(7131) Stock Price

Nomura Sangyo specializes in packaging materials and weighing/packaging machinery, offering comprehensive planning, manufacturing, and sales of packaging-related equipment and materials. The company operates through consolidated subsidiaries including Yamaha Printing, PackWell, and BJT JAPAN, providing integrated services from material design through machinery development to implementation support.

The company's primary customers include wholesale distributors in the Zen-Noh system, rice mills, rice retailers and foodservice companies, as well as logistics operators such as online retailers and fulfillment service providers, and various manufacturers. Revenue is primarily driven by sales of packaging materials and packaging machinery, with service income from implementation support, maintenance, and parts supply forming a stable secondary revenue stream.

The business consists of two main pillars: packaging-related operations (packaging materials and packaging machinery divisions) and logistics packaging services. The company supports customer labor reduction and operational efficiency through custom rice bag design, development of environmentally conscious materials, planning and sales of automatic weighing/packaging machines and high-speed packaging equipment for rice, as well as procurement and sales of air cushioning materials, paper cushioning materials, case sealing machines, and related packaging equipment and machinery maintenance.

Based on its medium-term management policy, the company aims to expand consolidated group revenue and enhance corporate value by strengthening existing operations and building foundations in new markets. Specifically, the company actively pursues strategic M&A and business partnerships, and makes growth-oriented investments with the goal of achieving its financial plan for the fiscal year ending October 2026. The company places emphasis on return on equity (ROE) as a key management metric, and notes the improvement from 19.2% in the previous fiscal year to 24.1% in the current fiscal year. The company aims to maintain and improve high capital efficiency.

The company prioritizes dual investments in packaging materials and packaging machinery to differentiate itself. Concrete measures include rigorous improvement and quality maintenance of existing products, as well as focused development of original rice bag designs and environmentally conscious materials. The company also aims to differentiate itself through faster response times and stable supply by strengthening its value chain through supplier and outsourcing partner development, and by maintaining and improving integrated service delivery from design through installation support to maintenance and after-sales service.

To reduce dependence on the rice market and expand its customer base, the company actively pursues new markets beyond rice, including food, fertilizer, and pet-related products. In addition to strengthening sales activities and new business development at trade shows, the company is expanding distribution channels to the western Japan market, logistics operators, and mail-order and fulfillment companies, aiming to establish stable sales in these segments. Furthermore, the company aims to incorporate new products and services through strategic M&A and business partnerships, and to expand its sales and service revenue.

The company also prioritizes technological innovation, advancing the development and manufacturing capabilities of packaging machinery and improving operational efficiency through IT utilization. For weighing and packaging machines and high-speed packaging machines, the company sets specific targets for improved operability, stability, and speed, and promotes expanded sales of environmentally conscious products such as paper cushioning materials and recyclable materials. Additionally, the company aims to improve maintenance and parts supply systems and enhance productivity through digitalization of production facilities, thereby providing technology solutions that contribute to customer labor savings and operational efficiency.