Environment Friendly Holdings Corp.
3777・Growth Market・Information & Communication
Resources & Energy Business
Renewable energy business segment centered on the development and operation of solar power plants
| Period | Current | Previous | Change |
|---|---|---|---|
| Net sales (cumulative Q1 FY2026, ending December 2026) | ¥65 million | ¥9 million (cumulative Q1 FY2025, ending December 2025) | ↑ |
| Segment profit/loss (cumulative Q1 FY2026, ending December 2026) | ¥(29) million (loss) | ¥(2) million (loss) (cumulative Q1 FY2025, ending December 2025) | ↓ |
| Net sales, year-on-year change (same quarter of prior year) | +596.1% | ― | ↑ |
Business Details
The Company operates renewable energy power generation and energy storage-related businesses centered on the development and operation of solar power plants, as well as power-related businesses, the Biomass Business, the Perovskite Solar Cell Business, and other businesses. In the cumulative first quarter of fiscal 2026 (consolidated), electricity sales revenue from solar power plants newly consolidated in the prior fiscal year contributed to results, while initial costs associated with launching new businesses and cost burdens related to newly consolidated subsidiaries are currently taking precedence.
Recent Overview
Electricity sales revenue expanded sharply, but segment loss widened due to upfront costs of new businesses
In the cumulative first quarter of fiscal 2026 (ending December 2026), electricity sales revenue from solar power plants newly consolidated in the prior fiscal year contributed to results, and net sales rose sharply to ¥65 million (up 596.1% year on year). On the other hand, initial costs associated with launching new businesses and cost burdens related to newly consolidated subsidiaries took precedence, and the segment loss widened to ¥29 million (compared with a loss of ¥2 million in the same quarter of the prior year). As a subsequent event, on May 11, 2026, the Company made three SPCs engaged in the solar power business in South Korea (EFI Solar 1–3 Co., Ltd.) into subsidiaries, commencing overseas expansion.
Key Products
Growth Drivers
- Full-scale contribution of electricity sales revenue from solar power plants newly consolidated in the prior fiscal year
- Commencement of overseas expansion through the subsidiarization of the South Korean solar power business (EFI Solar 1–3 Co., Ltd.)
- Accumulation of demonstration data for perovskite solar cells and strengthened collaboration with local governments
- Building a local production and consumption model for renewable energy through collaboration with the energy storage business
- Power supply collaboration with green digital businesses such as the Green Coin Mining Business
Risks
- Risk of near-term loss expansion due to upfront initial costs and cost burdens associated with launching new businesses
- Instability in electricity sales revenue due to fluctuations in electricity market prices and increased output curtailment
- Uncertainty regarding stabilization of the manufacturing process, durability improvement, and cost competitiveness needed for commercialization of perovskite solar cells
- Risk of fluctuations in raw material procurement prices and stability of fuel supply in the biomass business
- Overseas business risks (foreign exchange, regulation, local business environment) in the South Korean solar power business
- Impact on the business environment from changes in renewable energy policy trends
Last updated: March 27, 2026