THE NIHON SEIMA CO.,LTD.
3306・Standard Market・Wholesale Trade
Industrial Materials Business
A small-scale segment engaged in the import and sale of jute products, large packaging materials, and related items
| Period | Current | Previous | Change |
|---|---|---|---|
| Revenue | ¥533 million | Not disclosed (not comparable as prior period was on a consolidated basis) | — |
| Operating Loss | -¥0 million | Not disclosed (not comparable as prior period was on a consolidated basis) | ↑ |
Business Details
The Industrial Materials Business is engaged in the import and sale of jute products used as interior materials (carpet backing), greening materials, and insect-repellent materials, as well as large packaging materials such as paper bags and flexible container bags (FLEXIBAGs) for rice and wheat. Sales are primarily directed to the domestic market. Revenue of ¥533 million accounts for approximately 22% of total company revenue of ¥2,399 million. During the period, import sales of jute products exceeded the previous year, contributing to an improvement in the gross profit margin, while sales of paper bags and flexible container bags for rice and wheat fell below the previous year. The reduction in cost burden associated with a review of staffing arrangements also helped bring the operating loss to nearly zero.
Recent Overview
Strong sales of jute products improved margins, and staffing review also achieved cost reductions
In FY2026 (ending March 2026), import sales of jute products (carpet backing, greening materials, insect-repellent materials, etc.) exceeded the previous year, contributing to an improvement in the gross profit margin. On the other hand, sales of paper bags and flexible container bags for rice and wheat fell below the previous year. On the profit side, the reduction in cost burden associated with a review of staffing arrangements brought the operating loss to nearly zero (-¥0 million), resulting in a significant improvement in profitability. Revenue was ¥533 million.
Key Products
Growth Drivers
- Expanding demand for jute products in interior materials, greening, and insect-repellent applications
- Growing momentum toward reconsidering jute products as environmentally friendly materials
- Improvement in cost structure through staffing review
- Development of new demand to expand applications for packaging materials
Risks
- Rising import costs due to yen depreciation (jute products are import-dependent)
- Profit pressure from sharp increases in logistics costs
- Risk of continued weakness in sales of paper bags and flexible container bags for rice and wheat
- Delays in price increase negotiations in the low-margin packaging materials field
- Seasonal volatility risk due to dependence of agricultural materials on harvest season
Last updated: June 22, 2026