Chubu Steel Plate Co.,Ltd. [5461.T]
TOKYO, May 12 (Pulse News Wire) – Chubu Steel Plate CO.,LTD. (5461.T) reported lower profits for the fiscal year ending March 2026 due to a narrowing metal spread despite stable sales volumes.
Revenue reached ¥51.1 billion, matching last year's levels, but operating profit was ¥923 million compared to ¥2.756 billion previously. The company expects improved conditions in the second half of the fiscal year, driven by higher steel prices and increased demand. In addition to the reduced operating profit, net income dropped to ¥1.275 billion from ¥1.700 billion in the previous year. Despite the decline, Chubu Steel Plate plans to increase its dividend payout to ¥130 per share for the next fiscal year, marking a 13.4% rise from the current year’s ¥114.5 per share. The company also decided to repurchase up to 2% of outstanding shares excluding treasury stock.
The company highlighted strong performances in rental services and advertising sign production, which contributed positively to overall revenue. However, logistical operations experienced a decrease in hazardous materials handling volume and rising costs, leading to reduced revenues. Engineering projects also saw a decline due to fewer large-scale contracts. Looking ahead, Chubu Steel Plate forecasts a challenging environment in the near term due to rising raw material costs, particularly scrap iron prices. Nonetheless, the firm anticipates a recovery in profitability by the end of the fiscal year through price adjustments and operational efficiencies.
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