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Earnings presentation3861Oji Holdings CorporationMaterials and Chemicals

Materials for the FY2026 second-quarter earnings briefing

The FY2026 operating profit forecast was lowered by ¥15 billion, from ¥60 billion to ¥45 billion. Meanwhile, the net income forecast of ¥35 billion and annual dividend of ¥36 were left unchanged, due to factors including the sale of shares held.

Worth reading
66In focus
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Mixed performance
Direction inferred from the company’s description.
Scale
150
¥10 billion (downward revision to operating profit forecast)
Wording
Conditional
How definitive the wording is.

Contents of this document

Earnings presentationFY2026 second quarter12 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥9,580 100 million+4.7%
Operating profit¥155 100 million-7.2%
Ordinary income¥115 100 million+30.7%
Net income¥117 100 million+7.3%
Full-year earnings forecast
Net Sales
¥19,600 100 million
Operating profit
¥450 100 million
Ordinary income
¥300 100 million
Net income for the current fiscal year
¥350 100 million
ROE
3.2 %
What the company explained in this material
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
  • Selling price variance+¥26 billion (Japan) / -¥0.5 billion (Overseas)
  • Volume variance-¥3.5 billion (Japan) / +¥2.5 billion (Overseas)
  • Raw material and fuel price differential-¥15 billion (Japan) / -¥1 billion (Overseas)
  • Cost variance and other factors-¥5.7 billion (Japan) / -¥4 billion (Overseas)
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
  • Second-half assumed exchange rates¥160 /US dollar
  • Australian thermal coal price145 US$/t
  • Dubai crude oil price113 US$/bbl
  • Recovered paperFlat at current price levels
New initiatives
  • Structural reform and divestment of low-profitability businesses, and consolidation of production sites
  • M&A, investments and applications development in the wood biomass-related business
  • Expansion of the sustainable products business and rollout of paper-based solutions
  • Sale of non-core assets, including idle land, and allocation of resources to growth businesses
Key KPIsA metric the company considers important as a management benchmark.
  • Exchange rate (period average, ¥/US$)¥159.5 /US$
    Year on year against the same period last year+13.5%
  • Number of consolidated subsidiaries214 companies
    Year on year against the same period last year-2.0%
  • Overseas revenue ratio41.3 %
  • Number of companies participating in Renewa30 companies
Unit price and quantity metricsThese figures show sales broken down by price and volume.
  • Thermal paper sales volume1,842 million m²
    Year on year against the same period last year-9.1%
  • Thermal paper selling price24.36 JPY/m²
    Year on year against the same period last year+8.1%
  • Pulp sales volume1,241 thousand tonnes
    Year on year against the same period last year+8.9%
  • Pulp selling price98.73 Yen/kg
    Year on year against the same period last year+14.6%
Segment results
Consumer and Industrial Materials
Net Sales
¥4,788 100 million
Operating profit
¥160 100 million
Year-on-year change in revenue
3.6 %
Year-on-year change in operating profit
207.7 %
Functional Materials
Net Sales
¥1,189 100 million
Operating profit
¥83 100 million
Year-on-year change in revenue
2.9 %
Year-on-year change in operating profit
53.7 %
Resources and Environment Business
Net Sales
¥2,070 100 million
Operating profit
¥7 100 million
Year-on-year change in revenue
8.4 %
Year-on-year change in operating profit
-86.8 %
Printing and Information Media
Net Sales
¥1,317 100 million
Operating profit
¥-16 100 million
Year-on-year change in revenue
-3.3 %
Year-on-year change in operating profit
-145.7 %
Medium-term management plan targets
Operating income for fiscal 2027
¥450 100 million
FY2027 net income
¥800 100 million
FY2027 ROE
8 %
Financial targets
ROE
Target value8
Target unit%
Actuals and outlook3.2
Results unit%
Risk amount incorporated into the outlookThe amount representing the range of variation the company expects in its forecast.
  • -¥23 billion
    DetailsImpact of the situation in the Middle East (domestic raw material and fuel prices)
  • -¥19 billion
    DetailsImpact of the situation in the Middle East (overseas raw material and fuel prices)
  • -¥6.6 billion
    DetailsForeign exchange movements (US dollar up 10%)
  • -¥2.9 billion
    DetailsDubai crude oil price up US$10/bbl
Annual Dividend
Annual
¥36 /share
Payout ratio
50 %
Acquisition of treasury shares
Buyback limitCumulative FY2026 target of ¥100 billion; cumulative FY2024–FY2027 target of ¥150 billion
PeriodFY2024–FY2027
Actual resultsAchieved the cumulative FY2026 target in the first half of FY2026
Contents of this document
ItemDetails
Document typeEarnings presentation
Fiscal Period CoveredFY2026 second quarter
Net Sales¥9,580 100 million (YoY +4.7%)
Operating profit¥155 100 million (YoY -7.2%)
Ordinary income¥115 100 million (YoY +30.7%)
Net income¥117 100 million (YoY +7.3%)
Full-year earnings forecastNet Sales ¥19,600 100 million / Operating profit ¥450 100 million / Ordinary income ¥300 100 million / Net income for the current fiscal year ¥350 100 million / ROE 3.2 %
Segment resultsConsumer and Industrial Materials Net Sales ¥4,788 100 million / Operating profit ¥160 100 million / Year-on-year change in revenue 3.6 % / Year-on-year change in operating profit 207.7 % / Functional Materials Net Sales ¥1,189 100 million / Operating profit ¥83 100 million / Year-on-year change in revenue 2.9 % / Year-on-year change in operating profit 53.7 % / Resources and Environment Business Net Sales ¥2,070 100 million / Operating profit ¥7 100 million / Year-on-year change in revenue 8.4 % / Year-on-year change in operating profit -86.8 % / Printing and Information Media Net Sales ¥1,317 100 million / Operating profit ¥-16 100 million / Year-on-year change in revenue -3.3 % / Year-on-year change in operating profit -145.7 %
Breakdown of Factors Affecting the ChangeFactors Selling price variance / Amount +¥26 billion (Japan) / -¥0.5 billion (Overseas), Factors Volume variance / Amount -¥3.5 billion (Japan) / +¥2.5 billion (Overseas), Factors Raw material and fuel price differential / Amount -¥15 billion (Japan) / -¥1 billion (Overseas), Factors Cost variance and other factors / Amount -¥5.7 billion (Japan) / -¥4 billion (Overseas)
Key KPIsIndicator name Exchange rate (period average, ¥/US$) / Value ¥159.5 /US$ / Year on year against the same period last year ¥13.5 /US$, Indicator name Number of consolidated subsidiaries / Value 214 companies / Year on year against the same period last year -2 companies, Indicator name Overseas revenue ratio / Value 41.3 % / Year on year against the same period last year Not disclosed, Indicator name Number of companies participating in Renewa / Value 30 companies / Year on year against the same period last year Not disclosed
Unit price and quantity metricsIndicator name Thermal paper sales volume / Value 1,842 million m² / Year on year against the same period last year -9.1 million m², Indicator name Thermal paper selling price / Value 24.36 JPY/m² / Year on year against the same period last year 8.1 JPY/m², Indicator name Pulp sales volume / Value 1,241 thousand tonnes / Year on year against the same period last year 8.9 thousand tonnes, Indicator name Pulp selling price / Value 98.73 Yen/kg / Year on year against the same period last year 14.6 Yen/kg
Assumptions Underlying the Business OutlookItem Second-half assumed exchange rates / Value ¥160 /US dollar, Item Australian thermal coal price / Value 145 US$/t, Item Dubai crude oil price / Value 113 US$/bbl, Item Recovered paper / Value Flat at current price levels
Risk amount incorporated into the outlookDetails Impact of the situation in the Middle East (domestic raw material and fuel prices) / Amount -¥23 billion, Details Impact of the situation in the Middle East (overseas raw material and fuel prices) / Amount -¥19 billion, Details Foreign exchange movements (US dollar up 10%) / Amount -¥6.6 billion, Details Dubai crude oil price up US$10/bbl / Amount -¥2.9 billion
Medium-term management plan targetsOperating income for fiscal 2027 ¥450 100 million / FY2027 net income ¥800 100 million / FY2027 ROE 8 %
Financial targetsROE Target value 8 / Target unit % / Actuals and outlook 3.2 / Results unit %
Annual DividendAnnual ¥36 /share / Interim Not disclosed / End of period Not disclosed
Payout ratio50 %
Acquisition of treasury sharesBuyback limit Cumulative FY2026 target of ¥100 billion; cumulative FY2024–FY2027 target of ¥150 billion / Period FY2024–FY2027 / Actual results Achieved the cumulative FY2026 target in the first half of FY2026
New initiativesStructural reform and divestment of low-profitability businesses, and consolidation of production sites, M&A, investments and applications development in the wood biomass-related business, Expansion of the sustainable products business and rollout of paper-based solutions, Sale of non-core assets, including idle land, and allocation of resources to growth businesses
Items this document does not state (12)
Gross Profit MarginOperating profit marginSelling, general and administrative expensesResults for the three months of the current quarterProgress against full-year forecastSelf-assessment against the planNumber of stores and locationsNumber of employeesCapital expendituresOrders received and order backlogMarket Size / ShareKey points of the Q&A

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

The operating profit forecast was revised downward because the impact of the situation in the Middle East is lasting longer than expected, raw material and fuel prices are rising, and the pulp market recovery is slowing. The company explained that the decline in net income would be reduced through factors including the sale of shares held.

How to read this page

This is not the documentKomori reads the disclosure the company filed and writes this summary. Figures are as stated by the company and are not audited.
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Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.
Materials for the FY2026 second-quarter earnings briefing | Oji Holdings Corporation (3861) timely disclosure | Komori