As higher stainless and special steel prices take hold, expectations are rising for the earnings of steel trading companies and manufacturers, including UEX, and more companies are reporting upward revisions for the current fiscal year or forecasting high levels of profit. This article reviews the developments at 20 companies and how the effects of higher prices are emerging.
Nippon Steel, Aichi Steel and Daido Steel have announced price increases for stainless steel sheet and special steel. With moves toward provisional tariffs also emerging, price increases have moved beyond the announcement stage and are now taking hold. As the increases are reflected in distribution prices, rush demand has emerged, while demand for steel materials used in semiconductor manufacturing equipment, high-alloy materials, shipbuilding and infrastructure has remained firm.
UEX has announced its second upward revision for the current fiscal year, raising its full-year ordinary profit forecast from ¥2.8 billion–¥3.3 billion to ¥2.9 billion–¥3.4 billion. The company is also expected to announce a year-end dividend. Profit growth in the first half is believed to have been driven by higher prices taking hold and rush demand prompted by expectations of further price increases.
白銅 has raised its earnings forecast for the fiscal year ending March 2027, increasing its net sales forecast from ¥84.0 billion to ¥92.2 billion, its ordinary profit forecast from ¥4.7 billion to ¥5.19 billion, and its dividend forecast from ¥128 to ¥143. Semiconductor and FPD manufacturing equipment accounted for 46.4% of domestic sales, while inventory valuation gains from rising raw material prices also contributed.