MOLITEC STEEL CO., LTD.
5986・Standard Market・Metal Products
Trading Business
The core segment of Moritex Steel that sells Special Steel Strip, Ordinary Steel, and related products
| Period | Current | Previous | Change |
|---|---|---|---|
| Net Sales | ¥33,462 million | ¥36,294 million | ↓ |
| Segment Profit (Operating Profit) | ¥404 million | ¥408 million | ↓ |
| Segment Assets | ¥18,520 million | ¥21,906 million | ↓ |
| Depreciation and Amortization | ¥164 million | ¥180 million | ↓ |
| Capital Expenditures (Increase in Tangible and Intangible Fixed Assets) | ¥95 million | ¥225 million | ↓ |
| Share of Consolidated Net Sales | 69.4% | 71.9% | ↓ |
Business Details
A domestic trading segment mainly selling steel products such as Special Steel Strip (polished special steel strip, hot-rolled steel strip, stainless steel strip) and Ordinary Steel. Main customers are automobile, home appliance, and semiconductor-related manufacturers. In FY2026 (ending March 2026), sales were ¥33,462 million, accounting for 69.4% of consolidated sales, making it the largest segment. Demand adjustments for automobiles and home appliances, along with continued weak semiconductor demand, led to a decline in revenue, though some products benefited from favorable spread conditions.
Recent Overview
Continued adjustment in automobile, home appliance, and semiconductor demand led to a 7.8% decrease in sales and a slight decline in profit
In FY2026 (ending March 2026), sales of the Trading Business were ¥33,462 million, down 7.8% year on year. Both Special Steel Strip (¥19,312 million, down 9.1% year on year) and Ordinary Steel (¥12,778 million, down 5.5% year on year) declined. Demand adjustments for automobiles and home appliances among main customers continued, while semiconductor demand also remained weak. Segment profit was ¥404 million, only slightly down 1.1% year on year, supported by favorable spread conditions for some products. Segment assets decreased significantly to ¥18,520 million due to reductions in accounts receivable and inventory, among other factors.
Key Products
Growth Drivers
- Synergy effects from consolidation of Nakagawa Sangyo Co., Ltd. as a subsidiary (complementary sales channels for stainless steel, home appliances, and semiconductors)
- Strengthened group-wide competitiveness through in-house steel slitting processing
- Strengthening of Special Steel Strip handling and deepening of existing sales channels in the automotive industry
- Securing profitability by leveraging favorable spread conditions for some products
- Promotion of passing on raw material and energy cost increases to sales prices
Risks
- Continued demand adjustment for automobiles and home appliances among main customers
- Delayed recovery in semiconductor demand
- Increased procurement costs due to rising raw material prices and energy costs
- Deterioration of the demand environment due to changes in trade policy such as U.S. tariff measures
- Structural decline in demand for internal combustion engine-related parts due to the EV shift in the automotive industry
- Risk of declining profit margins due to price revisions, etc. (the Trading Business is expected to remain sluggish in the next period's outlook)
Last updated: June 23, 2026