# TOKUDEN CO.,LTD.: business model and financials

> Latest period: FY ending Mar 2026, consolidated, J-GAAP
> Unit: JPY millions
> Sources: 有価証券報告書－第79期(2025/04/01－2026/03/31) (S100YD8G)
> Page: https://vizora.meequs.com/en/company/tokuden
> Retrieved: 2026-09-30T21:37:05.215Z

## Company

Tokuden, founded in 1950, is a company in Steel listed on TSE Standard. It has 268 employees (consolidated).

| Field | Value |
| --- | ---: |
| Legal name | TOKUDEN CO.,LTD. |
| Ticker | 3437 |
| Stock price | View on Yahoo Finance (https://finance.yahoo.co.jp/quote/3437.T) |
| Listing | TSE Standard |
| Head office | 兵庫県加古川市平岡町土山899番5 |
| Representative (per filing) | 代表取締役社長 西川 誉 |
| Founded | Jan 1950 |
| Share capital | ¥484.8M |
| Employees (consolidated) | 268 |
| Average salary (parent only) | ¥6.8M |
| Fiscal year end | March |
| Website | www.tokuden.co.jp (https://www.tokuden.co.jp/) |
| Corporate number | 8140001050221 |
| EDINET | E01464 |
| Industries (Vizora) | Steel, Plant Engineering & Building Services, Industrial Machinery |

> Profile source: annual securities report (S100YD8G, filed 2026-06-18). As of filing

## Five-axis industry profile

Primary industry: Plant Engineering & Building Services (2026-03-31)

| Axis | Industry percentile | Peers |
| --- | ---: | ---: |
| Revenue growth | 46.5 | 72 |
| Profitability | 17.8 | 76 |
| Cash conversion | 61.5 | 74 |
| Efficiency | 40.1 | 76 |

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 75% of Tokuden's sales come from execution of works, with welding material and Other making up much of the rest.
- Out of every ¥100 of sales, about ¥5 is left as operating profit.
- Revenue changed +3.6% from the prior year, operating profit -8.2%.

## Company structure

- Segment revenue mix: execution of works 74.5%、welding material 12.7%、Other 6.7%、Environment Related Equipment 6.2%
- Revenue → net income: ¥10915693000 → ¥458851000
- Net income → operating cash flow: ¥458851000 → ¥534566000（difference ¥75715000）
- Main uses of operating cash flow: CapEx ¥353391000 / dividends ¥160163000 / buybacks —
- Change in cash: ¥424955000
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 | ¥10.9B |  |
| Operating income | ¥583.4M | Margin 5.3% |
| Net income | ¥457M | Margin 4.2% |
| Free cash flow | ¥181.2M |  |
| Largest business | execution of works | of segment revenue 74.5% |
| Employees (consolidated) | 268 |  |
| EPS | ¥278.72 |  |
| Book value per share | ¥4961.05 |  |
| Equity ratio | 65.8% |  |
| Shares outstanding | 1,602,000 |  |
| Treasury shares | 20,000 |  |
| Shareholders | 688 |  |
| Average salary (parent only) | ¥6.8M | Filing company only |
| Cash ratio | 17.9% | Cash ÷ revenue 19.5% |
| Vs. industry median margin | -3.7 pp | Plant Engineering & Building Services |
| ROE | 6.0% | Derived from disclosed figures |
| ROA | 3.8% | Derived from disclosed figures |

## Notable figures

- FY2026, one segment accounts for 79% of positive segment profit
- FY2026, parent-company salary changed +26% over five years

## What changed in 5 years

| Metric | FY ending Mar 2021 | FY ending Mar 2026 | Change |
| --- | ---: | ---: | ---: |
| Revenue | ¥8314544000 | ¥10915693000 | +31.3% |
| Operating income | ¥476470000 | ¥583449000 | +22.5% |
| Operating margin | 5.7% | 5.3% | -0.4 pp |
| Employees | 251 people | 268 people | +6.8% |
| Cash and equivalents | ¥1864396000 | ¥2128639000 | +14.2% |

### 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 |
| --- | ---: |
| 工事施工 → 工事施工 | 72.8% |
| 溶接材料 → 溶接材料 | 12.7% |
| 溶接材料 → 事業再編・廃止 | 0.4% |
| 環境関連装置 → 環境関連装置 | 6.2% |
| 環境関連装置 → 事業再編・廃止 | 1.9% |
| その他 → その他 | 6.2% |
| 新設・再編 → 工事施工 | 1.7% |
| 新設・再編 → その他 | 0.5% |

Segment revenue source references: 8 (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 |
| --- | ---: | ---: | ---: | ---: | ---: |
| execution of works | 5 years | +6.1% | ¥8133685000 | 14.0% | 2 |
| welding material | 5 years | +5.0% | ¥1380857000 | 10.3% | 2 |
| Other | 5 years | +7.2% | ¥729403000 | 6.7% | 2 |
| Environment Related Equipment | 5 years | +0.2% | ¥671747000 | 16.1% | 2 |

## Income statement（FY ending Mar 2026, consolidated, J-GAAP）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Revenue | 10,916 | 100.0% | S100YD8G |
| Cost of revenue | 8,094 | 74.1% | S100YD8G |
| Gross profit | 2,822 | 25.9% | S100YD8G |
| SG&A | 2,238 | 20.5% | S100YD8G |
| Operating income | 583 | 5.3% | S100YD8G |
| Ordinary income | 601 | 5.5% | S100YD8G |
| Pretax income | 601 | 5.5% | S100YD8G |
| Income tax | 142 | 1.3% | S100YD8G |
| Net income | 459 | 4.2% | S100YD8G |
| Net income attributable to owners | 457 | 4.2% | S100YD8G |

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

| Part | JPY |
| --- | ---: |
| Cost of revenue | 74 |
| SG&A | 21 |
| Operating income | 5 |
| (Ref.) Net income | 4 |

### Margin funnel

Gross margin 25.9% → Operating margin 5.3% → Net margin 4.2%
Derived from reported figures (DERIVED).

## Revenue and profit pattern

Pattern: Revenue up, profit down
Revenue growth: +3.6%; Core profit growth: -8.2%
Growth quality: revenue-led
Operating leverage (core profit growth ÷ revenue growth): -2.31×
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 | 10,540 | 10,916 | 376 | +3.6% |
| Gross profit | 2,805 | 2,822 | 17 | +0.6% |
| Operating income | 636 | 583 | -52 | -8.2% |
| Net income attributable to owners | 467 | 457 | -10 | -2.2% |
| Operating cash flow | -108 | 535 | 643 | — |
| Free cash flow | -457 | 181 | 638 | — |

## History（JPY mn）

| Period | Revenue | Op. income | Op. margin | Net income | Op. CF | FCF | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| FY ending Mar 2020 | 10,644 | 880 | 8.3% | 617 | 681 | 573 | S100LRIY |
| FY ending Mar 2021 | 8,315 | 476 | 5.7% | 400 | 641 | 481 | S100OFMO |
| FY ending Mar 2022 | 8,617 | 615 | 7.1% | 486 | 862 | 781 | S100R68C |
| FY ending Mar 2023 | 9,699 | 809 | 8.3% | 697 | 85 | -1,504 | S100TRCY |
| FY ending Mar 2024 | 9,588 | 495 | 5.2% | 380 | 309 | -557 | S100W8MT |
| FY ending Mar 2025 | 10,540 | 636 | 6.0% | 467 | -108 | -457 | S100YD8G |
| FY ending Mar 2026 | 10,916 | 583 | 5.3% | 457 | 535 | 181 | S100YD8G |

## People and productivity（FY ending Mar 2026, consolidated, J-GAAP）

| Metric | Value |
| --- | ---: |
| Revenue per employee (consolidated) | ¥40.7M |
| Operating income per employee (consolidated) | ¥2.2M |
| Net income per employee (consolidated) | ¥1.7M |

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) | 245 | 243 | 246 | 259 | 268 |
| Average salary (parent company) | ¥5.4M | ¥6.1M | ¥6.2M | ¥6.7M | ¥6.8M |
| Average age (parent company) | 41.6 years | 41.1 years | 41.1 years | 41.0 years | 41.2 years |
| Average tenure (parent company) | 15.2 years | 15.3 years | 15.3 years | 14.9 years | 14.7 years |

Year over year: Employees (consolidated) +3.5% · Revenue (consolidated) +3.6%

## Segments（FY ending Mar 2026, consolidated, J-GAAP、JPY mn）

| Segment | Revenue | Share | Op. income | Op. margin |
| --- | ---: | ---: | ---: | ---: |
| execution of works | 8,134 | 74.5% | 1,136 | 14.0% |
| welding material | 1,381 | 12.7% | 142 | 10.3% |
| Environment Related Equipment | 672 | 6.2% | 108 | 16.1% |
| Other | 729 | 6.7% | 49 | 6.7% |

### 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 |
| --- | ---: | ---: | ---: | ---: |
| execution of works | 74.5% | 79.2% | 4.7 | 14.0% |
| welding material | 12.7% | 9.9% | -2.8 | 10.3% |
| Environment Related Equipment | 6.2% | 7.5% | 1.4 | 16.1% |
| Other | 6.7% | 3.4% | -3.3 | 6.7% |

Segment → industry: welding material → Steel / execution of works → Plant Engineering & Building Services / Environment Related Equipment → Industrial Machinery

## Revenue by geography

No geographic revenue breakdown was disclosed.

## Cash flow（FY ending Mar 2026, consolidated, J-GAAP）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Operating cash flow | 535 | 4.9% | S100YD8G |
| Capital expenditure | 353 | 3.2% | S100YD8G |
| Free cash flow | 181 | 1.7% | 算出 |
| Investing cash flow | -359 | -3.3% | S100YD8G |
| Financing cash flow | 241 | 2.2% | S100YD8G |
| Dividends paid | 160 | 1.5% | S100YD8G |
| Change in cash | 425 | 3.9% | S100YD8G |
| Cash and equivalents | 2,129 | 19.5% | S100YD8G |

## 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 | 2,856 | 2,472 | 1,990 | 1,704 | 2,129 | S100TRCY, S100W8MT, S100YD8G |
| Total assets | 9,648 | 10,948 | 11,576 | 11,911 | 11,924 | S100R68C, S100TRCY, S100W8MT, S100YD8G |
| Net assets | 6,252 | 6,938 | 7,259 | 7,655 | 7,905 | S100TRCY, S100W8MT, S100YD8G |
| Share capital | 485 | 485 | 485 | 485 | 485 | S100R68C, S100TRCY, S100W8MT, S100YD8G |
| Property, plant and equipment | 1,431 | 3,019 | 3,795 | 3,652 | 3,530 | S100R68C, S100TRCY, S100W8MT, S100YD8G |
| Intangible assets excluding goodwill | 26 | 26 | 24 | 46 | 38 | S100R68C, S100TRCY, S100W8MT, S100YD8G |
| Investment securities | 92 | 122 | 174 | 201 | 253 | S100R68C, S100TRCY, S100W8MT, S100YD8G |
| Current assets | 7,752 | 7,403 | 7,182 | 7,610 | 7,706 | S100R68C, S100TRCY, S100W8MT, S100YD8G |
| Current liabilities | 2,677 | 2,766 | 2,903 | 3,022 | 2,741 | S100R68C, S100TRCY, S100W8MT, S100YD8G |
| Trade payables | 1,847 | 1,855 | 2,077 | 641 | — | S100R68C, S100TRCY, S100W8MT |
| Short-term borrowings | 130 | — | — | 500 | 1,000 | S100R68C, S100YD8G |
| Long-term borrowings | — | 595 | 785 | 684 | 584 | S100TRCY, S100W8MT, S100YD8G |
| Total liabilities | 3,395 | 4,010 | 4,316 | 4,256 | 4,018 | S100R68C, S100TRCY, S100W8MT, S100YD8G |
| Non-controlling interests | 39 | 48 | 58 | 56 | 63 | S100R68C, S100TRCY, S100W8MT, S100YD8G |
| Equity attributable to owners of parent | 6,211 | 6,850 | 7,116 | 7,434 | 7,734 | S100R68C, S100TRCY, S100W8MT, S100YD8G |
| Retained earnings | 5,371 | 6,011 | 6,277 | 6,595 | 6,893 | S100R68C, S100TRCY, S100W8MT, S100YD8G |
| Treasury stock | -40 | -40 | -41 | -41 | -39 | S100R68C, S100TRCY, S100W8MT, S100YD8G |

### Assets and funding mix

| Assets | Share | Source |
| --- | ---: | ---: |
| Cash | 18% | S100YD8G |
| Property, plant and equipment | 30% | S100YD8G |
| Intangibles and goodwill | 0% | S100YD8G |
| Investment securities | 2% | S100YD8G |
| Other assets | 50% | S100YD8G |

| Funding source | Share | Source |
| --- | ---: | ---: |
| Other liabilities | 34% | S100YD8G |
| Equity | 66% | S100YD8G |
| Other liabilities | 0% | S100YD8G |

### 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 | 9,648 | 10,948 | 11,576 | 11,911 | 11,924 |
| Equity | 6,252 | 6,938 | 7,259 | 7,655 | 7,905 |
| Interest-bearing debt | — | — | — | — | — |
| Cash | 2,856 | 2,472 | 1,990 | 1,704 | 2,129 |

## 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) | 32.3% | S100YD8G |
| Fixed assets ÷ total assets | 29.6% | S100YD8G |
| Goodwill ÷ parent equity | — | —, S100YD8G |

### 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) | 17.9% |
| Cash ÷ revenue | 19.5% |
| Net cash (cash − interest-bearing debt) | — |
| Net debt ÷ operating cash flow | — |
| Cash conversion (operating CF ÷ operating income) | 91.6% |
| Cash vs. profit gap | 78 JPY mn (of net income 17.0%) |
| Shareholder returns / net income | — |
| Shareholder returns / FCF | — |
| Shareholder payments — dividends / net income | 35.0% |
| Shareholder payments — dividends / FCF | 88.4% |
| CapEx intensity (capex ÷ revenue) | 3.2% |
| Investing CF relative to operating CF | 67.1% |

## 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 | 5.6% | 0.89× | 5.0% | 1.55× | 7.8% | S100R68C |
| 2023 | 7.2% | 0.94× | 6.8% | 1.58× | 10.7% | S100TRCY |
| 2024 | 4.0% | 0.85× | 3.4% | 1.61× | 5.4% | S100W8MT |
| 2025 | 4.4% | 0.90× | 4.0% | 1.61× | 6.4% | S100YD8G |
| 2026 | 4.2% | 0.92× | 3.8% | 1.57× | 6.0% | S100YD8G |

## Ownership

| Counterparty | Relation | Ratio | As of |
| --- | ---: | ---: | ---: |
| U H P a r t n e r s 2 投資事業有限責任組合 | Major shareholder | 9.9% | 2026-03-31 |
| 特殊電極従業員持株会 | Major shareholder | 7.7% | 2026-03-31 |
| 光通信K K 投資事業有限責任組合 | Major shareholder | 7.5% | 2026-03-31 |
| U H P a r t n e r s 3 投資事業有限責任組合 | Major shareholder | 7.0% | 2026-03-31 |
| 特殊電極取引先持株会 | Major shareholder | 2.4% | 2026-03-31 |
| 宮田 純子 | Major shareholder | 2.1% | 2026-03-31 |
| 坂西 啓至 | Major shareholder | 2.1% | 2026-03-31 |
| 大野 昌克 | Major shareholder | 2.1% | 2026-03-31 |
| 福田 博 | Major shareholder | 2.1% | 2026-03-31 |
| 株式会社みなと銀行 | Major shareholder | 1.9% | 2026-03-31 |
| 坂本 裕代 | Major shareholder | 1.9% | 2026-03-31 |
| 株式会社関西みらい銀行 | Major shareholder | 1.9% | 2026-03-31 |

## Sources

| Document | ID | Published | URL |
| --- | ---: | ---: | ---: |
| 有価証券報告書－第79期(2025/04/01－2026/03/31) | S100YD8G | 2026-06-18 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100YD8G,, |
| 有価証券報告書－第78期(2024/04/01－2025/03/31) | S100W8MT | 2025-06-30 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100W8MT,, |
| 有価証券報告書－第77期(2023/04/01－2024/03/31) | S100TRCY | 2024-06-26 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100TRCY,, |
| 有価証券報告書－第76期(2022/04/01－2023/03/31) | S100R68C | 2023-06-29 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100R68C,, |
| 有価証券報告書－第75期(令和3年4月1日－令和4年3月31日) | S100OFMO | 2022-06-27 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100OFMO,, |
| 有価証券報告書－第74期(令和2年4月1日－令和3年3月31日) | S100LRIY | 2021-06-28 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100LRIY,, |

## 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).