Worth reading
62In focus
0–100. This measures how worthwhile something is to read, not how good or bad the company is.Direction
Deterioration
Direction inferred from the company’s description.Scale
-324
¥ millions (year-on-year change in operating income)Wording
Conditional
How definitive the wording is.Contents of this document
Supplementary materials to the earnings reportSecond quarter of the fiscal year ending October 2026 (interim period)7 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥5,578 million-17.2%
Operating profit¥61 million-84.2%
Ordinary income¥54 million-85.5%
Net income¥17 million-92.9%
Operating profit margin1.1 %
Selling, general and administrative expenses¥897 million
Results for the three months of the current quarter
Net Sales
¥3,187 million
Operating profit
¥112 million
Ordinary income
¥109 million
Interim net income attributable to owners of the parent
¥66 million
Full-year earnings forecast
Net Sales
¥13,088 million
Operating profit
¥550 million
Ordinary income
¥524 million
Profit attributable to owners of the parent
¥354 million
Progress against full-year forecast 通期の予想に対して、いまどこまで進んだかの割合です。
Net Sales42.6%
Operating profit11.1%
Ordinary income10.5%
Profit attributable to owners of the parent4.8%
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
Sales in the House & Eco Business fell substantially short of planBreakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
Net Sales
Sales of timber products and other items-90
Sales of timber products58
House & Eco properties sold-768
House & Eco lease properties-382
Other25
Operating profit
Lower product shipment volume-20
Higher selling prices60
Higher log prices-27
Lower yield rate-23
Higher manufacturing costs-58
Other (Timber)5
Margin decline-11
Revenue Decline-205
Increase in SG&A expenses-44
Other-1
New initiatives
- Stronger sales efforts in the heavy-gauge steel sector
- Consultative sales aimed at deepening penetration in existing areas and expanding into adjacent areas for light-gauge and heavy-gauge steel
- Accelerating the development of young employees into productive members of the workforce
Key KPIsA metric the company considers important as a management benchmark.
- Volume of logs processed-5 % year on yearYear on year against the same period last year-5.0%
- Sales volume of commercial materials3.4 % year on yearYear on year against the same period last year+3.4%
- Shipment volume of in-house-produced lumber products-5.5 % year on yearYear on year against the same period last year-5.5%
- Number of attendees1.5 % year on yearYear on year against the same period last year+1.5%
- House & Eco Business order backlog¥3,823 millionYear on year against the same period last year+190.5%
Unit price and quantity metricsThese figures show sales broken down by price and volume.
- Volume of logs processed-5 % year on year
- Sales volume of commercial materials3.4 % year on year
- Shipment volume of in-house-produced lumber products-5.5 % year on year
Segment results
Timber Business
Net Sales
¥3,722 million-0.8%
Operating profit
¥113 million-35.8%
House & Eco Business
Net Sales
¥1,471 million-43.9%
Operating profit
¥-9 million
Solar Power Sales Business
Net Sales
¥195 million+7.0%
Operating profit
¥127 million+17.8%
Life Create Business
Net Sales
¥189 million+6.4%
Operating profit
¥12 million-3.1%
Orders received and order backlog
Orders received
¥2,515 million
Order backlog
¥3,823 million
Year on year against the same period last year+190.5%
| Item | Details |
|---|---|
| Document type | Supplementary materials to the earnings report |
| Fiscal Period Covered | Second quarter of the fiscal year ending October 2026 (interim period) |
| Net Sales | ¥5,578 million (YoY -17.2%) |
| Operating profit | ¥61 million (YoY -84.2%) |
| Ordinary income | ¥54 million (YoY -85.5%) |
| Net income | ¥17 million (YoY -92.9%) |
| Operating profit margin | 1.1 % |
| Selling, general and administrative expenses | ¥897 million |
| Results for the three months of the current quarter | Net Sales ¥3,187 million / Operating profit ¥112 million / Ordinary income ¥109 million / Interim net income attributable to owners of the parent ¥66 million |
| Full-year earnings forecast | Net Sales ¥13,088 million / Operating profit ¥550 million / Ordinary income ¥524 million / Profit attributable to owners of the parent ¥354 million |
| Progress against full-year forecast | Net Sales 42.6% / Operating profit 11.1% / Ordinary income 10.5% / Profit attributable to owners of the parent 4.8% |
| Self-assessment against the plan | Sales in the House & Eco Business fell substantially short of plan |
| Segment results | Timber Business Net Sales ¥3,722 million (YoY -0.8%) / Operating profit ¥113 million (YoY -35.8%) / House & Eco Business Net Sales ¥1,471 million (YoY -43.9%) / Operating profit ¥-9 million / Solar Power Sales Business Net Sales ¥195 million (YoY +7.0%) / Operating profit ¥127 million (YoY +17.8%) / Life Create Business Net Sales ¥189 million (YoY +6.4%) / Operating profit ¥12 million (YoY -3.1%) |
| Breakdown of Factors Affecting the Change | Net Sales Sales of timber products and other items -90 / Sales of timber products 58 / House & Eco properties sold -768 / House & Eco lease properties -382 / Other 25 / Operating profit Lower product shipment volume -20 / Higher selling prices 60 / Higher log prices -27 / Lower yield rate -23 / Higher manufacturing costs -58 / Other (Timber) 5 / Margin decline -11 / Revenue Decline -205 / Increase in SG&A expenses -44 / Other -1 |
| Key KPIs | Indicator name Volume of logs processed / Value -5 % year on year / Year on year against the same period last year -5 % year on year, Indicator name Sales volume of commercial materials / Value 3.4 % year on year / Year on year against the same period last year 3.4 % year on year, Indicator name Shipment volume of in-house-produced lumber products / Value -5.5 % year on year / Year on year against the same period last year -5.5 % year on year, Indicator name Number of attendees / Value 1.5 % year on year / Year on year against the same period last year 1.5 % year on year, Indicator name House & Eco Business order backlog / Value ¥3,823 million / Year on year against the same period last year ¥190.5 million |
| Unit price and quantity metrics | Indicator name Volume of logs processed / Value -5 % year on year, Indicator name Sales volume of commercial materials / Value 3.4 % year on year, Indicator name Shipment volume of in-house-produced lumber products / Value -5.5 % year on year |
| Orders received and order backlog | Orders received ¥2,515 million / Order backlog ¥3,823 million |
| New initiatives | Stronger sales efforts in the heavy-gauge steel sector, Consultative sales aimed at deepening penetration in existing areas and expanding into adjacent areas for light-gauge and heavy-gauge steel, Accelerating the development of young employees into productive members of the workforce |
Items this document does not state (13)
Gross Profit MarginNumber of stores and locationsNumber of employeesAssumptions Underlying the Business OutlookRisk amount incorporated into the outlookMedium-term management plan targetsFinancial targetsAnnual DividendPayout ratioAcquisition of treasury sharesCapital expendituresMarket 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.In the House & Eco Business, sales were substantially below plan because large projects were lost or postponed and construction starts were delayed. In the Timber Business, manufacturing costs per unit increased as the volume of logs processed and the number of operating days at the plant declined. Across the company, selling, general and administrative expenses increased due to higher headcount, base-pay increases and PC replacements.
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.
Weight is not a verdictIt measures how much this changes what the company had already told the market. It is not a view on the shares.
Corrections happenIf the company reissues this disclosure, the page is rebuilt from the corrected version and the revision number moves up.