DMG Mori Co Ltd
F:0MO
Decide at what price you'd be comfortable buying and we'll help you stay ready.
|
DMG Mori Co Ltd
F:0MO
|
JP |
DMG Mori Co Ltd
DMG Mori makes high-precision machine tools, especially CNC lathes, milling machines, and turn-mill centers used to cut and shape metal parts. It also sells automation systems, control software, and related services that help factories run these machines efficiently. In simple terms, it is a supplier to the manufacturing world: it builds the equipment that other companies use to make parts for cars, airplanes, medical devices, and industrial machinery. Its main customers are manufacturers that need accurate, repeatable machining for metal components. DMG Mori earns money by selling new machines, adding automation and software, and providing ongoing maintenance, parts, and technical support after the sale. That service side matters because machine tools are long-lived assets, and customers need help keeping them calibrated, upgraded, and productive. What makes DMG Mori's business different is that it sits at the center of factory production rather than selling a finished consumer product. Its machines are capital equipment, so customers buy them to improve precision, speed, and flexibility on the shop floor. The company also has a stronger recurring relationship with customers than a one-time equipment seller because its installed base needs service, spare parts, and upgrades over time.
DMG Mori makes high-precision machine tools, especially CNC lathes, milling machines, and turn-mill centers used to cut and shape metal parts. It also sells automation systems, control software, and related services that help factories run these machines efficiently. In simple terms, it is a supplier to the manufacturing world: it builds the equipment that other companies use to make parts for cars, airplanes, medical devices, and industrial machinery.
Its main customers are manufacturers that need accurate, repeatable machining for metal components. DMG Mori earns money by selling new machines, adding automation and software, and providing ongoing maintenance, parts, and technical support after the sale. That service side matters because machine tools are long-lived assets, and customers need help keeping them calibrated, upgraded, and productive.
What makes DMG Mori's business different is that it sits at the center of factory production rather than selling a finished consumer product. Its machines are capital equipment, so customers buy them to improve precision, speed, and flexibility on the shop floor. The company also has a stronger recurring relationship with customers than a one-time equipment seller because its installed base needs service, spare parts, and upgrades over time.
Order Intake Surge: DMG Mori reported order intake of JPY 340.3 billion for January–September 2021, up 65% year-on-year, and Q3 intake of JPY 122 billion, up 72% year-on-year.
Raised Guidance: Full-year forecasts for order intake, sales revenue, and profits were raised again, with 2021 order intake now expected at JPY 450 billion or more and sales revenue at JPY 380 billion.
Profitability Improvement: Operating profit rose to JPY 16.7 billion, with Q3 operating margin hitting 6.8%. Management aims for 10% or higher operating margin in the near future.
Strong Regional Demand: The U.S., Europe (except Germany), and Japan showed strong order growth, while China and Germany remained stable.
Cost & Supply Headwinds: Rising material and logistics costs, as well as longer delivery times for automation solutions, are noted as challenges for 2022 and 2023.
Focus on Digitization & Automation: DMG Mori is advancing automation, digital services, and sustainability, including carbon neutrality for Scope 1 and 2 in 2021 and aiming for Scope 3.
Dividend Increase: The annual dividend will rise to JPY 30 per share.
