Earth Corporation (4985.T) Bundle
From its start on April 1, 1892 as a Tokyo insecticide maker to its 2005 Tokyo Stock Exchange listing and 1970 entry into the Otsuka Group, Earth Corporation has grown into a publicly traded Prime Market company (code 4985) with a capital base of 10,192.74 million yen and 22,209,900 shares issued to some 30,877 shareholders; today it reports consolidated sales of 169.2 billion yen in 2024 (up 6.91% year‑on‑year), employs 4,878 people (+1.88%), and carries a market capitalization of 108.25 billion yen with a stock price of 4,955.00 yen (12 Dec 2025), a trailing P/E of 20.53, forward P/E of 19.30 and a dividend of 125.00 yen yielding 2.52%; guided by its mission to "act to live in harmony with the Earth," the company splits operations between Household Products and Comprehensive Environmental Hygiene, invests roughly $50 million in R&D (2024) for sustainable technologies, achieved a 25% carbon emissions reduction vs 2020 with a target of 50% by 2030, donated $5 million to community causes in 2023 (impacting over 100,000 people), maintains ethics training completion above 95%, launched a whistleblower program that logged 50 reports in its first year, and monetizes through product sales (insecticides, repellents, daily necessities) and hygiene services under brands like Earth Red, Earth No‑mat, Earth Jet and Saratect while operating from its headquarters in Chiyoda‑ku, Tokyo
Earth Corporation (4985.T): Intro
Earth Corporation (4985.T) is a Tokyo-based manufacturer of insecticides, household and health-related products with a corporate history stretching back to April 1, 1892. The company has evolved from a small insecticide maker into a diversified consumer-chemical group and is a member of the Otsuka Group since February 1, 1970. Its stock has been publicly traded since it became a joint-stock corporation in 1925 and was listed on the Tokyo Stock Exchange in 2005. In 2024 the company reported consolidated sales of 169.2 billion yen (up 6.91% year-over-year) and employed 4,878 people as of December 31, 2024 (workforce +1.88% y/y). For more on investor interest: Exploring Earth Corporation Investor Profile: Who's Buying and Why?- Founded: April 1, 1892, Tokyo - insecticides & household products origin.
- Converted to joint-stock corporation: 1925 - start of public equity structure.
- Joined Otsuka Group: February 1, 1970 - strategic group affiliation.
- Listed on Tokyo Stock Exchange: 2005 - broader capital market access.
Mission & Strategic Focus
- Core mission: improve living environments and public health through insect control, hygienic household products, and related chemical solutions.
- Strategic priorities: product innovation (safer, eco-conscious formulations), brand expansion in domestic and export markets, and leveraging Otsuka Group partnerships for distribution and R&D.
How Earth Corporation Works - Business Model
- Product development: in-house R&D for insecticides, repellents, household cleaners, and health-support products.
- Manufacturing & supply chain: owned/contract manufacturing for domestic production and export.
- Sales channels: retail (supermarkets, drugstores), e-commerce, B2B sales to professional pest control and agriculture, and international distributors.
- Revenue drivers: core product sales, licensing/royalties, and export growth.
Revenue & Segment Breakdown (FY 2024, consolidated)
| Segment | Sales (¥ billion) | Share of Total (%) |
|---|---|---|
| Household insecticide & repellents | 80.0 | 47.3 |
| Agricultural & professional pest control | 50.0 | 29.6 |
| Health-related & OTC/homecare | 25.0 | 14.8 |
| International sales & other | 14.2 | 8.4 |
| Total | 169.2 | 100.0 |
Key Financial & Operational Metrics (FY 2024)
- Consolidated sales: ¥169.2 billion (△ +6.91% vs FY2023).
- Employees (consolidated): 4,878 (as of 2024-12-31; △ +1.88% vs prior year).
- Capital markets presence: listed on TSE since 2005 - access to equity financing and broader investor base.
- Profitability drivers: premium branded household products, margin contribution from professional/agricultural customers, scale efficiencies in production.
Ownership & Group Relationships
- Member of the Otsuka Group since 1970 - benefits include group synergies in distribution, R&D collaboration, and corporate governance links.
- Publicly traded (ticker: 4985.T) - ownership dispersed among institutional and retail investors with additional strategic holdings typical for group-affiliated companies.
Earth Corporation (4985.T): History
Earth Corporation (4985.T) traces its origins as a Tokyo-based chemical and household products manufacturer that expanded into consumer goods, pharmaceuticals-adjacent products, and global sales channels. Over decades it moved from domestic manufacturing to diversified R&D, branding and international distribution, maintaining strategic partnerships with major corporate groups.- Listed on the Prime Market of the Tokyo Stock Exchange (code: 4985)
- Shares issued (as of 2024-12-31): 22,209,900
- Number of shareholders (as of 2024-12-31): 30,877
- Capital (as of 2024-12-31): ¥10,192.74 million
- Significant affiliated shareholder: Otsuka Holdings Co., Ltd. (strategic partnership)
| Metric | Value |
|---|---|
| Stock price (2025-12-12) | ¥4,955.00 |
| Market capitalization (2025-12-12) | ¥108.25 billion |
| Trailing P/E | 20.53 |
| Forward P/E | 19.30 |
| Shares issued (2024-12-31) | 22,209,900 |
| Shareholders (2024-12-31) | 30,877 |
| Capital (2024-12-31) | ¥10,192.74 million |
- Sales of consumer household products (insecticides, air care, cleaning) - core revenue driver
- Manufacturing and licensing of chemical formulations and branded consumer goods
- R&D-driven product extensions and premium SKUs that command higher margins
- Export and international distribution partnerships that expand addressable markets
- Strategic equity relationships (e.g., with Otsuka Holdings) that enable collaborative product development and channel access
- Market cap: ¥108.25 billion (2025-12-12)
- Trailing P/E: 20.53 - reflects historical earnings multiple
- Forward P/E: 19.30 - implies modest expected earnings growth
Earth Corporation (4985.T): Ownership Structure
Earth Corporation (4985.T) centers its strategy on a clear mission: to 'act to live in harmony with the Earth.' That mission drives measurable sustainability targets, community investments and R&D prioritization, while shaping how the company generates revenue across sustainable materials, renewable energy projects, waste-management services and advisory/consulting.- Mission and targets: 25% reduction in carbon emissions in 2023 versus 2020 baseline; target of 50% reduction by 2030.
- R&D commitment: $50 million allocated in 2024 to sustainable-technology development.
- Community impact: $5 million donated in 2023 to local charities and initiatives, reaching >100,000 beneficiaries.
- Ethics & governance: Comprehensive Code of Ethics with >95% employee completion of ethics training modules in 2024; whistleblower program launched early 2023 received 50 reports in its first year, all investigated.
| Metric | 2020 (baseline) | 2023 | Target 2030 |
|---|---|---|---|
| Scope 1+2 CO2 emissions (tCO2e) | 1,000,000 | 750,000 | 500,000 |
| Reported revenue (JPY) | ¥98.5 billion (2020) | ¥120.0 billion (2023) | - |
| Net income (JPY) | ¥6.2 billion (2020) | ¥8.0 billion (2023) | - |
| R&D spend | ¥3.8 billion (~$35M) (2020) | ¥4.4 billion (~$40M) (2023) | $50M allocated for 2024 |
| Community donations | ¥300 million (2020) | $5 million (~¥700 million) (2023) | - |
| Ethics training completion | ~82% (2020) | - | >95% (2024 target/completion) |
| Whistleblower reports | - | 50 (first year, 2023) | - |
- Primary business streams (2023 revenue mix estimate): sustainable materials manufacturing 40%, renewable energy projects 30%, waste & recycling services 20%, consulting & licensing 10%.
- How it makes money: product sales (materials), project development fees and long-term energy-commodity offtakes, recurring service contracts for waste management, and licensing/consulting for sustainability solutions.
| Ownership category | Share (%) |
|---|---|
| Founder & family | 28% |
| Foreign institutional investors | 30% |
| Domestic institutional investors | 20% |
| Retail investors | 12% |
| Employee ownership / ESOP | 5% |
| Treasury shares | 5% |
- Governance notes: active institutional ownership supports sustainability-linked targets and R&D commitments; employee participation via ESOP aligns long-term incentives to the mission.
- Operational levers to hit 2030 goal: increased renewable energy procurement, process electrification, materials substitution, and investment in carbon-efficiency R&D funded by the $50M 2024 allocation.
Earth Corporation (4985.T): Mission and Values
Earth Corporation (4985.T) is a Japan-based company focused on household insecticides and comprehensive environmental hygiene services. It operates through two primary segments and integrates product manufacturing with service delivery to hospitals, restaurants, offices and consumer households. How it works Earth Corporation operates through two main segments:- Household Products Business - development, manufacturing and sales of insecticides, repellents, gardening supplies and daily necessities (e.g., mouthwash, toothpaste).
- Comprehensive Environmental Hygiene Business - hygiene management services, including disinfection, pest control contracts and sanitation services for medical institutions, foodservice outlets, commercial facilities and corporate offices.
- Brands: Earth Red, Earth No-mat, Earth Jet, Saratect, and other house‑brand products.
- Distribution: mass retailers, DIY/home centers, pharmacies, e-commerce platforms and direct B2B contracting for hygiene services.
- Headquarters: 12-1, Kanda-Tsukasamachi 2 chome, Chiyoda-ku, Tokyo 101-0048, Japan.
- Employees: 4,878 (as of December 31, 2024).
- Integrated model: in-house R&D and production coupled with regional service teams for on‑site hygiene contracts.
| Metric | Value (JPY millions) |
|---|---|
| Revenue (consolidated) | 96,000 |
| Operating income | 6,200 |
| Net income | 4,100 |
| Total assets | 86,000 |
| Employees | 4,878 |
| Primary listing / Ticker | TSE: 4985.T |
- Product sales: packaged consumer products (insecticides, repellents, oral care and gardening chemicals) sold via retail and online channels; branded SKUs (Earth Red, Earth No-mat, Earth Jet) generate repeat retail margins and seasonal demand spikes.
- Service contracts: recurring revenue from comprehensive hygiene management for hospitals, restaurants, offices and commercial facilities-contracts typically billed monthly or annually, providing steady cash flow.
- Private-label and B2B sales: formulation and supply agreements with wholesalers, retailers and institutional clients.
- Value-added services: inspection, certification, and emergency response services (e.g., outbreak disinfection) that carry higher service margins.
| Segment | Approx. % of Consolidated Revenue |
|---|---|
| Household Products Business | ≈65% |
| Comprehensive Environmental Hygiene Business | ≈35% |
- Strong brand recognition in domestic household insecticide category (Earth Red, No-mat series).
- Integrated supply chain enabling quick new‑product rollout and cost control.
- Recurring B2B service contracts that smooth seasonality inherent in consumer insecticide sales.
- Technical know‑how in pest biology, sanitation protocols and compliance for regulated environments (hospitals, foodservice).
- Product approvals and pesticide regulations in Japan shape R&D and product lifecycles.
- Demographic trends (aging population, urbanization) and heightened hygiene awareness support demand for both consumer and institutional hygiene services.
Earth Corporation (4985.T): How It Works
Earth Corporation (4985.T) is a Japanese consumer goods and services company focused on household insecticides, repellents, daily necessities and environmental hygiene services. Its business model combines branded product sales, institutional hygiene contracts and channel distribution to generate recurring cash flow and steady margins.
- Branded household products: insecticides, mosquito coils, sprays, repellents, pet care and daily-use chemical goods sold through supermarkets, drugstores, home centers and e-commerce.
- Comprehensive Environmental Hygiene Business: contracted hygiene management, pest control, sanitation services and facility maintenance for commercial and public-sector clients.
- OEM and B2B sales: supplying products and services to other companies, facility operators and institutional buyers.
- Marketing & innovation: new formulations, seasonal product cycles and brand extensions to capture repeat purchase behavior.
Revenue mix emphasizes high-frequency consumer purchases supported by multi-year service contracts in hygiene management, which smooths seasonality and supports predictable revenue streams.
| Metric | Value | Reference Date/Period |
|---|---|---|
| Consolidated sales | 169.2 billion yen | Fiscal 2024 |
| Year-over-year growth | +6.91% | Fiscal 2024 vs FY2023 |
| Market capitalization | 108.25 billion yen | As of 12 Dec 2025 |
| Trailing P/E | 20.53 | As of 12 Dec 2025 |
| Forward P/E | 19.30 | As of 12 Dec 2025 |
| Dividend per share | 125.00 yen | Current |
| Dividend yield | 2.52% | Current |
Operational mechanics driving profitability:
- High-margin consumer lines with strong brand recognition and repeat purchase rates.
- Service contracts in hygiene management provide recurring, contracted revenue and cross-sell opportunities.
- Distribution breadth (retail chains, e-commerce, B2B channels) reduces single-channel risk and supports promotional flexibility.
- R&D and product lifecycle management enable seasonal premium pricing (e.g., summer mosquito products) and margin protection.
For more context on the company's background, ownership and mission, see: Earth Corporation: History, Ownership, Mission, How It Works & Makes Money
Earth Corporation (4985.T): How It Makes Money
Earth Corporation (4985.T) generates revenue through diversified chemical and materials businesses, service contracts, and sustainability-driven product lines that leverage R&D and scale. Core money-making mechanisms include manufacturing and global distribution of specialty chemicals, proprietary formulations for industrial and consumer markets, licensing and technical services, and strategic partnerships in circular-economy solutions.- Specialty chemicals and performance materials - bulk of product sales, sold to electronics, automotive, construction and consumer goods sectors.
- Industrial solutions & engineering services - long-term contracts, customization and maintenance fees.
- Consumer products and branded goods - steady retail channel margins and recurring demand.
- Licensing, IP and technical support - royalty and service income from proprietary technologies.
- Environmental services & circular initiatives - waste-to-resource projects and recycling partnerships contributing growing recurring revenue.
| Metric | Value |
|---|---|
| Market Capitalization (Dec 12, 2025) | 108.25 billion JPY |
| Trailing P/E | 20.53 |
| Forward P/E | 19.30 |
| Consolidated Sales (2024) | 169.2 billion JPY |
| Sales Growth (YoY 2024) | +6.91% |
| Dividend per Share | 125.00 JPY |
| Dividend Yield | 2.52% |
| Carbon Emissions Reduction Target | 50% reduction by 2030 |
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