Sumitomo Osaka Cement Co.,Ltd.
5232・Prime Market・Glass & Ceramics Products
Cement
Core business of Sumitomo Osaka Cement, the flagship segment accounting for approximately 70% of consolidated net sales.
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment Net Sales (External Customers) | ¥158,799 million | ¥156,440 million | ↑ |
| Segment Operating Income | ¥5,495 million | ¥877 million | ↑ |
| Segment Assets | ¥258,809 million | ¥258,866 million | — |
| Depreciation | ¥18,529 million | ¥17,520 million | ↑ |
| Increase in Tangible and Intangible Fixed Assets | ¥16,158 million | ¥21,209 million | ↓ |
| Impairment Loss | ¥3,118 million | ¥0 million | ↑ |
Business Details
Centered on the manufacture and sale of cement, this segment also encompasses the manufacture and sale of ready-mixed concrete and cement-based solidifying materials, power supply, raw fuel recycling, and engineering services. Manufacturing is handled by the Company, Hachinohe Cement, and Wakayama Blast Furnace Cement, with sales conducted domestically and internationally through a network of authorized distributors. Amid the continuing structural contraction of domestic demand, restoring profitability through price revisions and manufacturing cost improvements remains the most critical challenge.
Recent Overview
The effect of price revisions drove a sharp recovery in Cement segment operating income, up 526% year on year to ¥5,495 million.
In FY2026 (ending March 2026), although domestic cement sales volume declined from the prior period (industry-wide domestic demand fell 6.5% year on year to 30,532 thousand tons), the implementation of domestic price increases in response to cost increases proved effective, resulting in net sales of ¥158,799 million (up 1.5% year on year) and a substantial increase in operating income to ¥5,495 million (up ¥4,617 million, or 526.0%, year on year). On the other hand, an impairment loss on fixed assets of ¥3,118 million was recorded in the Cement segment.
Key Products
Growth Drivers
- Recovery of Cement business profitability through implementation of domestic price increases
- Improvement in manufacturing costs through expanded collection of fossil energy substitutes (waste and by-products)
- Increase in export sales volume (industry-wide exports up 7.1% year on year in FY2026)
- Expansion of overseas business, including the Australian terminal business
- Development of new businesses in the decarbonization field (including product development using artificial limestone)
Risks
- Structural contraction of domestic cement demand (industry-wide FY2026: down 6.5% year on year to 30,532 thousand tons)
- Decline in public and private sector demand due to chronic labor shortages in the construction and logistics industries and the spread of the two-day weekend system
- Risk of rising raw fuel and energy costs
- Risk of fluctuation in power purchase prices
- Risk of impairment of fixed assets in the Cement business (an impairment loss of ¥3,118 million was recorded in FY2026)
- Risk of downward pressure on construction demand due to deterioration in the external environment, including US trade policy and Middle East affairs
Last updated: June 24, 2026