Nikkei 225 · Auto parts · Toyota-group, SiC in-housing
Denso
Denso is a Toyota-group global auto-parts supplier ranked among the world's largest, with FY2025 (year ended March 31, 2025) consolidated revenue of about 7,161.8 billion yen. Roughly half of revenue comes from the Toyota Group, and the business spans five segments: Thermal, Powertrain, Mobility Electronics, Electrification, and Advanced Devices. To handle the shift to electrification it develops its own SiC power semiconductors, plans to invest 500 billion yen in chips by 2030, and is vertically integrating automotive-chip supply through equity stakes in TSMC's Kumamoto fab (JASM) and Coherent's SiC business.
6902.T Updated Jul 12, 2026 3 AI consumers
Per the valuechain.wiki graph, Denso is directly linked to 2 companies (0 supply, 2 revenue relationships) and reaches 2 companies within two hops; the links are backed by 11 dated sources, 2 of them primary filings (as of 2026-07-12).
Financials & Segments
- Total revenue · JPY 7,540.0bn (FY2026, ended Mar 2026, +5.3%), operating profit JPY 552.5bn
- Segments · Thermal Systems · Mobility Electronics · Powertrain Systems · Electrification Systems · Advanced Devices (incl. automotive semiconductors)
Revenue from
- Toyota High confidence· Market share 50 percent
Toyota Group is Denso's largest customer at about 50% of revenue and also a roughly 24% shareholder. Denso supplies electrification parts such as inverters and SiC power semiconductors plus thermal and safety systems; its electrification products were adopted for Toyota's new bZ4X.Confirms EN DENSO Published Apr 28, 2026: DENSO FY2026 (ended Mar 2026) results — revenue JPY 7,540.0bn (+5.3%), operating profit JPY 552.5bnMentions EN TipRanks Published Apr 28, 2026: DENSO lifts dividend as FY2026 profit rises; softer FY2027 outlook (analyst)Mentions EN Denso Published Oct 10, 2025: Denso's electrification products adopted for Toyota's new bZ4X - 비토요타 글로벌 완성차 (혼다·포드·GM·스텔란티스 등) Medium confidence
The other half of revenue comes from non-Toyota automakers. Denso supplies thermal (air-conditioning), mobility-electronics and powertrain parts to major Japanese, US and European OEMs including Honda, Ford, GM and Stellantis. By region, sales split roughly Japan 47%, North America 19%, other Asia 24%, Europe 9%. - Mazda Motor Medium confidence
Component supply to Mazda, incl. the Toyota–Mazda–Denso EV C.A. Spirit joint EV architecture venture (2017–).Mentions EN Automotive News Published Sep 28, 2017: Toyota to partner with Mazda, Denso for EV venture (EV C.A. Spirit)
Pays to
- Coherent Silicon Carbide LLC (SiC 웨이퍼) High confidence
Denso procures SiC wafers, the core material for SiC power semiconductors used in electrification inverters, from Coherent's SiC subsidiary (Silicon Carbide LLC) under a long-term supply arrangement covering 150mm and 200mm wafers. Denso also took a $500 million minority stake in that business.Confirms EN Coherent / GlobeNewswire Published Dec 4, 2023: Coherent's SiC Business Completes $1 Billion Investment From DENSO and Mitsubishi Electric - 차량용 반도체·파운드리 조달 (ROHM·르네사스·TSMC 등) Medium confidence
Until it in-houses SiC, Denso sources automotive chips such as microcontrollers and power semiconductors from ROHM and Renesas, and relies on foundries including TSMC Kumamoto (JASM). The 2021-2022 automotive-chip shortage that forced Toyota production cuts made supply security a strategic priority.Mentions EN Nikkei Asia Published May 1, 2025: Toyota supplier Denso to invest $3.3bn in chip businessMentions KO Sisa Journal e Published Oct 27, 2023: Toyota's Denso to invest 4.5 trillion won in semiconductors
Investments
- JASM (TSMC 구마모토 합작, 소수 공동투자) High confidence· Amount $3.3B · 2030년까지 자체 반도체 투자
Denso co-invests as a minority partner with Sony and Toyota in TSMC's Kumamoto fab (JASM) to secure automotive-chip supply. Separately it plans to invest 500 billion yen (about $3.3 billion) in its own semiconductor business by 2030 and triple that business by 2035.Confirms EN Nikkei Asia Published May 1, 2025: Toyota supplier Denso to invest $3.3bn in chip businessConfirms EN Power Semiconductors Weekly Published Oct 26, 2023: DENSO to Invest 500 billion yen by 2030 - Coherent Silicon Carbide LLC (SiC 소수지분) High confidence· Amount $500M
Denso invested $500 million for a 12.5% minority stake in Coherent's SiC subsidiary Silicon Carbide LLC (closed December 2023). Mitsubishi Electric invested $500 million on the same terms, for $1 billion total. The stake secures long-term SiC wafer supply.Confirms EN Coherent / GlobeNewswire Published Dec 4, 2023: Coherent's SiC Business Completes $1 Billion Investment From DENSO and Mitsubishi Electric - ROHM (SiC 파워반도체, 인수 제안 검토) Low confidence· Amount ¥1.3T
In March 2026, reports emerged that Denso had proposed to acquire ROHM, a leader in SiC automotive power semiconductors, for about 1.3 trillion yen. If completed it would complete the Toyota Group's semiconductor vertical integration, but it remains a proposal and is not confirmed.Mentions KO Global Economic Published Mar 7, 2026: Denso pursues ROHM acquisition to complete Toyota EV supply-chain vertical integration
Value-chain ripple (2 tiers)
Following node-to-node links up to 2 tiers; each firm is shown once, at its nearest tier.
| Company | Chain | '21 | '22 | '23 | '24 | '25 | YTD |
|---|---|---|---|---|---|---|---|
| Mazda Motor | lead2 | +18.8 | +22.8 | +81.1 | -39 | +17.3 | -3.2 |
| Toyota Motor Corporation | lead1 | +58.1 | -13.4 | +63 | +1.8 | +21.8 | -18.2 |
| Denso | node | +49 | -16 | +37.4 | -5.5 | +2.4 | -8.1 |
YTD as of 2026-07-10 · source: Yahoo Finance
The thesis is a top-tier global auto-parts maker defending the electrification shift through SiC-semiconductor vertical integration. On FY2025 revenue of ~¥7.16T, a stable captive base — Toyota Group at ~50% of revenue and ~24% ownership — supports a mix shift toward EVs via Thermal (its largest segment) and Electrification (+22%, SiC inverters), with the other half from global OEMs like Honda, Ford, GM and Stellantis. The 2021-22 auto-chip shortage that forced Toyota production cuts made supply security strategic, so it in-houses SiC power semiconductors via JASM (TSMC Kumamoto) co-investment, a 12.5% stake in Coherent's SiC subsidiary ($500M, $500M each with Mitsubishi Electric), ¥500B of chip investment by 2030, and a (unconfirmed) ~¥1.3T proposal to acquire ROHM. Risks are linkage to Toyota/global vehicle-production cycles and uncertain payback on the large semiconductor investment.
Analysis generated from returns as of 2026-07-10