DOWA HOLDINGS CO., LTD.
5714・Prime Market・Nonferrous Metals
Environment & Recycling Division
A stable earnings-base segment for DOWA, centered on waste treatment, soil remediation, and resource recycling
| Period | Current | Previous | Change |
|---|---|---|---|
| Net sales (full year, FY2026 ending March 2026) | ¥227,173 million | ¥180,142 million | ↑ |
| Operating income (full year, FY2026 ending March 2026) | ¥16,021 million | ¥13,909 million | ↑ |
| Ordinary income (full year, FY2026 ending March 2026) | ¥16,512 million | ¥14,967 million | ↑ |
| Segment assets (as of fiscal year-end, March 2026) | ¥165,944 million | ¥144,991 million | ↑ |
| Depreciation and amortization (full year, FY2026 ending March 2026) | ¥9,114 million | ¥8,228 million | ↑ |
Business Details
Engages in waste treatment (incineration, melting, and resource recovery), soil remediation, resource recycling (home appliance recycling and collection of recycling raw materials for smelters), logistics, and other operations. In addition to domestic sites, the segment also operates in Southeast Asian countries such as Indonesia and Thailand. As the starting point of DOWA Group's circular business model, it is responsible for collecting and processing waste and recycling raw materials, and also supplies raw materials to the Smelting & Refining Division and other divisions. Major affiliated companies include DOWA ECO-SYSTEM Co., Ltd. and others.
Recent Overview
Net sales rose sharply, up 26.1% year on year, and operating income also increased, up 15.2%
In the Environment & Recycling Division for FY2026 (ending March 2026), net sales were ¥227,173 million (up ¥47,031 million, or +26.1%, year on year), operating income was ¥16,021 million (up ¥2,112 million, or +15.2%), and ordinary income was ¥16,512 million (up ¥1,544 million, or +10.3%). Processing unit prices for waste treatment remained firm, and processing volumes for melting/resource recovery and home appliance recycling increased. While expanded orders in Indonesia contributed positively, increased costs at the final disposal site in Thailand and a decline in equity-method investment profit/loss in the waste treatment business held down growth in ordinary income.
Key Products
Growth Drivers
- Continued firm orders for waste treatment (maintaining incineration processing unit prices and increasing melting/resource recovery processing volumes)
- Steady progress in fulfilling the order backlog and securing new orders in the soil remediation business
- Expansion of waste treatment orders in Southeast Asia (particularly Indonesia)
- Revenue contribution from the recycling business through increased home appliance recycling processing volumes
- Strengthening of the collection and processing functions for waste and recycling raw materials within DOWA Group's circular business model
Risks
- Risk of deterioration in investment profit/loss from equity-method affiliates in the waste treatment business
- Risk of increased costs due to revised estimates of future maintenance costs (such as soil covering expenses) at the final disposal site in Thailand
- Risk of decreased collection volumes of recycling raw materials for the Group's smelters
- Risk of local regulatory and political risk as well as foreign exchange risk in the Southeast Asia Business
- Risk of decreased orders in the next fiscal year (FY2027, ending March 2027) due to an expected decline in low-concentration PCB waste treatment volume
- Risk of profit margin pressure from increased costs such as personnel expenses and depreciation
Last updated: June 23, 2026