjustments and design improvements to enhance future margins. Looking ahead, Nittoseiko remains optimistic about achieving its full-year forecasts, leveraging growing demand in strategic sectors such as ADAS and data center solutions.

Continued focus on cost efficiency and portfolio optimization will support sustainable profit growth.

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