Source disclosure: February 10, 2026
AWA PAPER & TECHNOLOGICAL COMPANY,Inc. [3896.T]
TOKYO, Feb 10 (Pulse News Wire) – AWA Paper & Technological Company,inc. (3896.T) reported a decline in its third quarter operating profit for the fiscal year ending March 2026.
The company's operating profit decreased by ¥292 million compared to the same period last year due to various factors impacting revenue and expenses. Sales volume changes contributed positively to the operating profit, increasing by ¥540 million primarily driven by reductions in automotive-related materials and increases in general industrial materials. However, inventory adjustments had a positive impact of ¥96 million, mainly attributed to reduced stock levels of non-woven fabrics used for membrane supports in the previous year.
On the downside, increased operational costs, particularly depreciation expenses related to the newly operational Koshimishima factory and higher personnel costs, led to a reduction of -¥794 million. Additionally, transportation fees surged by ¥151 million due to supply chain disruptions affecting delivery schedules. Raw material price fluctuations also negatively impacted earnings by ¥151 million, largely due to rising raw material prices.
Overall, despite some favorable shifts in sales volumes and inventory management, the combined effect of higher operational costs and raw material price hikes resulted in a net decrease in operating profit for the quarter.
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