Expanding sales centered on water-resistant products and broadening applications for wood-based panels

「In addition to progress in revising selling prices, sales remained generally firm across the main building-material and flooring-base-material applications, including structural applications.」

「Regarding our performance for the fiscal year, excluding the expansion of structural applications, sales of our core building-material and flooring-base applications remained sluggish as new housing starts declined. On the production side, sales expansion for structural flooring applications progressed, increasing output on the thick-board production line.」

「Regarding our performance for the interim accounting period, although we made progress in acquiring new customers for structural applications, sales of our core building-material and flooring-base applications remained sluggish as new housing starts declined.」

「Although we acquired new customers, mainly for structural applications, net sales remained sluggish throughout the year. For both domestically produced and imported products, we adjusted inventories in line with sales.」

「Regarding our performance for the interim accounting period, we implemented production adjustments as sales of our core building-material, flooring-base and structural applications remained sluggish alongside the decline in new housing starts.」

「Regarding our performance for the fiscal year, sales of our core building-material and flooring-base applications and structural applications remained sluggish as new housing starts declined. Sales volume began to recover slightly in the third quarter, and we worked to maintain sales volume while maintaining selling prices.」

「Regarding our performance for the fiscal year, sales of our core building-material, flooring-base and structural applications remained sluggish as new housing starts declined. On the production side, we had no choice but to continue production adjustments from the beginning of the fiscal year. Meanwhile, in the third quarter, sales volume began to recover slightly while maintaining selling prices, and」

「Regarding our performance for the fiscal year, we implemented production adjustments as sales of our core building-material, flooring-base and structural applications remained sluggish alongside the declining trend in new housing starts.」

「Regarding our performance for the cumulative first quarter, we implemented production adjustments as sales of our core building-material, flooring-base and structural applications remained sluggish along with the stagnation in new housing starts.」

「Regarding our performance for the fiscal year, sales had remained strong through the second quarter for our core building-material, flooring-base and structural applications, including substitution demand for imported MDF. However, from the third quarter onward, our MDF sales volume became sluggish as new housing starts remained sluggish.」

「Regarding our performance for the cumulative third quarter, sales had remained strong through the second quarter for our core building-material and flooring-base applications and structural applications, including substitution demand for imported MDF. However, in the third quarter, new housing starts remained sluggish, and accordingly our MDF sales volume declined.」

「Regarding our performance for the cumulative second quarter, although domestic new housing starts remained sluggish, sales remained strong across structural applications as well as our core building-material and flooring-base applications, supported by substitution demand for imported MDF, whose supply had been constrained by vessel shortages and delayed shipments since the previous year.」

「Regarding our performance for the cumulative first quarter, sales remained strong across structural applications as well as our core building-material and flooring-base applications, supported by steady domestic new housing starts and substitution demand for imported MDF, whose supply had been constrained by vessel shortages and delayed shipments since the previous year.」

「In expanding sales of structural products, the range of applications has begun to broaden beyond walls to roof sheathing, subflooring and furring strips as a result of emphasizing quality, and sales volume continues to grow steadily.」

「Regarding the performance of our Group for the cumulative third quarter, against the backdrop of a recovery in domestic new housing starts, sales increased for our core building-material and flooring-base applications in addition to firm sales of structural products. Sales also increased as substitution demand for imported MDF, which was in short supply because of vessel shortages during the COVID-19 pandemic and factory shutdowns caused by local lockdowns, supported sales.」

「Regarding the performance of our Group for the cumulative second quarter, as domestic new housing starts recovered, sales increased for our core building-material and flooring-base applications in addition to firm sales of structural products.」

「Regarding the performance of our Group for the cumulative first quarter, sales increased for our core building-material and flooring-base applications in addition to firm structural applications. Furthermore, shipments of imported MDF have been delayed because of the shortage of container vessels during the COVID-19 pandemic and the sharp increase in US housing starts, resulting in increased sales volume due to substitution demand for domestic products and other factors.」

「Sales for structural applications increased by ¥264 million year on year as a result of emphasizing quality, and sales volume continues to grow steadily.」

「The housing industry, which has close ties to our business, had been showing signs of recovery as housing-related companies resumed sales activities after the lifting of the state of emergency, supported by extensions of government subsidies, tax reductions and other preferential measures for home purchases, as well as low mortgage rates. However, the environment surrounding the housing market remained sluggish because of the impact of the spread of COVID-19, with cumulative housing starts from April through November down 10.0% year on year.」

「Affected by the decline in new housing starts, sales volumes of our core products for building-material and flooring-base applications decreased. Sales volume of imported products, which are used mainly for furniture, also declined amid deteriorating market conditions.」

「Regarding our performance for the cumulative first quarter, on the production side, the cost of sales decreased year on year as lower crude oil prices reduced energy unit costs, raw-material unit costs declined as supply and demand eased, and the wood-chip foreign-material removal system, which began full-scale operation in April, delivered benefits, reducing raw-material costs and manufacturing expenses. However, affected by the decline in new housing starts, sales volumes of our core products for building-material and flooring-base applications decreased, while sales volume of imported MDF products, which are mainly used for furniture, also declined amid deteriorating market conditions. As a result, both net sales and profit fell below the previous year's levels.」

「Regarding our performance, the decline in new housing starts affected domestic MDF products. Sales volumes of building-material products and products for flooring-base applications struggled, and the increase in sales volume of structural products, on which we focused sales efforts against the backdrop of the official designation of structural MDF, was insufficient to offset the decline, resulting in an overall decrease in sales volume.」

「Regarding our performance, the decline in new housing starts affected domestic MDF products. Sales volumes of structural products increased, but building-material products and products for flooring-base applications struggled, resulting in an overall decrease in sales volume. For imported MDF products, sales volume of Indonesian products increased year on year because standard products previously manufactured domestically were shifted to imports to raise the proportion of water-resistant products manufactured domestically. Meanwhile, sales volume of New Zealand products decreased due to weakness in the furniture market. As a result, net sales decreased by 4.6%.」

「For the six months ended, domestic MDF sales volumes were slightly lower overall as structural product sales increased, while building-material and floor substrate applications struggled, amid a decline in housing starts. Imported MDF sales volumes from Indonesia increased year on year as commodity products produced domestically were shifted to imported products to raise the proportion of water-resistant products produced domestically. By contrast, sales volumes of New Zealand products declined due to sluggish demand in the furniture market. As a result, revenue declined 0.8%.」

「For the first quarter, domestic MDF sales volumes declined as the decline in housing starts reduced sales of building-material products, despite increases in structural and floor applications. For imported MDF products, sales volumes increased year on year as commodity products were shifted to Indonesian SPF products to raise the proportion of water-resistant products produced domestically, but sales volumes of New Zealand products declined amid sluggish demand in the furniture market. As a result, revenue declined 1.9%.」

「Floor substrates remained strong due to domestic sourcing of base panels, while sales volumes of structural products increased from the second half following the revision of the Building Standards Act in June of the previous year. Imported MDF sales volumes also increased 4.0% year on year as commodity products previously produced domestically were replaced with imports.」

「For the nine months ended, floor substrates remained strong as base panels were sourced domestically, while sales volumes of structural products increased from the second half following the revision of the Building Standards Act in June. Imported MDF sales volumes also increased 5.0% year on year as commodity products previously produced domestically were replaced with imports. However, the company was unable to fully offset weak sales in the first half and the impact of Typhoon No. 21, resulting in an overall 3.3% year-on-year decline in sales volume.」

「For the six months ended, floor substrates remained strong against the backdrop of solid housing starts and the shift to domestically sourced plywood, while the core building-material products began to recover in the latter half of the first six months. However, domestic MDF sales volumes declined year on year due to the significant impact of lower sales volumes from April to June, compounded by logistics disruptions caused by Typhoon No. 21. Imported MDF sales volumes increased year on year as port arrivals from Southeast Asia, which had been problematic the previous year, fully recovered, but this did not offset the decline in domestic product sales. As a result, revenue declined 1.3% year on year.」

「For the first quarter, despite strong housing starts, inventory adjustments by customers caused by the decline in housing starts from January to March reduced sales volumes of domestic MDF products for building materials, the core application. Sales volumes of imported MDF products from New Zealand for furniture applications declined as furniture imports increased, but overall volumes rose year on year as commodity products were shifted to Indonesian SPF products. As a result, the average selling price increased 1.8% year on year, but revenue declined 2.2%.」

「For the nine months ended, sales of domestically produced products for building materials and floor applications remained strong against the backdrop of solid housing starts, despite a year-on-year decline in housing starts. For imported products, volumes arriving at ports, an issue during the first six months, began to increase in the second half, and sales volumes recovered, but this was insufficient to offset the low sales volumes in the first half.」

「For the six months ended, sales of products primarily for building materials and floor substrate applications increased against the backdrop of solid housing starts. However, in addition to tight supply and demand for New Zealand products due to strong US housing starts, low operating rates at Southeast Asian plants caused by adverse weather reduced the volume of imported products arriving at ports, resulting in lower revenue.」

「For the first quarter, sales of products primarily for building materials and floor substrate applications increased against the backdrop of strong housing starts. However, in addition to tight supply and demand for New Zealand products due to strong US housing starts, low operating rates at Southeast Asian plants caused by adverse weather reduced the volume of imported products arriving at ports, resulting in lower revenue.」

「We will make achieving the four priority initiatives set out in the medium-term management plan launched in April 2017 a key management priority and will advance management strategies for the company's future. ① Strengthen the earnings base for water-resistant products: raise the water-resistant product sales and production ratio by 20% to achieve 90%. ② Strengthen energy conservation in production and sales processes and promote environmental contributions: promote the material use of wood flour. ③ Develop products that contribute to energy conservation in housing: develop new environmentally beneficial products. ④ Promote sales of structural MDF for use as residential wall panels: develop sales strategies that respond to changes in the sales environment.」

「For the period, against the backdrop of strong housing starts, sales of products primarily for building materials and floor substrate applications increased, resulting in higher revenue.」

「For the period, against the backdrop of strong housing starts, sales of products primarily for building materials and floor substrate applications increased, resulting in higher revenue.」

「Against the backdrop of strong housing starts, sales of products primarily for building materials and floor substrate applications increased, resulting in higher revenue.」

「Against this backdrop, on the sales front we will focus on expanding sales of floor substrates and structural applications by capitalizing on our strength in water-resistant products, increase the supply of environmentally considerate products sought by customers, and work to develop new applications in the wood-based panel market.」