Daiki Axis Co.,Ltd (4245) Stock Price

Market cap
¥9.8B
P/E ratio
17.7x
Daiki Axis provides environmental equipment like septic tanks, residential products including kitchens and bathrooms, and renewable energy solutions across Japan and Asia.

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Business Overview

Daiki Axis operates primarily through three business segments: environmental equipment, residential equipment, and renewable energy.

In the environmental equipment business, the company provides septic tanks for purifying domestic wastewater and wastewater treatment systems for industrial use. A key strength is its integrated approach, handling everything in-house from development and installation to sales and maintenance. The company operates not only domestically in Japan but also pursues global expansion, particularly across Asia.

The residential equipment business sells housing-related products including system kitchens, toilets, and unit bathrooms. The company also undertakes interior and exterior construction work and renovation projects, and supplies products to home centers. Through M&A, it has expanded into refrigeration and air conditioning installation services.

The renewable energy business operates solar power generation, wind power generation, and biodiesel fuel operations. For solar power, the company generates electricity using rooftops of DCM Group stores. For wind power, it operates sites primarily in northern Japan. The biodiesel fuel business manufactures and sells fuel derived from waste cooking oil.

The company also operates other businesses including household drinking water services and venture capital operations. Through these diverse business segments, Daiki Axis provides solutions addressing varied customer needs.

Management Policy

On the occasion of its 65th anniversary, Daiki Axis has reorganized its corporate philosophy and adopted "PROTECT×CHANGE" as its corporate spirit. This slogan embodies the principle of "protecting what must be protected and changing what must be changed," aiming to enhance corporate value while flexibly adapting to a changing business environment.

The company has formulated a new medium-term management plan with fiscal year 2027 as the final year. This plan sets specific numerical targets, including net sales of 53 billion yen and operating profit of 1.45 billion yen. The plan prioritizes improved capital efficiency, with ROE and ROIC as key performance indicators.

Daiki Axis is transitioning from a domestic septic tank manufacturer to a global water business player. The company is advancing into emerging markets, particularly in India, by expanding its public sanitation technology expertise worldwide.

Strengthening the domestic business foundation is also a key strategy. In the environmental equipment business, the company will intensify proposal-based sales for large-scale long-term renovation projects to expand its stock business. In the housing equipment business, it will shift toward a solution-oriented business model to strengthen its profit base.

The company is also expanding its renewable energy business. It is investing in the "green data center" business and strengthening its biodiesel fuel operations. These efforts accelerate progress toward a sustainable society.

Daiki Axis aims to achieve sustainable growth while fulfilling social responsibility, becoming a company trusted by stakeholders. The company is committed to addressing social challenges from a global perspective and dedicating all efforts to enhancing corporate value and realizing a sustainable society.

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