OKAMOTO GLASS CO., LTD.
7746・Standard Market・Precision Instruments
Lighting Business
Automotive and lighting glass products segment returning to profitability through withdrawal from unprofitable products
| Period | Current | Previous | Change |
|---|---|---|---|
| Revenue (Full-year FY2026, ending March 2026) | ¥438 million | ¥524 million | ↓ |
| Segment profit (Full-year FY2026, ending March 2026) | ¥5 million | -¥32 million | ↑ |
| Segment assets (Full-year FY2026, ending March 2026) | ¥990 million | ¥1,016 million | ↓ |
| Depreciation and amortization (Full-year FY2026, ending March 2026) | ¥46 million | ¥55 million | ↓ |
| Capital expenditures (Full-year FY2026, ending March 2026) | ¥3 million | ¥35 million | ↓ |
Business Details
This segment manufactures and sells Cover Glass for Automotive Headlights and Fog Lights, Glass Products for General Lighting, and other products. Major affiliated companies include Okamoto Optics Technology Co., Ltd. and Suzhou Okamoto Trading Co., Ltd. It is a mid-sized segment accounting for approximately 9% of consolidated revenue. In FY2026 (ending March 2026), revenue declined due to a decrease in sales of Cover Glass for Automotive Headlights and Fog Lights, but the segment returned to profitability from a segment loss through the withdrawal from unprofitable products, among other measures.
Recent Overview
Revenue declined by ¥86 million, but the segment returned to profitability for the first time in two years through withdrawal from unprofitable products
In the Lighting Business for FY2026 (ending March 2026), revenue declined significantly to ¥438 million (down ¥86 million, or 16.4%, year on year), primarily due to a decrease in sales of Cover Glass for Automotive Headlights and Fog Lights. On the other hand, cost structure improvements, including the withdrawal from unprofitable products, resulted in segment profit of ¥5 million (versus a segment loss of ¥32 million in the prior period), an improvement of ¥37 million, marking a return to profitability after two consecutive years of operating losses. Capital expenditures were significantly reduced from ¥35 million in the prior period to ¥3 million, clearly reflecting a policy of selective focus.
Key Products
Growth Drivers
- The trend of shifting from resin back to glass in automobiles in response to the adoption of solid-state light sources (LED and laser)
- Improvement in earnings structure and lowering of the break-even point through withdrawal from unprofitable products
- Policy of expanding into next-generation automotive components such as filters and cover glass for ADAS, autonomous driving, and LiDAR applications
- Enhancement of added value through combined product offerings with Hi-Silver® (High-Durability Silver Mirror) and PiG (phosphor-dispersed glass)
Risks
- Instability in revenue due to fluctuations in demand for Cover Glass for Automotive Headlights and Fog Lights (recorded a 16.4% year-on-year decline in FY2026, ending March 2026)
- Risk of reduced fixed-cost absorption capacity due to shrinking revenue scale following the withdrawal from unprofitable products
- Risk of changes in automotive market demand trends and in transaction conditions with major customers
- Risk of delays in the development and mass production of products compatible with solid-state light sources
- Significant curtailment of capital expenditures, constraining investment capacity needed to maintain future product competitiveness
Last updated: June 26, 2026