MOLITEC STEEL CO.,LTD. (5986) Stock Price

Moritex Steel operates a trading division that handles specialty steel strip, general steel, and other steel materials. This division sells polished specialty steel strip, hot-rolled steel strip, stainless steel strip, and related products. The company's hardened steel strip division manufactures and sells hardened steel strip and bainite steel strip, using specialty steel strip as the primary raw material.

Moritex Steel also operates a sheet metal processing division that manufactures and sells sheet metal products such as cord reels and springs. These products are widely used in the durable consumer goods sector. The company's business spans multiple areas and serves diverse customer needs.

Moritex Steel's consolidated subsidiaries include Jutawan Moritex (Thailand) Co., Ltd. and Shanghai Molitek Steel Trading Co., Ltd. These subsidiaries handle steel material export sales representation and steel processing and sales in their respective countries. They also manufacture and sell home appliances, agricultural machinery, and automotive components.

Moritex Steel maintains subsidiaries in Vietnam, Indonesia, Mexico, and other countries, conducting steel material exports and processing sales operations. This global presence strengthens the company's competitiveness in international markets. Additionally, consolidated subsidiaries such as Nichirin Steel Co., Ltd. and Nakagawa Sangyo Co., Ltd. engage in steel material processing and sales.

Moritex Steel operates under the management principle of "building a company that values people and grows together." The company promotes sales strengthening and system restructuring through transparent and fair business practices. As a specialty steel strip trading company, Moritex Steel aims to contribute to social and economic development by meeting diverse customer needs and providing environmentally conscious, distinctive products.

To realize management that is conscious of capital costs and stock price, the company has set a target return on equity (ROE) of 8% or higher and is working to improve profitability. In its trading division, the company leverages synergies with Nakagawa Sangyo Co., Ltd., a consolidated subsidiary, and strengthens competitiveness by bringing steel slitting operations in-house.

In the hardened steel strip division, the company is creating new overseas markets and expanding domestic sales channels, capitalizing on favorable yen weakness. In the sheet metal processing division, the company is passing increased raw material costs to sales prices to achieve appropriate pricing, while accelerating business restructuring to address the advancement of vehicle electrification.

Marking its 70th anniversary, Moritex Steel has established a growth strategy called the "Three Stages." Stage 1 focuses on business restructuring, Stage 2 targets environmentally conscious business operations toward 2030, and Stage 3 aims at proprietary technology development toward 2040. Through this approach, the company pursues sustainable growth.