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Earnings presentation8075Shinsho CorporationTrading & Wholesale

Financial Results Presentation for the Second Quarter of Fiscal 2026

Revenue, operating profit, ordinary profit, and net income reached record highs in the first half. The company raised its full-year ordinary profit forecast from ¥12.5 billion to ¥14.0 billion and its annual dividend forecast from ¥138 to ¥140.

Worth reading
82Important
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Improvement
Direction inferred from the company’s description.
Scale
15
¥100 million (increase in full-year ordinary profit forecast)
Wording
Conditional
How definitive the wording is.

Contents of this document

Earnings presentationFY2026 second quarter10 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥3,526 100 million+21.0%
Operating profit¥83 100 million+57.0%
Ordinary income¥79 100 million+36.0%
Net income¥69 100 million +70.0%interim net income attributable to owners of the parent
Selling, general and administrative expenses¥141 100 million
Full-year earnings forecast
Net Sales
¥7,060 100 million
Operating profit
¥148 100 million
Ordinary income
¥140 100 million
Net income
¥100 100 million net income attributable to owners of the parent
Annual Dividend
140 Yen
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 Sales50%
Operating profit56%
Ordinary income56%
Net income69%
What the company explained in this material
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
  • Price+¥200 million
  • Volume+¥500 million
  • Machinery equipment maintenance and services+¥200 million
  • Selling, general and administrative expenses-¥0.2 billion
  • Non-operating income and expenses-¥0.4 billion
  • Domestic Subsidiaries+¥1 billion
  • Overseas Subsidiaries+¥500 million
  • Other+¥0.3 billion
  • One-off gains and losses¥0
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
Exchange rateUSD 1 = ¥145 (second half)
Foreign-exchange sensitivityApproximately ±¥40 million annually per ¥1 change
Demand assumptionsAI, data center, and semiconductor-related demand remains firm, while demand for cold iron sources is weak
New initiatives
  • Completion and commercialization of the Blackbark pellet manufacturing plant
  • Advanced aluminum resource sorting business established through the incorporation of Vesper Metals
  • Horizontal recycling business for aluminum sash scrap
  • Entry into the brazing-material manufacturing business through the conversion of Metal Welding Materials into a wholly owned subsidiary
  • Obtaining DX Certified Business Operator Certification
  • Launch of the D-ACE DX system for the wire rod supply chain
Key KPIsA metric the company considers important as a management benchmark.
  • Equity ratio26 %
    Year on year against the same period last year+0.2 percentage points (vs. fiscal 2025 year-end)
  • D/E ratio0.5 times
    Year on year against the same period last year±0.0x (vs. fiscal 2025 year-end)
  • PBR0.77 times
  • ROE11.3 % FY2026 forecast
    Year on year against the same period last year+2.6 percentage points (vs. fiscal 2025 actual results)
  • ROIC7.6 % FY2026 forecast
    Year on year against the same period last year+2.5 percentage points (vs. fiscal 2025 actual results)
Segment results
  • Iron and steel
    Ordinary income¥25 100 million
    Year on year against the same period last year-5.0%
  • Aluminum and Copper
    Ordinary income¥25 100 million
    Year on year against the same period last year+14.0%
  • Raw materials
    Ordinary income¥4 100 million
    Year on year against the same period last year+3.0%
  • Machinery
    Ordinary income¥18 100 million
    Year on year against the same period last year+4.0%
  • Welding
    Ordinary income¥8 100 million
    Year on year against the same period last year+5.0%
  • Other
    Ordinary income¥-1 100 million
    Year on year against the same period last year0.0%
Medium-term management plan targets
Consolidated ordinary income¥14.5 billion
ROEAt least 10.0%
ROIC6.5%
Equity ratio21% or higher
Debt-to-equity ratioGuideline of 0.7x or lower
Cumulative investment amount¥23.0 billion
Financial targets
ROE
TargetAt least 10.0%
Actual and forecast11.3% (FY2026 forecast)
ROIC
Target6.5%
Actual and forecast7.6% (FY2026 forecast)
Equity ratio
Target21% or higher
Actual and forecast26.4% (FY2026 forecast)
Debt-to-equity ratio
TargetGuideline of 0.7x or lower
Actual and forecast0.5x (FY2026 forecast)
Number of employees
Number of EmployeesApproximately 20 people (metal welding materials)
Annual Dividend
Annual dividend per share140 Yen
Interim70 Yen
End of period70 Yen
Payout ratio
Rate37 % forecast
PolicyThe higher of a consolidated payout ratio of 30% or more and a dividend of ¥100 per share
Contents of this document
ItemDetails
Document typeEarnings presentation
Fiscal Period CoveredFY2026 second quarter
Net Sales¥3,526 100 million (YoY +21.0%)
Operating profit¥83 100 million (YoY +57.0%)
Ordinary income¥79 100 million (YoY +36.0%)
Net income¥69 100 million (interim net income attributable to owners of the parent) (YoY +70.0%)
Selling, general and administrative expenses¥141 100 million
Full-year earnings forecastNet Sales ¥7,060 100 million / Operating profit ¥148 100 million / Ordinary income ¥140 100 million / Net income ¥100 100 million (net income attributable to owners of the parent) / Annual Dividend 140 Yen
Progress against full-year forecastNet Sales 50% / Operating profit 56% / Ordinary income 56% / Net income 69%
Segment resultsSegment Iron and steel / Ordinary income ¥25 100 million / Year on year against the same period last year ¥-5 100 million, Segment Aluminum and Copper / Ordinary income ¥25 100 million / Year on year against the same period last year ¥14 100 million, Segment Raw materials / Ordinary income ¥4 100 million / Year on year against the same period last year ¥3 100 million, Segment Machinery / Ordinary income ¥18 100 million / Year on year against the same period last year ¥4 100 million, Segment Welding / Ordinary income ¥8 100 million / Year on year against the same period last year ¥5 100 million, Segment Other / Ordinary income ¥-1 100 million / Year on year against the same period last year ¥0 100 million
Breakdown of Factors Affecting the ChangeFactors Price / Amount +¥200 million, Factors Volume / Amount +¥500 million, Factors Machinery equipment maintenance and services / Amount +¥200 million, Factors Selling, general and administrative expenses / Amount -¥0.2 billion, Factors Non-operating income and expenses / Amount -¥0.4 billion, Factors Domestic Subsidiaries / Amount +¥1 billion, Factors Overseas Subsidiaries / Amount +¥500 million, Factors Other / Amount +¥0.3 billion, Factors One-off gains and losses / Amount ¥0
Key KPIsIndicator name Equity ratio / Value 26 % / Year on year against the same period last year +0.2 percentage points (vs. fiscal 2025 year-end), Indicator name D/E ratio / Value 0.5 times / Year on year against the same period last year ±0.0x (vs. fiscal 2025 year-end), Indicator name PBR / Value 0.77 times / Year on year against the same period last year Not disclosed, Indicator name ROE / Value 11.3 % (FY2026 forecast) / Year on year against the same period last year +2.6 percentage points (vs. fiscal 2025 actual results), Indicator name ROIC / Value 7.6 % (FY2026 forecast) / Year on year against the same period last year +2.5 percentage points (vs. fiscal 2025 actual results)
Number of employeesNumber of Employees Approximately 20 people (metal welding materials) / Changes and hiring plans during the period Not disclosed
Assumptions Underlying the Business OutlookExchange rate USD 1 = ¥145 (second half) / Foreign-exchange sensitivity Approximately ±¥40 million annually per ¥1 change / Demand assumptions AI, data center, and semiconductor-related demand remains firm, while demand for cold iron sources is weak
Medium-term management plan targetsConsolidated ordinary income ¥14.5 billion / ROE At least 10.0% / ROIC 6.5% / Equity ratio 21% or higher / Debt-to-equity ratio Guideline of 0.7x or lower / Cumulative investment amount ¥23.0 billion
Financial targetsROE Target At least 10.0% / Actual and forecast 11.3% (FY2026 forecast) / ROIC Target 6.5% / Actual and forecast 7.6% (FY2026 forecast) / Equity ratio Target 21% or higher / Actual and forecast 26.4% (FY2026 forecast) / Debt-to-equity ratio Target Guideline of 0.7x or lower / Actual and forecast 0.5x (FY2026 forecast)
Annual DividendAnnual dividend per share 140 Yen / Interim 70 Yen / End of period 70 Yen
Payout ratioRate 37 % (forecast) / Policy The higher of a consolidated payout ratio of 30% or more and a dividend of ¥100 per share
New initiativesCompletion and commercialization of the Blackbark pellet manufacturing plant, Advanced aluminum resource sorting business established through the incorporation of Vesper Metals, Horizontal recycling business for aluminum sash scrap, Entry into the brazing-material manufacturing business through the conversion of Metal Welding Materials into a wholly owned subsidiary, Obtaining DX Certified Business Operator Certification, Launch of the D-ACE DX system for the wire rod supply chain
Items this document does not state (12)
Gross Profit MarginOperating profit marginResults for the three months of the current quarterSelf-assessment against the planUnit price and quantity metricsNumber of stores and locationsRisk amount incorporated into the outlookAcquisition of treasury sharesCapital 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 company cited strong performance in the semiconductor field, driven by AI and data center demand, and in industrial machinery related to decarbonization and energy; higher standalone volumes; improved earnings power at domestic and overseas subsidiaries; increased demand for aluminum components for semiconductors and copper tubing for air conditioning; and higher steel and metal prices.

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.
Financial Results Presentation for the Second Quarter of Fiscal 2026 | Shinsho Corporation (8075) timely disclosure | Komori