TBK Co.,Ltd. (7277) Stock Price

TBK is primarily engaged in the manufacturing of automotive parts and consists of 12 subsidiaries and 2 affiliated companies. The business operates across four regions: Japan, Asia, China, and North America, with strategies tailored to each regional market.

TBK's operations are divided into two main segments. The first is the Brake Division, which manufactures and sells brakes—critical safety components for vehicles ranging from small cars to large trucks and buses. Components and raw materials are sourced from Kimura Castings Co., Ltd. in Japan and Hong Kong Full Win Developments Ltd. in China.

The second segment is the Engine Components and Other Division. This division manufactures and sells water pumps for engine cooling and oil pumps for lubrication, serving small cars through large trucks and buses. These components are supplied to TBKK (Thailand) Co., Ltd. in Thailand, TBK India Private Ltd. in India, and TBK America, Inc. in North America.

In addition, TBK manufactures and sells retarders. Santec Corporation in Japan handles the manufacturing and sales of machine tools. TBK Sales Co., Ltd. distributes these products domestically in Japan as needed.

TBK Sales Co., Ltd. sources certain brake products from Dongguan TBK Co., Ltd. in China. Additionally, Changchun FAWSN TBK Co., Ltd. manufactures and sells brakes. TBK America, Inc. passed a resolution for dissolution on December 24, 2024, and is currently undergoing liquidation procedures.

TBK is pursuing sustainable growth and value creation through a management approach that prioritizes technological innovation and environmental responsibility. During this period of transformation in the automotive industry, the company is developing products that address social challenges while continuing to provide safe, high-quality offerings. This strategy aims to enhance corporate value for shareholders and stakeholders.

The 16th Medium-Term Management Plan, which began in April 2025, is built on three core pillars: strengthening core technologies and products, transforming business foundations, and pursuing new business areas. The company is advancing high-efficiency and environmental improvements in engine components such as drum brakes and pumps, while expanding its aluminum products business. These efforts are designed to strengthen profitability.

In transforming business foundations, TBK is strengthening its materials and components operations and optimizing production efficiency. The company is particularly focused on restructuring its production system in the Chinese market and has introduced a divisional headquarters structure to execute global business transformation quickly. This enables flexible management that adapts to changing conditions.

In pursuing new business areas, TBK is acquiring new market customers and strengthening global alliances. The company is concentrating on developing high-value-added products in electrification, autonomous driving technology, and environmental performance, with the goal of expanding as a system supplier. This approach supports sustained revenue growth.

ESG management is positioned as a key strategic pillar. TBK aims to reduce CO2 emissions by 46% by fiscal 2030 and is advancing environmental product development. The company is also improving product quality and workplace safety, securing and leveraging diverse talent, and strengthening corporate governance. These initiatives contribute to building a sustainable society.

TBK is promoting financial health through revenue growth in Asian operations. However, the company is addressing challenges including weak Chinese business performance, rising logistics costs, and increasing labor expenses through cost reduction and supply chain-wide solutions. This approach supports the construction of a stable operational foundation.