Komori
Presentation materials for financial results8075Shinsho CorporationTrading & Wholesale

FY2025 Financial Results and FY2026 Business Plan Presentation

FY2025 saw lower revenue and profit due to reduced sales volumes of steel plates for construction and falling steel prices. For FY2026, based on an expansion in demand for machinery and equipment and a recovery in the business environment, the company plans higher revenue and profit and an annual dividend of ¥130.

Worth reading
79Important
Scored from 5 of 6 sections
Direction
Mixed performance
Direction inferred from the company’s description.
Scale
5
¥100 million (year-on-year change in ordinary profit for FY2026)
Wording
Conditional
How definitive the wording is.

Contents of this document

Presentation materials for financial resultsFY2025 results and FY2026 plan12 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales6,081 Hundreds of millions of yen-1.5%
Operating profit116 Hundreds of millions of yen-12.5%
Ordinary income110 Hundreds of millions of yen-6.3%
Net income¥83 100 million -3.2%net income attributable to owners of the parent
Selling, general and administrative expenses279 Hundreds of millions of yen
Full-year earnings forecast
Net Sales
6,860 Hundreds of millions of yen
Operating profit
121 Hundreds of millions of yen
Ordinary income
115 Hundreds of millions of yen
Net income
¥90 100 million net income attributable to owners of the parent
ROE
9 %
ROIC
5.9 %
Equity ratio
26 %
Annual Dividend
¥130
What the company explained in this material
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
  • Price−¥0.2 billion
  • Number of versions−¥1.2 billion
  • Machinery and equipment+¥100 million
  • Maintenance and services+¥400 million
  • Selling, general and administrative expenses−¥0.5 billion
  • Non-operating income and expenses+¥2.1 billion
  • Affiliates–¥1.5 billion
  • Other¥0
  • Absence of gain on negative goodwill–¥1.1 billion
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
Exchange rateUSD 1 = ¥145
Foreign exchange sensitivity±¥40 million per ¥1 change in the exchange rate
Production volume of Japanese automakersFlat year on year
Steel pricesExpected to rise toward the second half of the fiscal year
Aluminum and copper ingot pricesExpected to remain high in FY2026
Semiconductor equipment-relatedRecovery
Biomass fuel volumesExpected to increase as customers' operations recover
New initiatives
  • Domestic aluminum resource-circulation business
  • Manufacturing business for coal-substitute fuel (black pellets)
  • Advanced sorting and closed-loop recycling of aluminum and sash scrap
  • Loans, investments and business investments in growth fields
  • Core system renewal project
Key KPIsA metric the company considers important as a management benchmark.
  • ROE8.7 %
    Year on year against the same period last year–1.0 percentage points
  • ROIC5.1 %
    Year on year against the same period last year–1.0 percentage points
  • Equity ratio25.8 %
    Year on year against the same period last year+2.2 percentage points
  • D/E ratio0.5 times
    Year on year against the same period last year–0.1x
  • External interest-bearing debt534 Hundreds of millions of yen
    Year on year against the same period last year–¥7.9 billion
  • Cross-shareholdings as a percentage of consolidated net assets18.2 %
    Year on year against the same period last year-0.1 percentage points
Segment results
Iron and Steel
Ordinary income
47 Hundreds of millions of yen
Year on year against the same period last year-9.0%
Aluminum and Copper
Ordinary income
28 Hundreds of millions of yen
Year on year against the same period last year-3.0%
Raw materials
Ordinary income
-1 Hundreds of millions of yen
Year on year against the same period last year-3.0%
Machinery
Ordinary income
31 Hundreds of millions of yen
Year on year against the same period last year+8.0%
Welding
Ordinary income
6 Hundreds of millions of yen
Year on year against the same period last year-1.0%
Medium-term management plan targets
Consolidated ordinary income¥14.5 billion (FY2026)
ROE10.0% or higher (FY2026)
ROIC6.5% (FY2026)
Equity ratio21% or higher (FY2026)
Debt-to-equity ratioGuideline of 0.7x or lower (FY2026)
Financial targets
ROE
TargetAt least 10.0%
Actual results8.7%
ROIC
Target6.5%
Actual results5.1%
Equity ratio
Target21% or higher
Actual results25.8%
Debt-to-equity ratio
TargetGuideline of 0.7x or lower
Actual results0.5x
Number of stores and locations
Number at period-end77 locations (as of 31 March 2025)
Number of employees
Number of Employees1,518 (consolidated), 526 (non-consolidated)
Capital expenditures
¥73 100 million business investments planned for FY2026
Annual Dividend
Annual
¥106 100 FY2025 actual) / ¥130 (FY2026 forecast
Interim¥53 (FY2025 actual), ¥65 (FY2026 forecast)
End of period¥53 (FY2025 actual), ¥65 (FY2026 forecast)
Payout ratio
A consolidated payout ratio of 30% or higher or a dividend of ¥100 per share, whichever is higher. FY2025 actual: 33.8%; FY2026 forecast: 38.2%.
Contents of this document
ItemDetails
Document typePresentation materials for financial results
Fiscal Period CoveredFY2025 results and FY2026 plan
Net Sales6,081 Hundreds of millions of yen (YoY -1.5%)
Operating profit116 Hundreds of millions of yen (YoY -12.5%)
Ordinary income110 Hundreds of millions of yen (YoY -6.3%)
Net income¥83 100 million (net income attributable to owners of the parent) (YoY -3.2%)
Selling, general and administrative expenses279 Hundreds of millions of yen
Full-year earnings forecastNet Sales 6,860 Hundreds of millions of yen / Operating profit 121 Hundreds of millions of yen / Ordinary income 115 Hundreds of millions of yen / Net income ¥90 100 million (net income attributable to owners of the parent) / ROE 9 % / ROIC 5.9 % / Equity ratio 26 % / Annual Dividend ¥130
Segment resultsIron and Steel Ordinary income 47 Hundreds of millions of yen / Year on year against the same period last year -9 / Aluminum and Copper Ordinary income 28 Hundreds of millions of yen / Year on year against the same period last year -3 / Raw materials Ordinary income -1 Hundreds of millions of yen / Year on year against the same period last year -3 / Machinery Ordinary income 31 Hundreds of millions of yen / Year on year against the same period last year 8 / Welding Ordinary income 6 Hundreds of millions of yen / Year on year against the same period last year -1
Breakdown of Factors Affecting the ChangeFactors Price / Amount −¥0.2 billion, Factors Number of versions / Amount −¥1.2 billion, Factors Machinery and equipment / Amount +¥100 million, Factors Maintenance and services / Amount +¥400 million, Factors Selling, general and administrative expenses / Amount −¥0.5 billion, Factors Non-operating income and expenses / Amount +¥2.1 billion, Factors Affiliates / Amount –¥1.5 billion, Factors Other / Amount ¥0, Factors Absence of gain on negative goodwill / Amount –¥1.1 billion
Key KPIsIndicator name ROE / Value 8.7 % / Year on year against the same period last year –1.0 percentage points, Indicator name ROIC / Value 5.1 % / Year on year against the same period last year –1.0 percentage points, Indicator name Equity ratio / Value 25.8 % / Year on year against the same period last year +2.2 percentage points, Indicator name D/E ratio / Value 0.5 times / Year on year against the same period last year –0.1x, Indicator name External interest-bearing debt / Value 534 Hundreds of millions of yen / Year on year against the same period last year –¥7.9 billion, Indicator name Cross-shareholdings as a percentage of consolidated net assets / Value 18.2 % / Year on year against the same period last year -0.1 percentage points
Number of stores and locationsNumber at period-end 77 locations (as of 31 March 2025) / Number of store openings and closures during the period Not disclosed
Number of employeesNumber of Employees 1,518 (consolidated), 526 (non-consolidated) / Changes during the period and hiring plan Not disclosed
Assumptions Underlying the Business OutlookExchange rate USD 1 = ¥145 / Foreign exchange sensitivity ±¥40 million per ¥1 change in the exchange rate / Production volume of Japanese automakers Flat year on year / Steel prices Expected to rise toward the second half of the fiscal year / Aluminum and copper ingot prices Expected to remain high in FY2026 / Semiconductor equipment-related Recovery / Biomass fuel volumes Expected to increase as customers' operations recover
Medium-term management plan targetsConsolidated ordinary income ¥14.5 billion (FY2026) / ROE 10.0% or higher (FY2026) / ROIC 6.5% (FY2026) / Equity ratio 21% or higher (FY2026) / Debt-to-equity ratio Guideline of 0.7x or lower (FY2026)
Financial targetsROE Target At least 10.0% / Actual results 8.7% / ROIC Target 6.5% / Actual results 5.1% / Equity ratio Target 21% or higher / Actual results 25.8% / Debt-to-equity ratio Target Guideline of 0.7x or lower / Actual results 0.5x
Annual DividendAnnual ¥106 100 (FY2025 actual) / ¥130 (FY2026 forecast) / Interim ¥53 (FY2025 actual), ¥65 (FY2026 forecast) / End of period ¥53 (FY2025 actual), ¥65 (FY2026 forecast)
Payout ratioA consolidated payout ratio of 30% or higher or a dividend of ¥100 per share, whichever is higher. FY2025 actual: 33.8%; FY2026 forecast: 38.2%.
Capital expenditures¥73 100 million (business investments planned for FY2026)
New initiativesDomestic aluminum resource-circulation business, Manufacturing business for coal-substitute fuel (black pellets), Advanced sorting and closed-loop recycling of aluminum and sash scrap, Loans, investments and business investments in growth fields, Core system renewal project
Items this document does not state (11)
Gross Profit MarginOperating profit marginResults for the three months of the current quarterProgress against full-year forecastSelf-assessment against the planUnit price and quantity metricsRisk amount incorporated into the outlookAcquisition of treasury sharesOrders 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.

In FY2025, reduced sales volumes of steel plates for construction, falling steel prices, and delays in the start of operations at the biomass power plant and Australian coal mine were factors behind the decline in profit. For FY2026, the company expects strong demand for machinery and equipment related to carbon neutrality, higher steel prices, a recovery in semiconductor equipment-related business, and a recovery in operations at the biomass power plant and Australian coal mine.

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.
FY2025 Financial Results and FY2026 Business Plan Presentation | Shinsho Corporation (8075) timely disclosure | Komori