SALA CORPORATION
2734・Prime Market・Retail Trade
Energy & Solutions Business
Core segment of the SALA Group, supplying regional energy centered on City Gas, LP Gas, and electricity
| Period | Current | Previous | Change |
|---|---|---|---|
| Sales (H1 FY2026, ending November 2026) | ¥64,960 million | ¥68,010 million (H1 FY2025, ending November 2025) | ↓ |
| Operating profit (H1 FY2026, ending November 2026) | ¥5,442 million | ¥5,080 million (H1 FY2025, ending November 2025) | ↑ |
| Sales YoY change | △4.5% | — | ↓ |
| Operating profit YoY change | +7.1% | — | ↑ |
| Sales (current fiscal year, full-year results) | ¥120,870 million | — | — |
| Operating profit (current fiscal year, full-year results) | ¥4,287 million | — | — |
Business Details
Engages in the sale of City Gas, LP Gas, petroleum products, high-pressure gas and related equipment, the electricity supply business, heat supply business, lifestyle services, and petroleum transport/general freight transport, among others. The principal subsidiary is SALA Energy Co., Ltd. The segment provides renovation proposals through energy-saving diagnostics and solution proposals for carbon neutrality and productivity improvement to household and commercial customers, offering value-added services beyond energy supply alone. It is the largest segment, accounting for approximately 50% of the Group's total sales.
Recent Overview
Revenue declined but profit increased. New core system began operation, and a Business SALA specialist unit was established
In the first half of FY2026 (ending November 2026) (December 2025 to May 2026), sales were ¥64,960 million (down 4.5% year on year) due to a decline in household and commercial gas sales volume combined with downward adjustment of City Gas selling prices under the raw material cost adjustment system. On the other hand, as a result of focusing on renovation proposals in the lifestyle field and carbon-neutrality/productivity-improvement solution proposals in the business field, sales of equipment and construction performed well, and operating profit increased to ¥5,442 million (up 7.1% year on year). In addition, SALA Energy Co., Ltd. began operation of its new core system in June 2026 and established a specialist unit toward realizing “Business SALA,” launching a project to strengthen collaboration with the Engineering & Maintenance Business. Note that an impairment loss of ¥12 million on business assets was recorded in the Energy & Solutions Business.
Key Products
Growth Drivers
- Increase in equipment and construction sales through renovation proposals in the lifestyle field and carbon-neutrality/productivity-improvement solution proposals for corporate customers
- Promotion of DX and operational efficiency improvement and strengthening of customer touchpoints through the new core system, which began operation in June 2026
- Strengthening collaboration with the Engineering & Maintenance Business and expanding total solution proposals through the establishment of a specialist unit for "Business SALA"
- Expansion of electricity business earnings through operation of biomass power plants, grid-connected storage battery facilities, and storage batteries co-located with renewable energy facilities
- Improvement in profit margin through continued reduction of selling, general and administrative expenses
Risks
- Impact on sales from downward adjustment of City Gas selling prices under the raw material cost adjustment system (the main cause of the year-on-year revenue decline in the current interim period as well)
- Decline in household and commercial gas sales volume (structural demand decline risk due to population decline and progress in energy conservation)
- Risk of fluctuations in energy prices and raw material costs (high proportion of procurement costs, and rising procurement costs squeeze profit)
- Rising energy procurement costs due to geopolitical risk (such as heightened tensions in the Middle East)
- Transition risk and system investment burden associated with the introduction of the new core system
- Impairment loss on business assets recorded in the Energy & Solutions Business (¥12 million in the current interim period)
Last updated: February 16, 2026