FURUBAYASHI SHIKO CO.,LTD.
3944・Standard Market・Pulp & Paper
Japan Segment
Core group segment responsible for domestic manufacturing and sale of Printed Paper Containers and Plastic Packaging Materials
| Period | Current | Previous | Change |
|---|---|---|---|
| Net sales to external customers (Q1 cumulative) | ¥3,659 million | ¥3,682 million | ↓ |
| Segment profit (Q1 cumulative) | ¥206 million | ¥167 million | ↑ |
| Net sales to external customers (full year, prior period results) | ¥15,400 million | — | — |
| Depreciation and amortization (Q1 cumulative) | ¥154 million (consolidated total) | ¥167 million (consolidated total) | ↓ |
Business Details
Comprised of Kobayashi Paper Industry Co., Ltd. and domestic consolidated subsidiaries. The mainstay business is Printed Paper Containers (Cartons) for consumer goods such as confectionery, food, soap and detergent, and daily sundries, with Plastic Packaging Materials also offered. Major customers include Kao Corporation, Rengo Riverwood Packaging Co., Ltd., and Ajinomoto Co., Inc., with individual contract-based quality and delivery management and design proposal capability serving as the source of competitive advantage. Net sales to external customers for FY2025 (ending December 2025) were ¥15,400 million, accounting for 86.2% of consolidated net sales.
Recent Overview
Sales slightly declined, but price revisions and production system review improved profitability, with segment profit up 23.3% year on year
In Q1 FY2026 (ending December 2026), Japan Segment net sales to external customers were ¥3,659 million (down 0.6% year on year), affected by sluggish order volume growth. On the other hand, price increases in response to rising raw material and labor costs and profitability improvements from a review of the production system were effective, and segment profit increased significantly to ¥206 million (up 23.3% year on year). This confirms that improvements in the earnings structure are progressing.
Key Products
Growth Drivers
- Improved profitability through progress in price revision (price increase) negotiations with customers against a backdrop of rising raw material and labor costs
- Improved manufacturing efficiency and cost structure through review of the production system
- Stable business relationships based on individual contracts with major consumer goods manufacturers such as Kao, Rengo Riverwood Packaging, and Ajinomoto
- Expansion of high-value-added orders through strengthened design proposal capability and specialized packaging technology
- Acquisition of new demand through development and promotion of SDGs-oriented products such as resource-saving, easy-to-dispose packaging and forest-certified paper utilization
Risks
- Continued cost pressure from rising raw material prices and labor costs
- Risk of sluggish growth in consumer goods demand due to downward pressure on personal consumption
- Risk of sales concentration in major customers (Kao, Rengo Riverwood Packaging, Ajinomoto)
- Capital expenditure has significantly decreased from ¥960 million in the prior period to ¥104 million, raising concerns about a slowdown in the pace of medium- to long-term production capacity expansion
- Risk of increased fundraising costs due to rising interest rates and normalization of monetary policy
Last updated: March 19, 2026