# DENSO CORPORATION: business model and financials

> Latest period: FY ending Mar 2026, consolidated, IFRS
> Unit: JPY millions
> Sources: 有価証券報告書－第103期(2025/04/01－2026/03/31) (S100Y9T1)
> Page: https://vizora.meequs.com/en/company/denso
> Retrieved: 2026-09-30T18:07:27.528Z

## Company

Denso, founded in 1949, is a company in Auto Parts listed on TSE Prime. It has 154,716 employees (consolidated).

| Field | Value |
| --- | ---: |
| Legal name | DENSO CORPORATION |
| Ticker | 6902 |
| Stock price | View on Yahoo Finance (https://finance.yahoo.co.jp/quote/6902.T) |
| Listing | TSE Prime |
| Head office | 愛知県刈谷市昭和町1丁目1番地 |
| Representative (per filing) | 取締役社長 林 新之助 |
| Founded | Dec 1949 |
| Share capital | ¥187.5B |
| Employees (consolidated) | 154,716 |
| Average salary (parent only) | ¥9.2M |
| Fiscal year end | March |
| Corporate number | 9180301014251 |
| EDINET | E01892 |
| Industries (Vizora) | Auto Parts |

> Profile source: annual securities report (S100Y9T1, filed 2026-06-11). As of filing

## Five-axis industry profile

Primary industry: Auto Parts (2026-03-31)

| Axis | Industry percentile | Peers |
| --- | ---: | ---: |
| Revenue growth | 74.1 | 110 |
| Profitability | 81.5 | 111 |
| Cash conversion | 14.4 | 108 |
| Efficiency | 35.6 | 111 |

Each axis is shown independently. Missing values are labeled unavailable; no combined score is calculated. Industry rank is not an investment recommendation.

## Key points (generated from figures)

- About 41% of Denso's sales come from Japan, with North America and Asia making up much of the rest.
- Out of every ¥100 of sales, about ¥7 is left as operating profit.
- Revenue changed +5.3% from the prior year, operating profit +6.5%.

## Company structure

- Segment revenue mix: Japan 41.0%、North America 26.7%、Asia 21.5%、Europe 9.2%、Other 1.7%
- Revenue → net income: ¥7539975000000 → ¥487512000000
- Net income → operating cash flow: ¥487512000000 → ¥511025000000（difference ¥23513000000）
- Main uses of operating cash flow: CapEx ¥434189000000 / dividends ¥176690000000 / buybacks ¥253363000000
- Change in cash: ¥202595000000
Segment shares use total reported segment revenue, which may include inter-segment sales. The cash bridge is operating cash flow minus net income and combines non-cash items and working-capital effects.

## Key figures at a glance

| Metric | Value | Note |
| --- | ---: | ---: |
| Revenue | ¥7.54T |  |
| Operating income | ¥552.5B | Margin 7.3% |
| Net income | ¥443.8B | Margin 5.9% |
| Free cash flow | ¥76.8B |  |
| Largest business | Japan | of segment revenue 41.0% |
| Employees (consolidated) | 154,716 |  |
| EPS | ¥162.96 |  |
| Book value per share | ¥1074.6 |  |
| Equity ratio | 62.9% | Derived from disclosed figures |
| Shares outstanding | 2,910,980,000 |  |
| Treasury shares | 219,295,800 |  |
| Shareholders | 217,647 |  |
| Average salary (parent only) | ¥9.2M | Filing company only |
| Cash ratio | 13.6% | Cash ÷ revenue 15.8% |
| Vs. industry median margin | +2.6 pp | Auto Parts |
| ROE | 8.5% | Derived from disclosed figures |
| ROA | 5.3% | Derived from disclosed figures |

## Notable figures

- FY2026, buybacks were 1.4× dividends
- FY2026, employees -2% while operating income rose 6%

## What changed in 5 years

| Metric | FY ending Mar 2021 | FY ending Mar 2026 | Change |
| --- | ---: | ---: | ---: |
| Revenue | ¥4936725000000 | ¥7539975000000 | +52.7% |
| Operating income | ¥155107000000 | ¥552538000000 | +256.2% |
| Operating margin | 3.1% | 7.3% | +4.2 pp |
| Employees | 168,391 people | 154,716 people | -8.1% |
| Cash and equivalents | ¥897395000000 | ¥1189126000000 | +32.5% |

### Change in segment revenue mix

Span: FY ending Mar 2021 → FY ending Mar 2026. Stable segment keys are connected; unmatched shares are marked as new or reorganized. Shares use total segment revenue.

| Flow | Revenue share |
| --- | ---: |
| 日本 → 日本 | 41.0% |
| 日本 → 事業再編・廃止 | 5.2% |
| 北米 → 北米 | 20.3% |
| 欧州 → 欧州 | 9.2% |
| 欧州 → 事業再編・廃止 | 0.6% |
| アジア → アジア | 21.5% |
| アジア → 事業再編・廃止 | 1.5% |
| その他 → その他 | 0.8% |
| 新設・再編 → 北米 | 6.4% |
| 新設・再編 → その他 | 0.9% |

Segment revenue source references: 10 (derived)

## Business growth × margin

X-axis: segment revenue CAGR. Y-axis: latest operating margin. Bubble size: latest revenue. CAGR requires at least two comparable years.

| Segment | CAGR span | Revenue CAGR | Latest revenue | Operating margin | Source refs |
| --- | ---: | ---: | ---: | ---: | ---: |
| Japan | 5 years | +6.2% | ¥3087881000000 | 6.0% | 2 |
| North America | 5 years | +15.0% | ¥2012358000000 | 6.6% | 2 |
| Asia | 5 years | +7.4% | ¥1622176000000 | 11.0% | 2 |
| Europe | 5 years | +7.5% | ¥691545000000 | 4.0% | 2 |
| Other | 5 years | +25.9% | ¥126015000000 | 19.7% | 2 |

## Income statement（FY ending Mar 2026, consolidated, IFRS）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Revenue | 7,539,975 | 100.0% | S100Y9T1 |
| Cost of revenue | 6,370,364 | 84.5% | S100Y9T1 |
| Gross profit | 1,169,611 | 15.5% | S100Y9T1 |
| SG&A | 598,610 | 7.9% | S100Y9T1 |
| Operating income | 552,538 | 7.3% | S100Y9T1 |
| Pretax income | 617,291 | 8.2% | S100Y9T1 |
| Income tax | 129,779 | 1.7% | S100Y9T1 |
| Net income | 487,512 | 6.5% | S100Y9T1 |
| Net income attributable to owners | 443,755 | 5.9% | S100Y9T1 |

## Per ¥100 of revenue（FY ending Mar 2026）

| Part | JPY |
| --- | ---: |
| Cost of revenue | 85 |
| SG&A | 8 |
| Operating income | 7 |
| (Ref.) Net income | 6 |

### Margin funnel

Gross margin 15.5% → Operating margin 7.3% → Net margin 5.9%
Derived from reported figures (DERIVED).

## Revenue and profit pattern

Pattern: Revenue and profit up
Revenue growth: +5.3%; Core profit growth: +6.5%
Growth quality: margin-expansion
Operating leverage (core profit growth ÷ revenue growth): 1.23×
Calculated from comparable annual consolidated filings.

## Year over year（FY ending Mar 2025 → FY ending Mar 2026、JPY mn）

| Metric | Prior | Current | Change | % change |
| --- | ---: | ---: | ---: | ---: |
| Revenue | 7,161,777 | 7,539,975 | 378,198 | +5.3% |
| Gross profit | 1,102,867 | 1,169,611 | 66,744 | +6.1% |
| Operating income | 518,953 | 552,538 | 33,585 | +6.5% |
| Net income attributable to owners | 419,081 | 443,755 | 24,674 | +5.9% |
| Operating cash flow | 758,743 | 511,025 | -247,718 | -32.6% |
| Free cash flow | 313,321 | 76,836 | -236,485 | -75.5% |

## History（JPY mn）

| Period | Revenue | Op. income | Op. margin | Net income | Op. CF | FCF | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| FY ending Mar 2020 | 5,153,476 | 61,078 | 1.2% | 68,099 | 595,320 | 128,689 | S100LJ9G |
| FY ending Mar 2021 | 4,936,725 | 155,107 | 3.1% | 125,055 | 437,235 | 2,554 | S100O98N |
| FY ending Mar 2022 | 5,515,512 | 341,179 | 6.2% | 263,901 | 395,637 | 23,493 | S100QXX3 |
| FY ending Mar 2023 | 6,401,320 | 426,099 | 6.7% | 314,633 | 602,720 | 188,406 | S100TLQW |
| FY ending Mar 2024 | 7,144,733 | 380,599 | 5.3% | 312,791 | 961,826 | 515,421 | S100VWHL |
| FY ending Mar 2025 | 7,161,777 | 518,953 | 7.2% | 419,081 | 758,743 | 313,321 | S100Y9T1 |
| FY ending Mar 2026 | 7,539,975 | 552,538 | 7.3% | 443,755 | 511,025 | 76,836 | S100Y9T1 |

## People and productivity（FY ending Mar 2026, consolidated, IFRS）

| Metric | Value |
| --- | ---: |
| Revenue per employee (consolidated) | ¥48.7M |
| Operating income per employee (consolidated) | ¥3.6M |
| Net income per employee (consolidated) | ¥2.9M |

Employees, revenue and profit are consolidated. Average annual salary is a separate parent-company figure. Calculated from disclosed figures (DERIVED).

| History | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Employees (consolidated) | 167,950 | 164,572 | 162,029 | 158,056 | 154,716 |
| Average salary (parent company) | ¥7.9M | ¥8.1M | ¥8.4M | ¥8.6M | ¥9.2M |
| Average age (parent company) | 44.2 years | 44.5 years | 44.7 years | 44.8 years | 44.8 years |
| Average tenure (parent company) | 22.3 years | 22.9 years | 23.1 years | 23.1 years | 22.9 years |

Year over year: Employees (consolidated) -2.1% · Revenue (consolidated) +5.3%

## Segments（FY ending Mar 2026, consolidated, IFRS、JPY mn）

| Segment | Revenue | Share | Op. income | Op. margin |
| --- | ---: | ---: | ---: | ---: |
| Japan | 3,087,881 | 41.0% | 185,913 | 6.0% |
| North America | 2,012,358 | 26.7% | 132,314 | 6.6% |
| Europe | 691,545 | 9.2% | 27,801 | 4.0% |
| Asia | 1,622,176 | 21.5% | 178,843 | 11.0% |
| Other | 126,015 | 1.7% | 24,865 | 19.7% |

### segmentMix — Revenue and profit mix

Calculated from disclosed figures (DERIVED). Shares use total segment revenue and total positive segment profit respectively. Difference = profit share − revenue share (pt). Inter-segment sales may prevent reconciliation to company revenue.

| Segment | Revenue share | Profit share | Difference (pt) | Margin |
| --- | ---: | ---: | ---: | ---: |
| Japan | 41.0% | 33.8% | -7.1 | 6.0% |
| North America | 26.7% | 24.1% | -2.6 | 6.6% |
| Europe | 9.2% | 5.1% | -4.1 | 4.0% |
| Asia | 21.5% | 32.5% | 11.0 | 11.0% |
| Other | 1.7% | 4.5% | 2.9 | 19.7% |

Segment → industry: Other → Auto Parts / Asia → Auto Parts / Europe → Auto Parts / North America → Auto Parts / Japan → Auto Parts

## Revenue by geography

No geographic revenue breakdown was disclosed.

## Cash flow（FY ending Mar 2026, consolidated, IFRS）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Operating cash flow | 511,025 | 6.8% | S100Y9T1 |
| Capital expenditure | 434,189 | 5.8% | S100Y9T1 |
| Free cash flow | 76,836 | 1.0% | 算出 |
| Investing cash flow | -16,886 | -0.2% | S100Y9T1 |
| Financing cash flow | -355,003 | -4.7% | S100Y9T1 |
| Dividends paid | 176,690 | 2.3% | S100Y9T1 |
| Share buyback | 253,363 | 3.4% | S100Y9T1 |
| Change in cash | 202,595 | 2.7% | S100Y9T1 |
| Cash and equivalents | 1,189,126 | 15.8% | S100Y9T1 |

## Balance sheet

Figures are as of each fiscal year end. Derived values are marked as such in the source column. Lease liabilities are excluded from interest-bearing debt.

| Metric | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| Cash and equivalents | 867,808 | 733,850 | 789,390 | 986,531 | 1,189,126 | S100TLQW, S100VWHL, S100Y9T1 |
| Total assets | 7,432,271 | 7,408,662 | 9,093,370 | 8,125,000 | 8,730,854 | S100QXX3, S100TLQW, S100VWHL, S100Y9T1 |
| Net assets | 4,489,526 | 4,579,711 | 5,746,505 | 5,188,918 | 5,715,847 | S100TLQW, S100VWHL, S100Y9T1 |
| Share capital | 187,457 | 187,457 | 187,457 | 187,457 | 187,457 | S100QXX3, S100TLQW, S100VWHL, S100Y9T1 |
| Property, plant and equipment | 1,912,607 | 1,955,240 | 2,043,600 | 2,009,710 | 2,060,068 | S100QXX3, S100TLQW, S100VWHL, S100Y9T1 |
| Goodwill | 24,036 | 23,181 | 28,786 | 29,561 | 68,304 | S100QXX3, S100TLQW, S100VWHL, S100Y9T1 |
| Current assets | 3,168,814 | 3,277,586 | 3,865,379 | 3,909,839 | 4,142,805 | S100QXX3, S100TLQW, S100VWHL, S100Y9T1 |
| Total liabilities | 2,942,745 | 2,828,951 | 3,346,865 | 2,936,082 | 3,015,007 | S100QXX3, S100TLQW, S100VWHL, S100Y9T1 |
| Equity attributable to owners of parent | 4,299,357 | 4,376,928 | 5,534,986 | 4,978,266 | 5,492,689 | S100QXX3, S100TLQW, S100VWHL, S100Y9T1 |
| Retained earnings | 3,017,660 | 3,212,248 | 3,451,694 | 3,393,102 | 3,922,315 | S100QXX3, S100TLQW, S100VWHL, S100Y9T1 |
| Treasury stock | -152,346 | -252,270 | -452,140 | -189,428 | -437,244 | S100QXX3, S100TLQW, S100VWHL, S100Y9T1 |

### Assets and funding mix

| Assets | Share | Source |
| --- | ---: | ---: |
| Cash | 14% | S100Y9T1 |
| Property, plant and equipment | 23% | S100Y9T1 |
| Intangibles and goodwill | 1% | — |
| Other assets | 62% | S100Y9T1 |

| Funding source | Share | Source |
| --- | ---: | ---: |
| Other liabilities | 35% | S100Y9T1 |
| Equity | 65% | S100Y9T1 |

### Balance sheet history

| Metric | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Total assets | 7,432,271 | 7,408,662 | 9,093,370 | 8,125,000 | 8,730,854 |
| Equity | 4,489,526 | 4,579,711 | 5,746,505 | 5,188,918 | 5,715,847 |
| Interest-bearing debt | — | — | — | — | — |
| Cash | 867,808 | 733,850 | 789,390 | 986,531 | 1,189,126 |

## Asset intensity and goodwill

Ratios are derived from reported values. Goodwill is used only when separately reported, never inferred from combined intangible assets.

| Metric | Value | Sources |
| --- | ---: | ---: |
| Asset intensity (fixed assets ÷ revenue) | 27.3% | S100Y9T1 |
| Fixed assets ÷ total assets | 23.6% | S100Y9T1 |
| Goodwill ÷ parent equity | 1.2% | S100Y9T1 |

Goodwill over 4 years: 24,036 → 68,304 JPY; total investing cash flow: -1,019,729 JPY. This does not imply causation.

### Cash quality

Net cash = cash − interest-bearing debt. Net debt ratio = (interest-bearing debt − cash) ÷ positive operating cash flow. Omit when debt components are incomplete; other ratios are derived from reported figures.

| Metric | Value |
| --- | ---: |
| Cash ratio (cash ÷ total assets) | 13.6% |
| Cash ÷ revenue | 15.8% |
| Net cash (cash − interest-bearing debt) | — |
| Net debt ÷ operating cash flow | — |
| Cash conversion (operating CF ÷ operating income) | 92.5% |
| Cash vs. profit gap | 67,270 JPY mn (of net income 15.2%) |
| Shareholder returns / net income | 96.9% |
| Shareholder returns / FCF | 559.7% |
| Shareholder payments — dividends / net income | 39.8% |
| Shareholder payments — dividends / FCF | 230.0% |
| CapEx intensity (capex ÷ revenue) | 5.8% |
| Investing CF relative to operating CF | 3.3% |

## ROA and ROE

ROE is decomposed into net margin × asset turnover × financial leverage. Leverage can raise ROE, so the ratio alone does not assess a company's condition. Ending balances are used without a prior year; total equity approximates parent equity when unavailable.

| Period | Net margin | Asset turnover | ROA | Financial leverage | ROE | Sources |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| 2022 | 4.8% | 0.74× | 3.6% | 1.73× | 6.1% | S100QXX3 |
| 2023 | 4.9% | 0.86× | 4.2% | 1.71× | 7.3% | S100TLQW |
| 2024 | 4.4% | 0.87× | 3.8% | 1.66× | 6.3% | S100VWHL |
| 2025 | 5.9% | 0.83× | 4.9% | 1.64× | 8.0% | S100Y9T1 |
| 2026 | 5.9% | 0.89× | 5.3% | 1.61× | 8.5% | S100Y9T1 |

## Ownership

| Counterparty | Relation | Ratio | As of |
| --- | ---: | ---: | ---: |
| トヨタ自動車株式会社 | Major shareholder | 22.2% | 2026-03-31 |
| 日本マスタートラスト信託銀行株式会社（信託口） | Major shareholder | 13.0% | 2026-03-31 |
| 株式会社豊田自動織機 | Major shareholder | 5.9% | 2026-03-31 |
| トヨタ不動産株式会社 | Major shareholder | 4.9% | 2026-03-31 |
| 株式会社日本カストディ銀行（信託口） | Major shareholder | 4.8% | 2026-03-31 |
| 日本生命保険相互会社（常任代理人 日本マスタートラスト信託銀行株式会社） | Major shareholder | 3.2% | 2026-03-31 |
| デンソー従業員持株制度会 | Major shareholder | 2.1% | 2026-03-31 |
| STATE STREET BANK AND TRUST COMPANY 505001（常任代理人 株式会社みずほ銀行決済営業部） | Major shareholder | 1.2% | 2026-03-31 |
| 全国共済農業協同組合連合会 (常任代理人 日本マスタートラスト信託銀行株式会社) | Major shareholder | 1.1% | 2026-03-31 |
| 明治安田生命保険相互会社 (常任代理人 株式会社日本カストディ銀行) | Major shareholder | 1.1% | 2026-03-31 |

## AI commentary（text by AI; the tables above are authoritative、claude-code）

- Revenue for the FY ending Mar 2026 was ¥7.54T, up +5.3% from ¥7.16T.
- Profit grew too: operating income reached ¥552.5B (+6.5%) and net income attributable to owners reached ¥443.8B (+5.9%).
- Cash was a different story. Operating cash flow fell -32.6% from ¥758.7B to ¥511B, leaving free cash flow at ¥76.8B (-75.5%).

### Drivers

- Higher vehicle sales lifted revenue
- US tariffs, rising material costs and more spending on people weighed on profit, but cost-cutting and better factory utilization more than made up for them
- Operating cash flow fell because the change in trade payables was smaller than a year earlier and income tax payments rose

### Risks

- About half of sales go to the Toyota group, so results depend heavily on how those customers do
- Price competition is tough, and inflation and US tariffs are pushing costs up
- A stronger yen, especially against the US dollar, euro and yuan, hurts results

Cited: Annual securities report, 103rd fiscal year (Apr 2025 – Mar 2026) (経営者による財政状態、経営成績及びキャッシュ・フローの状況の分析); Annual securities report, 103rd fiscal year (Apr 2025 – Mar 2026) (事業等のリスク)

## Sources

| Document | ID | Published | URL |
| --- | ---: | ---: | ---: |
| 有価証券報告書－第103期(2025/04/01－2026/03/31) | S100Y9T1 | 2026-06-11 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100Y9T1,, |
| 有価証券報告書－第102期(2024/04/01－2025/03/31) | S100VWHL | 2025-06-11 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100VWHL,, |
| 有価証券報告書－第101期(2023/04/01－2024/03/31) | S100TLQW | 2024-06-20 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100TLQW,, |
| 有価証券報告書－第100期(2022/04/01－2023/03/31) | S100QXX3 | 2023-06-20 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100QXX3,, |
| 有価証券報告書－第99期(令和3年4月1日－令和4年3月31日) | S100O98N | 2022-06-21 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100O98N,, |
| 有価証券報告書－第98期(令和2年4月1日－令和3年3月31日) | S100LJ9G | 2021-06-22 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100LJ9G,, |

## Key alliances (from the filing's material contracts)

| Partner | Type | Description | Source |
| --- | ---: | ---: | ---: |
| 日清紡ホールディングス | Co-development | 日清紡マイクロデバイスが半導体装置等の特許・技術の許諾を受ける | S100XT05 |

## Definitions

- Amounts are in millions of JPY (rounded). The period is stated in each table heading
- Operating margin = operating income ÷ revenue. Net income is attributable to owners of the parent when disclosed
- Free cash flow (FCF) = operating cash flow − capital expenditure
- ¥100 model = breakdown per ¥100 of revenue (rounded so parts sum to 100)
- Segment revenues include inter-segment sales and may not sum to consolidated revenue
- Source IDs are EDINET document IDs (docID). "算出" (derived) means computed from other disclosed values
- All figures are extracted mechanically from filings. AI-written text never generates figures
- Source: company filings submitted to EDINET (Financial Services Agency of Japan). Figures were extracted, edited and processed, and charts and text were created, by Vizora — not by the FSA (used under the Public Data License v1.0).