REFINVERSE Group, Inc.
7375・Growth Market・Services
Materials Business
Material recycling business that manufactures and sells recycled resin products through proprietary resource-recycling technology for waste materials
| Period | Current | Previous | Change |
|---|---|---|---|
| Segment revenue (cumulative Q3) | ¥1,029 million (external customers: ¥958 million; internal revenue: ¥70 million) | ¥975 million (external customers: ¥919 million; internal revenue: ¥56 million) | ↑ |
| Segment profit (cumulative Q3) | ¥162 million | ¥13 million | ↑ |
| Revenue from external customers (cumulative Q3) | ¥958 million | ¥919 million | ↑ |
| Segment revenue (full year, prior year actual) | — (current full-year figure not yet finalized) | ¥1,295 million | ↑ |
| Segment profit (full year, prior year actual) | — (current full-year figure not yet finalized) | ¥49 million | ↑ |
Business Details
Operated by Refinverse Co., Ltd. and Refine Material Co., Ltd. The core business is the manufacture and sale of "REFINE POWDER," a recycled PVC compound produced by reprocessing used carpet tiles with proprietary cutting technology. The company also manufactures and sells "REAMIDE® (Reamide)," a recycled nylon resin made from waste fishing nets and automobile airbag scraps, as well as Steelmaking Auxiliary Materials. The company has established a direct sales system to major carpet tile manufacturers such as SUMINOE, Sangetsu, and Kawashima Selkon Textiles. It has a unique business model combining both manufacturing and industrial waste intermediate treatment aspects.
Recent Overview
CTR business achieved record highs for two consecutive quarters; segment profit surged 1,129.2% year on year
In the cumulative third quarter of FY2026 (ending June 2026), revenue from external customers in the Materials Business was ¥958 million (up 5.5% year on year), and segment profit rose sharply to ¥162 million (up 1,129.2% year on year). While the CTR business was driven by record-high procurement and sales volumes of REFINE POWDER, REAMIDE® saw a year-on-year revenue decline due to reduced production volume associated with the relocation to the Gamagori plant. Additionally, Connection Co., Ltd. was absorbed into GMS Co., Ltd. effective February 1, 2026, and was removed from the scope of consolidation. The company continues to make upfront investments in preparation for launching the polyolefin resin recycling business.
Key Products
Growth Drivers
- Sustained growth in demand for REFINE POWDER driven by expanded adoption of recycled carpet tiles by major customers amid decarbonization and circular economy trends (procurement and sales volumes both reached record highs in Q3)
- Creation of a new revenue source through the launch of the waste plastic feedstock supply business for oil-to-chemical recycling in collaboration with Mitsubishi Chemical
- Expansion of sales channels into multiple industries, including apparel and molded parts, through quality and value-added improvements in REAMIDE® following completion of the relocation to the new Gamagori plant
- Potential for higher selling prices as an environmentally responsible product, supported by revisions to the Green Purchasing Law and Eco Mark standards
- Expansion of revenue opportunities through customer-collaborative recycling technology development and consulting, driven by increasing inquiries regarding the company's resource recycling know-how
Risks
- Risk of reduced production volume associated with the relocation of REAMIDE®'s plant to Gamagori (year-on-year revenue decline continued in the cumulative third quarter)
- Risk related to stable procurement of raw materials such as used carpet tiles, waste fishing nets, and airbag scraps (procurement volume directly affects production volume and revenue)
- Risk of production stoppages due to sudden equipment failures, as much of the production equipment used in the Materials Business is of proprietary specification
- Risk of recording extraordinary losses related to plant relocation costs (extraordinary loss of ¥32 million recorded for plant relocation costs in the cumulative third quarter)
- Risk of intensified price competition due to expanded market entry by competitors (increased industry entry from multiple sectors is expected amid rising global attention to resource recycling)
Last updated: September 30, 2025