Keiwa's revenue increased in the six months ended June 2026, while operating profit declined due to higher costs. The optical products business, its mainstay, secured higher revenue, but slowing demand in the notebook computer market and higher raw material costs weighed on profit.
For the six months ended June 2026, Keiwa's consolidated revenue was ¥10,537 million, up 6.3% year on year, while operating profit was ¥1,898 million, down 15.5%. Ordinary profit was ¥2,021 million, up 3.1%, and interim net profit attributable to owners of the parent was ¥1,410 million, up 103.3%.
Progress against the initial interim earnings forecast was viewed as sluggish, at approximately 45%, against a backdrop of slowing sales of notebook computers equipped with optical films and a memory shortage in the notebook computer market. Following the revision, the forecast is for revenue of ¥20,877 million, operating profit of ¥2,842 million, ordinary profit of ¥2,968 million, and net profit attributable to owners of the parent of ¥2,055 million, with progress rates of 50.5%, 66.8%, 68.1%, and 68.6%, respectively.
The optical products business contributed to higher revenue, but profit margins were pressured by the memory shortage in the notebook computer market and the contraction of the electric vehicle market in Europe and the United States. Higher selling, general and administrative expenses and increased spending on new product development also caused the operating profit margin to decline year on year. Interim net profit increased because of the reversal of losses from the previous fiscal year's business withdrawal.
Following the reorganization of subsegments from the fourth quarter of the fiscal year ended December 2025, notebook computers and tablets accounted for the largest share of revenue, while the shares of the automotive business and rust-prevention materials also changed. Notebook computers and tablets were the core of the interim revenue mix, while expansion into automotive products and clean-energy materials and medical and hygiene films progressed. By quarter in the fiscal year ending December 2026, the automotive business showed a notable recovery, and the contribution from process paper, where overseas expansion is under way, increased.