During the consolidated fiscal year under review (October 1, 2024 to September 30, 2025), the future of the global economy remained uncertain, affected by multiple uncertain factors such as trends in policies, including U.S. trade and tariff policies, fluctuations in the capital market reflecting the monetary policies of nations, and rising geopolitical risks, mainly including the growing tension in the Middle East.
Taking a brief look at the regions where the Group operates, we saw indicators that there would be changes in the U.S. economy going forward reflecting a slowdown in the growth of consumer spending and the uncertainty regarding tariff policies hampering economic activities, despite a moderate increase in capital expenditures. In China, the government’s economic policies had some effect, but the economy was at a standstill due to the persistent stagnation of the real estate market. In ASEAN countries, the economy continued to grow stably, supported by strong consumer spending and an expansion of exports. In Japan, corporate earnings were partially affected by the U.S. trade and tariff policies, but the economy trended moderately toward a recovery, reflecting a rebound in consumer spending on the back of improvements in the employment and income environment.
In this business environment, the Group has been striving to bolster its consolidated management structure by reinforcing its revenue base, improving its business structure, and pursuing and deepening higher value-added businesses along with SANYO VISION 2028, the long-term management plan it announced in November 2023. It has also been making ongoing efforts to strengthen the existing businesses, develop new businesses, strengthen the global expansion further, and promote new investments.
In its efforts to strengthen its existing businesses, the Group proceeded with the expansion of the sales of mainstay products related to rubber, chemicals, and material solutions and steadily implemented its wood biomass-related business, which includes Yokote Yuzawa Forest Cycle Co., Ltd. In addition, the Group transferred a part of its business importing and selling scientific equipment to Sanyo Technos Co., Ltd. to reinforce its earnings structure and improve business efficiency. To develop new businesses, the Group released an EV battery checker leveraging the knowledge it has cultivated through its automobile benchmarking business, making it possible to ensure that EV maintenance is safe and highly convenient and contributing to the energization of the distribution of used EVs and the establishment of a recycling-based society. Further, Cosmos Shoji Co., Ltd. provided many different kinds of equipment related to offshore wind power generation, which has been progressing across Japan. It has established a future revenue base in anticipation of the shift from bottom-mounted to floating wind turbines. In addition, a new functional feed raw material of YPTECH Co., Ltd. was specified and registered by the Ministry of Agriculture, Forestry and Fisheries of Japan, it is expected to contribute to earnings in and after the next fiscal year through its introduction into the domestic market.
To further strengthen the overseas business, the Group introduced an officer in charge of overseeing overseas business and established a system for strategic planning, the promotion of business, and cross-sectoral management. Further, the Group established the Korea Branch of Sanyo Trading Co., Ltd. in Seoul, Korea, establishing an operating base in Korea’s electronic material market, which is expected to grow in the future. The company will proceed aggressively with the acquisition of merchandise, the expansion of sales channels, and the collection of information. As a new investment, the Group resolved to acquire all of the shares of EMAS Supplies & Services Pte. Ltd., a Singaporean company. By expanding the mobility business to the automotive aftermarket, the Group will expand its value chain. At the same time, the Group will use the sales network of EMAS Supplies & Services, to accelerate the global expansion of the mobility business and further reinforce its consolidated management system.
Consolidated results were net sales of ¥132,703 million (up 2.7% year on year), operating profit of ¥6,430 million (down 9.1% year on year), ordinary profit of ¥6,879 million (up 13.0% year on year), and profit attributable to owners of the parent of ¥4,615 million (down 11.4% year on year).
Results for each business segment are described below.
Effective from the fiscal year under review, the Company has changed the classification and names of its reportable segments. Details are described in “3. Consolidated Financial Statements and Major Notes, (5) Notes to Consolidated Financial Statements (Segment information, etc.).”
(i) Fine Chemicals
Sales of rubber-related products were strong on the back of demand for raw materials for domestic markets and improved performances at overseas Group companies. However, profit decreased due to sluggish exports of some products.
The performance of chemical-related merchandise was strong at some overseas Group companies, but both sales and profit decreased due to subpar demand for mainstay products for domestic markets.
As a result, the Fine Chemicals segment recorded net sales of ¥42,384 million (down 0.9% year on year) and operating profit of ¥2,413 million (down 11.1% year on year).
(ii) Industrial Products
Both sales and profit of mobility-related merchandise declined due to the slowdown of the Chinese economy and the impact of foreign exchange rate fluctuations.
In North America, Sanyo Corporation of America and Sun Phoenix Mexico, S.A. de C.V. performed well in terms of sales and profit. In China, sales and profit at Sanyo Trading (Shanghai) Co., Ltd. declined due to the impact of production cutbacks at Japanese-affiliated auto manufacturers, which were affected by the economic slowdown and intensified competition. In ASEAN countries, profit at Sanyo Trading Asia Co., Ltd. (Thailand) were strong due to sales price revisions.
As a result, the Industrial Products segment recorded net sales of ¥36,812 million (down 0.3% year on year) and operating profit of ¥2,682 million (down 20.6%).
(iii) Sustainability
In green technology merchandise, both sales and profit were strong due to brisk sales of wearing products related to feed processing machines and the recording of a major project in the wood biomass business.
Merchandise related to resource development handled by Cosmos Shoji Co., Ltd. was strong, with the performance driven by merchandise related to ocean research equipment and other commodities in the ocean development field. The performance of geothermal heat-related equipment was also strong.
As a result, the Sustainability segment recorded net sales of ¥13,518 million (up 38.4% year on year) and operating profit of ¥1,886 million (up 56.5% year on year).
(iv) Life Science
Both sales and profit in merchandise related to material solutions were strong due to the growth in exports of electrical materials and core merchandise in the import business. Both sales and profit in merchandise related to scientific equipment were steady due to demand trending toward a recovery.
Sales of the functional feed raw materials handled by YPTECH Co., Ltd. were strong due to an increase in sales quantity. The performance of biotech products handled by Scrum Inc. was weak due to the termination of distributor agreements for equipment related to genetic analysis.
As a result, the Life Science segment recorded net sales of ¥38,670 million (up 0.9% year on year) and operating profit of ¥1,362 million (down 21.4% year on year).
Net sales of the Group were ¥98,807 million (up 3.0% year on year), operating profit stood at ¥5,532 million (down 5.9% year on year), ordinary profit was ¥6,037 million (down 17.2% year on year), and profit attributable to owners of parent was ¥4,569 million (down 3.2% year on year).
Results for each business segment are described below.
Effective from the first three months of the fiscal year under review, the Company has changed the classification and names of its reportable segments. Details are described in “2. Quarterly Consolidated Financial Statements and Major Notes, (3) Notes to Quarterly Consolidated Financial Statements (Segment information, etc.).”
(i) Fine Chemicals
Sales of rubber-related products were strong on the back of demand for raw materials for domestic markets and improved performances at some overseas Group companies. However, profit decreased due to sluggish exports of some products.
Both sales and profit in chemical-related merchandise decreased due to subpar demand for mainstay products, reflecting the impact of market conditions, as well as a rise in purchasing prices of imported goods that resulted from the continued weakness of the yen.
As a result, the Fine Chemicals segment recorded net sales of ¥32,280 million (up 0.9% year on year) and operating profit of ¥1,971 million (down 5.1% year on year).
(ii) Industrial Products
Sales of mobility-related merchandise were steady due to sales price revisions, although profit decreased due to the impact of foreign exchange rate fluctuations.
In North America, Sanyo Corporation of America and Sun Phoenix Mexico, S.A. de C.V. performed well in terms of sales and profit. In China, sales and profit at Sanyo Trading (Shanghai) Co., Ltd. declined due to the impact of production cutbacks at Japanese-affiliated auto manufacturers, which were affected by the economic slowdown and intensified competition. In ASEAN countries, both sales and profit at Sanyo Trading Asia Co., Ltd. (Thailand) were strong due to sales price revisions.
As a result, the Industrial Products segment recorded net sales of ¥27,980 million (up 0.2% year on year) and operating profit of ¥2,288 million (down 16.6%).
(iii) Sustainability
In green technology merchandise, both sales and profit were strong due to brisk sales of wearing products related to feed processing machines and the recording of a major project in the wood biomass business.
Merchandise related to resource development handled by Cosmos Shoji Co., Ltd. was strong, with the performance driven by merchandise related to ocean research equipment and other commodities in the ocean development field. The performance of oil and gas-related equipment was also strong.
As a result, the Sustainability segment recorded net sales of ¥8,505 million (up 44.8% year on year) and operating profit of ¥1,311 million (up 91.9% year on year).
(iv) Life Science
Both sales and profit in merchandise related to material solutions were steady because exports of electrical materials remained strong. Both sales and profit in merchandise related to scientific equipment decreased due to subpar demand and a rise in purchasing prices of imported goods that resulted from the continued weakness of the yen.
Sales of the functional feed raw materials handled by YPTECH Co., Ltd. were strong due to an increase in sales quantity. The performance of biotech products handled by Scrum Inc. was weak due to the termination of distributor agreements for equipment related to genetic analysis.
As a result, the Life Science segment recorded net sales of ¥29,070 million (up 0.1% year on year) and operating profit of ¥1,298 million (down 21.2% year on year).
Net sales of the Group were ¥68,129 million (up 4.9% year on year). operating profit stood at ¥4,104 million (down 4.9% year on year), ordinary profit was ¥4,410 million (down 10.6% year on year), and profit attributable to owners of parent was ¥3,451 million (up 9.7% year on year).
Results for each business segment are described below.
Effective from the first six months of the fiscal year under review, the Company has changed the classification and names of its reportable segments. Details are described in “2. Semi-annual Consolidated Financial Statements and Major Notes, (4) Notes to Semi-annual Consolidated Financial Statements.”
(i) Fine Chemicals
Both sales and profit of rubber-related products were strong due to price revisions of imported goods reflecting the continued weakness of the yen, in addition to the ongoing strong demand for raw materials for domestic markets.
Both sales and profit in chemical-related merchandise decreased due to subpar demand for mainstay products, which reflected the impact of market conditions, as well as a rise in purchasing prices of imported goods that resulted from the weaker yen.
As a result, the Fine Chemicals segment recorded net sales of ¥21,741 million (up 4.3% year on year) and operating profit of ¥1,386 million (up 4.3% year on year).
(ii) Industrial Products
Both sales and profit in mobility-related merchandise were steady, despite the impact of discontinuing the handling of genuine leather for car seats in Japan, which was more than offset by sales price revisions and foreign exchange gains.
In North America, Sanyo Corporation of America and Sun Phoenix Mexico, S.A. de C.V. performed well. In China, sales and profit at Sanyo Trading (Shanghai) Co., Ltd. declined due to the impact of production cutbacks at Japanese-affiliated auto manufacturers, which were affected by the economic slowdown and intensified competition. In ASEAN countries, sales and profit at Sanyo Trading Asia Co., Ltd. (Thailand) declined due to the impact of market conditions.
As a result, the Industrial Products segment recorded net sales of ¥19,411 million (down 0.1% year on year) and operating profit of ¥1,825 million (down 8.5%).
(iii) Sustainability
In green technology merchandise, both sales and profit were strong due to brisk sales of wearing products related to feed processing machines and the recording of a major project in the wood biomass business.
Merchandise related to resource development handled by Cosmos Shoji Co., Ltd. was strong, with the performance driven by merchandise related to ocean research equipment and other commodities in the ocean development field. The performance of geothermal heat and oil and gas-related equipment was also strong.
As a result, the Sustainability segment recorded net sales of ¥6,347 million (up 69.2% year on year) and operating profit of ¥873 million (up 96.8% year on year).
(iv) Life Science
In life science-related merchandise, both sales and profit related to material solutions were steady given an increase in exports of electrical materials, which resulted from the weaker yen. Both sales and profit in merchandise related to scientific equipment decreased due to subpar demand and a rise in purchasing prices of imported goods that resulted from the weaker yen.
Sales of the functional feed raw materials handled by YPTECH Co., Ltd. were strong due to an increase in sales quantity. The performance of biotech products handled by Scrum Inc. was weak due to the termination of distributor agreements for equipment related to genetic analysis.
As a result, the Life Science segment recorded net sales of ¥20,025 million (down 0.4% year on year) and operating profit of ¥1,007 million (down 28.0% year on year).
During the first three months (October 1, 2024 to December 31, 2024) of the consolidated fiscal year under review, the global economy remained uncertain as concerns over the future persisted, mainly reflecting the Russian invasion of Ukraine, the unstable situation in the Middle East, slowing inflation in Europe and the United States and the resultant changes in the monetary policy, and the stagnation of the real estate market in China.
Taking a brief look at the regions where the Group operates, we observed an economic expansion in the United States, mainly reflecting consumer spending and capital investment. In ASEAN countries, economies remained strong with an expansion of consumer spending. In contrast, business confidence was weak in China, mainly due to consumption and non-current assets, although an increase in supply is evident due to policy effects.
Japan experienced a partial economic standstill, reflecting the inflationary trend caused by a rise in costs for raw materials and energy. However, the economy showed a gradual upward trend with a recovery in corporate earnings mainly due to rising domestic demand and a rebound in inbound tourism demand, which was aided by the weaker yen.
Under such conditions, consolidated results for the first three months under review were net sales of ¥33,983 million (up 2.7% year on year), operating profit of ¥1,931 million (down 16.2%), ordinary profit of ¥2,547 million (up 14.1%), and profit attributable to owners of parent of ¥1,479 million (up 7.7%).
Results for each business segment are described below.
Effective from the first three months of the fiscal year under review, the Company has changed the classification and names of its reportable segments. Details are described in “2. Quarterly Consolidated Financial Statements and Major Notes, (3) Notes to Quarterly Consolidated Financial Statements.”
(i) Fine Chemicals
Both sales and profit of rubber-related products were strong due to price revisions of imported goods reflecting the continued weakness of the yen, in addition to the ongoing strong demand for raw materials for domestic markets.
Both sales and profit in chemical-related merchandise decreased due to subpar demand for mainstay products, which reflected the impact of market conditions, as well as a rise in purchasing prices of imported goods that resulted from the weaker yen.
As a result, the Fine Chemicals segment recorded net sales of ¥11,266 million (up 7.0% year on year) and operating profit of ¥714 million (up 13.9% year on year).
(ii) Industrial Products
Both sales and profit in mobility-related merchandise decreased due in part to the impact of discontinuing the handling of genuine leather for car seats in Japan.
In North America, Sanyo Corporation of America and Sun Phoenix Mexico, S.A. de C.V. performed well. In China, sales and profit at Sanyo Trading (Shanghai) Co., Ltd. declined due to the impact of production cutbacks at Japanese-affiliated auto manufacturers, which were affected by the economic slowdown and intensified competition. In ASEAN countries, Sanyo Trading Asia Co., Ltd. (Thailand) performed steadily.
As a result, the Industrial Products segment recorded net sales of ¥9,638 million (down 8.9% year on year) and operating profit of ¥839 million (down 35.7%).
(iii) Sustainability
In green technology merchandise, both sales and profit declined due to the postponed recording of the deliveries of main units of feed processing machines and deliveries related to the wood biomass business, as well as weak sales of related wearing parts.
Merchandise related to resource development handled by Cosmos Shoji Co., Ltd. was strong, with the performance driven by merchandise related to offshore wind power generation equipment and other commodities in the ocean development field. The strong performance is also attributed to orders received for major projects on geothermal heat and oil and gas-related equipment.
As a result, the Sustainability segment recorded net sales of ¥2,424 million (up 8.4% year on year) and operating profit of ¥297 million (up 2.5% year on year).
(iv) Life Science
In life science-related merchandise, both sales and profit related to material solutions were steady given an increase in exports related to electrical materials, which resulted from the weaker yen. Profit decreased in merchandise related to scientific equipment due to surging purchase prices and the weaker yen.
Sales of the functional feed raw materials handled by YPTECH Co., Ltd. were strong due to an increase in sales quantity.
Performance of biotech products handled by Scrum Inc. was strong as demand increased before the termination of distributor agreements for equipment related to genetic analysis.
As a result, the Life Science segment recorded net sales of ¥10,351 million (up 11.2% year on year) and operating profit of ¥627 million (up 6.9% year on year)
