Takemoto Yohki Co.,Ltd.

Business Details

The company's main customers are businesses in the cosmetics and beauty, food and health food, daily necessities and sundries, and chemical and pharmaceutical industries, with production bases in Japan, China, India, and other locations. Centered on the "Standard Bottle," which utilizes proprietary molds, the company provides highly distinctive packaging containers with short lead times and small lot sizes. Resource-Circulating Packaging is positioned as a strategic focus area, with a wide-ranging lineup of containers using biodegradable resin, biomass raw materials, and recycled raw materials. Consolidated net sales for the first quarter of FY2026 (ending December 2026) were ¥3,787 million (up 1.1% year on year).

Recent Overview

In Q1 FY2026 (ending December 2026), net sales rose only slightly, but operating profit surged 28.5% year on year

Net sales in the first quarter of FY2026 (ending December 2026, January to March) were ¥3,787 million (up 1.1% year on year). In Japan, sales declined to ¥2,823 million (down 4.2% year on year) due to a decrease in repeat orders, but increased Standard Bottle sales pushed up the gross margin, resulting in operating profit growth. In India, sales grew rapidly to ¥290 million (up 57.2% year on year) driven by an expanding cosmetics market and increased customer numbers. In China, sales reached ¥676 million (up 11.6% year on year) while maintaining operating profitability, supported by stronger sales efforts targeting the cosmetics sector and cost reductions from production automation. Gross profit margin improved from 28.4% to 31.0%. There has been no change to the full-year earnings forecast (net sales of ¥15,800 million, operating profit of ¥1,150 million).

Key Products

Growth Drivers

• Rapid expansion in the Indian market: Against the backdrop of a thriving cosmetics market, sales in Q1 FY2026 (ending December 2026) reached ¥290 million (up 57.2% year on year), continuing high growth; supply capacity is being expanded through capital investment in molds and molding machines and the development of new supplier manufacturers
• Growing demand for Resource-Circulating Packaging: Sales reached ¥1,004 million in Q1 FY2026 (ending December 2026, 26.5% of consolidated net sales), with the enhanced lineup and product range being well received by customers, and continued demand growth is expected
• Improvement in gross profit margin: Growth in Standard Bottle sales contributed to improved gross profit and margin, with the gross profit margin in Q1 FY2026 (ending December 2026) reaching 31.0% (up 2.6 percentage points from 28.4% in the same period of the previous year)
• Improved profitability in China: Continued cost reduction through expanded automation and labor-saving production lines, combined with strengthened sales efforts toward the cosmetics sector, resulted in sales growth of 11.6% year on year while maintaining operating profitability
• Strengthened web marketing: Promoting initiatives to expand the customer base through e-commerce and to enhance brand recognition through stronger communication of sustainability-oriented containers, resulting in increased order value for new projects

Risks

• Risk of declining repeat orders in the Japanese domestic market: In Q1 FY2026 (ending December 2026), domestic sales continued to decline, down 4.2% year on year, with uncertainty remaining as to whether large-scale repeat orders will recover
• Intensifying competition in the Chinese market: Continued consumer thrift and intensifying competition with other companies in the same industry create uncertainty regarding the sustainability of sales growth
• Foreign exchange risk: A foreign exchange loss of ¥21,978 thousand was recorded in Q1 FY2026 (ending December 2026) (compared to a foreign exchange gain of ¥5,636 thousand in the same period of the previous year), acting as a factor depressing ordinary profit
• Geopolitical risk: Continued uncertainty in international affairs, including U.S. trade policy and the situations in Ukraine and the Middle East, could affect business operations at overseas locations (China, India, the United States, Europe, and Thailand)
• Rising raw material and energy prices: The impact of ongoing price inflation persists, and the risk of margin deterioration due to rising costs remains