(E01484) Stock Price

Kojima Iron Works is a specialized manufacturer whose core business is custom-made production of large-scale press machines. The company designs and manufactures bespoke press machines tailored to customer specifications, handling a wide range of industrial press machines including forging presses, forming presses, and hydraulic presses. The company also operates machinery construction services and real estate rental businesses to diversify its revenue streams.

The company's primary customers are manufacturers in the automotive, shipbuilding, and heavy machinery industries, to which it supplies specialized press machines for their production processes. Due to the nature of custom-order manufacturing, individual project contract values are substantial, and the timing of orders significantly impacts financial performance. The press business serves as the primary revenue pillar, supplemented by revenue from various equipment construction projects and rental income from multi-purpose health facilities.

In its press business, Kojima Iron Works offers diverse product lines by application, including forging presses, long-length forming presses, and deep-drawing presses. The machinery construction division undertakes projects across a broad range of fields, including power plant equipment, air conditioning systems, and bridge fabrication work, leveraging its extensive technical capabilities. The real estate rental business, launched in 2002, aims to secure stable revenue through leasing sports club facilities.

Kojima Tekko is currently implementing a growth strategy tailored to its business model of made-to-order manufacturing amid uncertain economic conditions. The company's top priority is securing orders. Despite a challenging environment marked by lengthening order cycles among domestic and international customers and intensifying price competition among competitors, the company aims to achieve stable project acquisition.

As priority investment areas, Kojima Tekko has clarified its focus on forging presses for new materials and equipment for heavy industries. These sectors require high technical expertise and allow the company to fully leverage its long-accumulated know-how in made-to-order manufacturing. In particular, press machinery for new material processing is positioned as a promising market with expected demand growth alongside next-generation industry expansion.

For new market development, the company has positioned overseas expansion as a strategic pillar. Kojima Tekko has established an overseas project team and built a sales structure aimed at full-scale entry into European and American markets. By targeting high-value overseas projects alongside the traditional domestic market, the company plans to simultaneously improve order unit prices and expand business scale. This strategy aims to establish a more stable revenue base while diversifying risks from domestic market fluctuations.

The company prioritizes promoting orders from current inquiries while pursuing long-term specialization in high-value-added products. Through differentiation strategy leveraging technological capabilities, it seeks to establish a position in niche markets less susceptible to price competition. The company is positioned to achieve sustainable growth by simultaneously pursuing new customer acquisition and deepening relationships with existing customers.