Tsubaki Nakashima Co., Ltd. Market Research Report

Background

Company Overview

Tsubaki Nakashima Co., Ltd., established in 1934 as Toyo Steel Ball Seisakusho, is a specialized manufacturer of precision balls, rollers, ball screws, and blowers. The company serves various industries, including automotive, aerospace, medical, and industrial machinery. Headquartered in Katsuragi, Nara, Japan, Tsubaki Nakashima operates globally with manufacturing facilities in Japan, the United States, Italy, Poland, Slovakia, Bosnia, the United Kingdom, China, Thailand, and India.

Mission and Vision

Tsubaki Nakashima's mission is to "help the world to move by the power of precision," emphasizing its commitment to delivering high-quality precision components that drive innovation and efficiency across various sectors. The company's vision focuses on sustainable growth, technological advancement, and global expansion to meet the evolving needs of its customers.

Key Strategic Focus

Core Objectives

Product Diversification: Expanding the product portfolio to include precision ceramic balls, ball screws, and blowers to cater to a broader range of applications.

Global Expansion: Strengthening the global manufacturing and distribution network to enhance responsiveness and customer support.

Sustainability: Implementing environmentally responsible practices and aiming for a reduction in greenhouse gas emissions by 2030.

Areas of Specialization

Precision Components: Manufacturing a wide range of high-quality precision balls and rollers used in bearings and other critical applications.

Medical Devices: Producing medical and hygiene equipment, including solid plastic balls for diagnostic tests and devices.

Industrial Equipment: Designing and manufacturing large-scale blowers for various industrial applications.

Key Technologies Utilized

Ceramic Ball Production: Pioneering the mass production of ceramic balls, leveraging advanced manufacturing know-how and process technology.

Ball Screw Technology: Developing ball screws for industrial machinery, electric injection molding machines, semiconductor manufacturing equipment, and advanced medical equipment.

Primary Markets Targeted

Automotive Industry: Supplying precision components for vehicles, including electric vehicles.

Aerospace and Defense: Providing high-precision components for aircraft and defense equipment.

Medical Sector: Offering medical devices and components for diagnostic tests and devices.

Financials and Funding

Funding History

In 2011, The Carlyle Group acquired a 95.56% stake in Tsubaki Nakashima Co., Ltd., providing support for the company's medium-to-long-term growth.

Recent Financial Performance

Fiscal Year 2024: Reported sales of 75,921 million yen, a 1.5% decrease year-on-year. Operating profit declined by 83.8% to 814 million yen.

First Half of 2025: Sales decreased by 10.5% year-on-year to 36,055 million yen, with operating profit dropping by 63.5% to 791 million yen.

Capital Utilization

The capital raised has been utilized to expand manufacturing facilities, invest in research and development, and strengthen the global distribution network to meet customer demands effectively.

Pipeline Development

Key Pipeline Candidates

Precision Ceramic Balls: Expanding the production of ceramic balls for applications in electric vehicles, wind power generators, and semiconductor manufacturing equipment.

Medical Devices: Developing new medical and hygiene equipment, including solid plastic balls for diagnostic tests and devices.

Stages of Development

Precision Ceramic Balls: Ongoing mass production with plans to increase capacity to meet growing demand.

Medical Devices: Research and development phase, with new products expected to be introduced in the coming years.

Target Conditions and Timelines

Precision Ceramic Balls: Targeting the electric vehicle and renewable energy sectors, with increased production capacity anticipated by 2026.

Medical Devices: Focusing on diagnostic applications, with new product launches planned for 2027.

Technological Platform and Innovation

Proprietary Technologies

Grinding Machines: In-house developed machines to achieve precise sphericity in ball production.

Inspection Machines: Custom-designed equipment to ensure consistent product quality.

Significant Scientific Methods

Ceramic Ball Manufacturing: Utilizing advanced process technology for the mass production of ceramic balls.

Ball Screw Technology: Innovating in ball screw design for various industrial and medical applications.

Leadership Team

Executive Profiles

Itaru Matsuyama: Director, Representative Executive Officer, CEO. Oversees global operations and strategic direction.

Yoichi Ueda: Director, Executive Officer, CFO. Manages financial strategy and operations.

Anna Dolgikh: Director, Executive Officer, CHRO. Leads human resources and organizational development.

Keizo Tannawa: Independent Outside Director. Provides strategic guidance and oversight.

Noboru Yamamoto: Independent Outside Director. Contributes to corporate governance and strategic planning.

Tadatomo Kato: Independent Outside Director. Offers expertise in business development and market expansion.

Yuri Kato: Independent Outside Director. Advises on financial strategy and risk management.

Competitor Profile

Market Insights and Dynamics

The precision components market is experiencing growth driven by advancements in automotive technologies, renewable energy, and medical devices. Tsubaki Nakashima holds a significant position in the market, particularly in the precision ball and roller segments.

Competitor Analysis

SKF Group: A global leader in bearings and seals, competing in similar markets with a broad product portfolio.

NTN Corporation: Specializes in bearings and precision components, with a strong presence in the automotive sector.

NSK Ltd.: Offers a wide range of bearings and precision components, serving various industries.

Strategic Collaborations and Partnerships

Tsubaki Nakashima has established partnerships to enhance its product offerings and market reach, including collaborations in the medical device sector and joint ventures in Asia.

Operational Insights

The company leverages its global manufacturing network to provide responsive service and meet diverse customer needs, maintaining a competitive edge through quality and innovation.

Strategic Opportunities and Future Directions

Strategic Roadmap

Tsubaki Nakashima aims to focus on expanding its ceramic ball production, enhancing medical device offerings, and strengthening its presence in emerging markets. The company plans to invest in research and development to drive innovation and meet evolving customer demands.

Future Business Directions