NAKAYAMA STEEL WORKS,LTD. [5408.T]
TOKYO, May 08 (Pulse News Wire) – Nakayama Steel Works,ltd. (5408.T) reported its fiscal year 2026 earnings, ending March 31, 2026, showing a significant drop in revenue and profits due to ongoing challenges in the steel industry.
Revenue was ¥1.458 billion, down ¥207 million compared to the previous year. Operating profit declined to ¥49 million, a reduction of ¥36 million year-over-year. Net profit attributable to parent shareholders dropped to ¥23.23 billion, marking a decrease of ¥32 million from the prior year. The company's performance was notably affected by a major accident at its fifth substation in September 2025, which led to a substantial production cutback. Despite efforts to secure alternative iron sources and resume operations in December, additional costs related to equipment repairs and higher raw material prices contributed to the overall decline in profitability.
Looking ahead, NAKAYAMA STEEL WORKS forecasts a more stable outlook for the next fiscal year, projecting revenues of ¥1.458 billion and net profit of ¥2 million. The company also plans to enhance cooperation with Yodogawa Corporation to expand the application of electric furnace steel products. In addition, the firm expects to finalize agreements with Nippon Steel Corporation for joint ventures aimed at constructing and leasing new electric furnaces. These initiatives aim to bolster long-term growth and operational efficiency within the group. NAKAYAMA STEEL WORKS will hold an analyst briefing on June 25, 2026, to further discuss these developments and future strategies.
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