MINO CERAMIC CO.,LTD.

Business Details

This is the core segment of the Group, engaged in the manufacture and sale of refractories and ceramic products centered on Refractory Bricks. Its main customers are in the cement industry, and it provides products used in the construction and repair of furnaces and kilns that require durability and fire resistance under high temperatures. In recent years, the segment has actively pursued expansion into high-value-added ceramics fields such as Kiln Furniture (Ceramic Products) for the electronic components and semiconductor industries and contract processing. From FY2026 (ending March 2026), the segment name has been changed from the former "Refractories Business" to "Refractory Ceramics Business."

Recent Overview

Both revenue and profit exceeded the prior year, but an impairment loss of ¥163 million was recorded

In the Refractory Ceramics Business for FY2026 (ending March 2026), revenue increased to ¥6,992 million (up 11.6% year on year) and segment profit increased to ¥422 million (up 23.0% year on year), achieving growth in both revenue and profit. This was driven by strengthened sales to existing customers, development of new customers in the ceramics field, productivity improvement initiatives, and progress in passing on price increases amid rising raw material and fuel costs. On the other hand, the segment recorded an impairment loss of ¥163 million related to fixed assets, which warrants continued attention from an asset efficiency perspective.

Key Products

Growth Drivers

• Development of new customers and strengthening of supply capabilities in the ceramics field (Kiln Furniture and contract processing for the electronic components and semiconductor industries)
• Continued promotion of price revisions (passing on costs to achieve appropriate pricing) in the refractories market for the cement industry
• Increasing market share and expanding sales of high-value-added products in the refractories market for the cement industry
• Strengthening cost competitiveness through active efforts to improve productivity
• Diversification of the revenue base and expansion of the business domain through expansion of the recycling business and contract processing business
• Promotion of the transition to the Refractory Ceramics Business based on the medium-term management plan "Take Off - Challenge to a New Stage -"

Risks

• Shrinkage of the core market due to the medium- to long-term declining trend in domestic cement production volume
• Rising manufacturing costs due to soaring labor costs and raw material/fuel prices, and limits to passing these costs on to prices
• Intensifying price competition in the refractories market
• Uncertainty in the external environment, including trends in U.S. trade policy and geopolitical risks leading to instability in resource prices
• Capital investment burden and demand fluctuation risk associated with the shift toward the ceramics field
• Impairment risk related to fixed assets (an impairment loss of ¥163 million was recorded in FY2026, ending March 2026)