Contraction of the Paper-Related Market Due to Declining Domestic Paper Demand
First written in FY2017-Q1. 11 of 25 entries say "Worsened", first in FY2017-Q3. Latest entry: 2026-08-10.
Somar moved to the "Worse" side of this theme in 2025, 3 years after the typical company in this theme (2022).
The whole theme swung hardest in 2020: 6 of 13 companies on the "Worse" side.
10 other companies' latest entry also says "Restated".
- 2026-08-10RestatedEarnings
「Demand for printing and information paper and newsprint continues to decline.」
The disclosure states that demand for printing and information paper and newsprint continues to decline, while demand for paperboard and industrial paper has held at approximately the previous year’s level. - FY2026WorsenedAnnual report
「In the paper industry, the company’s principal sales destination, demand for printing and information paper and newsprint continues to decline, while signs of weakness have begun to emerge even in the previously relatively firm containerboard and industrial paper fields, making the business environment surrounding the company increasingly challenging.」
In addition to the continued decline in demand for printing and information paper and newsprint, signs of weakness have begun to emerge in the previously relatively firm containerboard and industrial paper markets, indicating a deterioration in the risk environment for the paper-related market. - FY2026-H1WorsenedAnnual report
「In the paper industry, the company’s principal sales destination, demand for printing and information paper and newsprint continues to decline, while signs of weakness have begun to emerge even in the previously relatively firm containerboard and industrial paper fields, making the business environment surrounding the company increasingly challenging.」
As demand for printing and information paper and newsprint continues to decline, the company states that signs of weakness have begun to emerge even in the previously relatively firm containerboard and industrial paper fields, indicating a deterioration in the risk environment for the paper-related market. - FY2025-H1WorsenedAnnual report
「Although the markets for newsprint and coated paper in the paper industry, the company’s principal sales destination, continue to contract, demand for containerboard and paper for consumer and industrial products, which had been relatively firm, has stagnated as demand for corrugated boxes used for e-commerce shipments has weakened against a backdrop of consumers holding back on purchases due to higher prices, making the business environment challenging.」
As the markets for newsprint and coated paper continued to contract, demand in the previously relatively firm markets for containerboard and paper for consumer and industrial products stagnated as consumers held back on purchases due to higher prices, indicating a deterioration in the paper-related market environment. - FY2024-Q3MitigatedAnnual report
「Under these conditions, the company group has worked to expand sales of differentiated products that capitalize on its strengths and to develop new applications and adjacent markets in line with market needs. Product sales exceeded those in the same quarter of the previous year because the company focused on developing proprietary products and cultivating new markets in the containerboard field.」
While the challenging conditions in the markets for newsprint and coated paper and for containerboard and paper for consumer and industrial products continued, product sales exceeded those in the same quarter of the previous year through the development of proprietary products and the cultivation of new markets in the containerboard field. - FY2024-Q2WorsenedAnnual report
「Although the markets for newsprint and coated paper in the paper industry, the company’s principal sales destination, continue to contract, demand for containerboard and paper for consumer and industrial products has also declined in the e-commerce market amid restrained purchases of daily necessities due to higher prices and a recovery in consumption at physical stores, resulting in a challenging business environment.」
As the markets for newsprint and coated paper continue to contract, the previously firm markets for containerboard and paper for consumer and industrial products have also become challenging because of higher prices and declining demand. - FY2024-Q1WorsenedAnnual report
「Although the markets for newsprint and coated paper in the paper industry, the company’s principal sales destination, continue to contract, the previously firm markets for containerboard and paper for consumer and industrial products have also entered a challenging business environment.」
The company states that, as the markets for newsprint and coated paper continue to contract, the previously firm markets for containerboard and paper for consumer and industrial products have also turned challenging, indicating a deterioration in the risk environment for the paper-related market. - FY2023-Q3MitigatedAnnual report
「Although the markets for newsprint and coated paper are contracting, applications for containerboard and paper for consumer and industrial products remained firm. The company group therefore worked to expand sales of differentiated products that capitalize on its strengths and to develop new applications and adjacent markets in line with market needs. Product sales exceeded those in the same quarter of the previous year as selling prices rose due to higher raw material prices, while the company focused on product development in the containerboard field and expanding orders in new fields.」
Although the markets for newsprint and coated paper continued to contract, product sales exceeded those in the same period of the previous year because demand for containerboard and paper for consumer and industrial products remained firm, the company developed products in the containerboard field, and orders expanded in new fields. - FY2023-Q2MitigatedAnnual report
「Although the markets for newsprint and coated paper are contracting, applications for containerboard and paper for consumer and industrial products remained firm. The company group therefore worked to expand sales of differentiated products that capitalize on its strengths and to develop new applications and adjacent markets in line with market needs. Product sales exceeded those in the same quarter of the previous year because the company focused on product development and sales activities in the containerboard field.」
Although the markets for newsprint and coated paper continued to contract, sales in the environmental materials business exceeded those in the same quarter of the previous year, supported by steady demand for containerboard and paper for consumer and industrial products and product development and sales activities in the containerboard field. - FY2023-Q1MitigatedAnnual report
「Although the markets for newsprint and coated paper are contracting, applications for containerboard and paper for consumer and industrial products remained firm. The company group therefore worked to expand sales of differentiated products that capitalize on its strengths and to develop new applications and adjacent markets in line with market needs. Product sales exceeded those in the same quarter of the previous year because the company focused on product development and sales activities in the containerboard field.」
Although the markets for newsprint and coated paper continued to contract, steady demand for containerboard and paper for consumer and industrial products, product development and sales activities in the containerboard field, and expansion into overseas markets resulted in a 9.8% year-on-year increase in sales in the environmental materials business. - FY2022-Q3MitigatedAnnual report
「Although the markets for newsprint and coated paper remain challenging in the paper industry, the company’s principal sales destination, containerboard and paper for consumer and industrial products remained firm as their applications expanded. The company group therefore worked to expand sales of differentiated products that capitalize on its strengths and to develop new applications and adjacent markets in line with market needs. While operations at paper manufacturers, the company’s principal customers, had declined in the same quarter of the previous year due to the spread of COVID-19, product sales recovered substantially in the current quarter as the order environment improved and transaction prices rose.」
While the challenging conditions in the newsprint and coated paper markets continued, sales of paper-related products recovered substantially as applications for containerboard and paper for consumer and industrial products expanded, the order environment improved and transaction prices rose. - FY2022-Q2MitigatedAnnual report
「Although the markets for newsprint and coated paper remain challenging in the paper industry, the company’s principal sales destination, applications for containerboard and paper for consumer and industrial products remained firm. The company group therefore worked to expand sales of differentiated products that capitalize on its strengths and to develop new applications and adjacent markets in line with market needs. While operations at paper manufacturers, the company’s principal customers, had declined in the same quarter of the previous year due to the spread of COVID-19, the order environment improved in the current quarter and product sales recovered substantially.」
While the challenging conditions in the newsprint and coated paper markets continued, sales of paper-related products recovered substantially as applications for containerboard and paper for consumer and industrial products expanded and the order environment improved. - FY2022-Q1MitigatedAnnual report
「Although the markets for newsprint and coated paper remain weak in the paper industry, the company’s principal sales destination, applications for containerboard and paper for consumer and industrial products are expanding. In response, the company group has worked to expand sales of differentiated products that capitalize on its strengths and to develop new applications and adjacent markets in line with market needs. While operations at paper manufacturers, the company’s principal customers, were significantly curtailed in the same quarter of the previous year due to the spread of COVID-19, the order environment recovered in the current quarter and product sales performed steadily.」
While the markets for newsprint and coated paper remain weak, sales in the paper-related business performed steadily as applications for containerboard and paper for consumer and industrial products expanded and the order environment recovered. - FY2021-Q3MaterialisedAnnual report
「However, as a result of the spread of COVID-19, operations at paper manufacturers, the company’s principal customers, were significantly curtailed, causing sales of products in this business to decline. In particular, sales of binders for paper coating declined because of reduced customer operations and lower selling prices following substantial declines in crude oil prices and raw material monomer prices. As a result, sales for the business as a whole were ¥2,427 million, down 27.3% year on year, and operating income was ¥31 million, up 102.4% year on year.」
Shortened operations at paper manufacturers and lower selling prices caused sales in the environmental materials business to decline 27.3%, bringing the previously identified risks related to paper demand and the paper-related market into the reported results. - FY2021-Q2WorsenedAnnual report
「However, as a result of the spread of COVID-19, operations at paper manufacturers, the company’s principal customers, were significantly curtailed, causing sales of products in this business to decline. In particular, sales of binders for paper coating declined because of reduced customer operations and lower selling prices following substantial declines in crude oil prices and raw material monomer prices. As a result, sales for the business as a whole were ¥1,548 million, down 31.0% year on year, and operating income was ¥1 million, down 86.3% year on year.」
In addition to the structural weakness in paper demand, shortened operations at paper manufacturers due to the pandemic and lower selling prices resulted in a 31.0% decline in sales and an 86.3% decline in operating income in the environmental materials business. - FY2021-Q1WorsenedAnnual report
「Although the markets for newsprint and coated paper remain weak in the paper industry, the company’s principal sales destination, applications for containerboard and paper for consumer and industrial products are expanding. In response, the company group has worked to expand sales of differentiated products that capitalize on its strengths and to develop new applications and adjacent markets in line with market needs. However, as a result of the spread of COVID-19, operations at paper manufacturers, the company’s principal customers, were significantly curtailed, causing sales of products in this business to decline.」
In addition to the longstanding structural issue of weak markets for newsprint and coated paper, shortened operating hours at paper manufacturers caused sales in the environmental materials business to decline. - FY2020-Q3RestatedAnnual report
「Although the markets for newsprint and coated paper remain weak in the paper industry, the company’s principal sales destination, applications for containerboard and paper for consumer and industrial products are expanding. In response, the company group has worked to expand sales of differentiated products that capitalize on its strengths and to develop new applications and adjacent markets in line with market needs.」
While the markets for newsprint and coated paper remain weak, the company continues to describe expanding applications for containerboard and paper for consumer and industrial products, along with the development of new applications and adjacent markets. - FY2020-Q2RestatedAnnual report
「Although the markets for newsprint and coated paper remain weak in the paper industry, the company’s principal sales destination, applications for containerboard and paper for consumer and industrial products are expanding. In response, the company group has worked to expand sales of differentiated products that capitalize on its strengths and to develop new applications and adjacent markets in line with market needs.」
While the markets for newsprint and coated paper remain weak, the company continues to describe expanding applications for containerboard and paper for consumer and industrial products, as well as the development of new applications and adjacent markets. - FY2020-Q1RestatedAnnual report
「Although the markets for newsprint and coated paper remain weak in the paper industry, the company’s principal sales destination, applications for containerboard and paper for consumer and industrial products are expanding. In response, the company group has worked to expand sales of differentiated products that capitalize on its strengths and to develop new applications and adjacent markets in line with market needs.」
While the markets for newsprint and coated paper remain weak, the company describes expanding applications for containerboard and paper for consumer and industrial products, as well as the development of new applications and adjacent markets. - FY2017WorsenedAnnual report
「Because domestic demand for paper has been gradually declining in the paper industry, the main sales destination for this business, the company has been gradually shifting its focus toward overseas markets. As a result, competition with other companies has become increasingly intense, particularly in the domestic paper market, while the company group has also been slow to catch up in overseas markets. The business environment therefore remains challenging.」
The company states that, while shifting its focus toward overseas markets in response to declining domestic demand for paper, it continues to face challenging conditions because of intensifying domestic competition and delays in catching up in overseas markets. - FY2017-Q3WorsenedAnnual report
「Although the market for newsprint and coated paper remains weak in the paper industry, the company’s principal customer base, applications for containerboard and paper for consumer and industrial products are expanding. Nevertheless, the growth prospects of the paper manufacturers’ core businesses are under substantial downward pressure, leaving the overall environment challenging.」
The company describes the structural market risk more severely, citing not only declining domestic demand for paper but also substantial downward pressure on the growth prospects of the paper manufacturers’ core businesses. - FY2017-Q2RestatedAnnual report
「Although the appreciation of the yen since the beginning of the year has been favorable for procurement of imported fuel and raw materials in the paper industry, the company’s principal customer base, the overall environment remains challenging, with domestic demand for paper continuing to decline gradually.」
The company continues to identify the structural market environment of gradually declining domestic demand for paper as a major risk to its paper-related business. - FY2017-Q1First statedAnnual report
「Although the paper industry, the company’s principal customer base, has benefited from the yen’s appreciation since the beginning of the year through lower costs for imported fuel and raw materials, the overall business environment remains challenging as domestic demand for paper continues to decline gradually.」
The company has, for the first time, disclosed separately the structural market environment of gradually declining domestic demand for paper as a risk to its paper-related business.