ENVALITH
セキ株式会社 logo

SEKI.co.,LTD.

7857・Standard Market・Other Products

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セキ株式会社 logo
SEKI.co.,LTD.7857

Business

SEKI Corporation originated as a printing company founded in 1949 and now operates as a diversified corporate group consisting of the Company and nine consolidated subsidiaries. Centered on its core Printing Business (net sales of ¥8,939 million), the group operates across six segments: Paper & Paperboard Sales, Publishing & Advertising Agency, Art Museum operations, Catalog Sales, and EC Consulting. Major customers include The Yomiuri Shimbun Osaka Head Office (13.80% of net sales) and ASKUL Corporation (11.51%), alongside a diverse range of commercial printing clients including government agencies, local public bodies, and clients in the Tokyo and Kansai metropolitan areas. Listed on the Standard Market of the Tokyo Stock Exchange.

Business Model

The group operates a vertically integrated business spanning raw material (paper & paperboard) procurement and supply, printing manufacturing and processing, publishing & advertising agency operations, and catalog sales. The Printing Business accounts for approximately 74% of net sales, while the Publishing & Advertising Agency Business (approximately 11%) and Catalog Sales Business (approximately 12%) form complementary revenue sources. In August 2025, the company acquired an EC consulting firm, aiming to diversify revenue into the digital domain.

Company Strengths

The Iyo Plant has obtained JPMA-certified "Japan Color Certification" (including matching certification and proof operation certification), ISO14001, Green Printing plant certification, FSC/PEFC CoC certification, and Privacy Mark (JIS Q 15001). This multi-layered certification system forms a barrier to entry in high-quality-demanding fields such as food and medical packaging.

Sales to The Yomiuri Shimbun Osaka Head Office amounted to ¥1,674,500 thousand (13.80% of total sales), and sales to ASKUL amounted to ¥1,396,171 thousand (11.51% of total sales), with the top two clients accounting for approximately 25% of total sales, forming a stable, large-scale client base. Long-term contracted business relationships continue, including Newspaper Printing Contract Services provided by Media Press Setouchi Co., Ltd.

Under a dual head office system based in Matsuyama and Tokyo, the company operates locations in Tokyo, Osaka, Nagoya, Takamatsu, Kochi, Hiroshima, and Fukuoka. Orders for SP (sales promotion) related to tourism and promotional activities in the greater Tokyo and Kansai areas have been trending steadily, and the company has built a nationwide sales network despite originating from a regional area. In 2024, the company entered into a capital and business alliance with Fuji Seal International, further strengthening external partnerships.

ENVALITH's Perspective

In FY2026 (ending March 2026), net sales came to ¥12,133 million (down 1.4% year on year), while the company posted an operating loss of ¥65 million, falling into the red from an operating profit of ¥224 million in the previous fiscal year. The main causes were an operating loss of ¥97 million in the Printing Business and an operating loss of ¥48 million in the EC Consulting Business (including M&A-related expenses and goodwill amortization). External factors such as the continued high prices of printing paper, ink and other raw materials, along with rising labor costs, have compounded the pressure on profits from both declining sales and increasing costs. The securing of recurring profit of ¥189 million relied on dividend income from investment securities and other items, making the recovery of core business profitability an urgent priority.

The consolidated earnings forecast for FY2027 (ending March 2027) calls for net sales of ¥12,845 million (up 5.9% year on year), operating profit of ¥4 million, recurring profit of ¥235 million, and profit attributable to owners of parent of ¥135 million (down 46.6% year on year). While operating profit is expected to return to positive territory, the sharp decline in net profit appears mainly due to the disappearance of extraordinary gains recorded in the previous fiscal year, such as a gain of ¥224 million on the sale of investment securities. For the cumulative first half, the company forecasts an operating loss of ¥240 million and a net loss of ¥118 million, leaving uncertainty as to whether the second-half-weighted plan can be achieved.

The equity ratio stands at a solid 83.6%, with net assets of ¥16,465 million, indicating a robust financial foundation. On the other hand, the market-value-based equity ratio is 29.0% (versus 29.7% in the previous fiscal year), showing a large gap from the book-value-based figure and suggesting that the market values the company's worth at only about 35% of net assets. The fact that the share price is heavily discounted relative to net assets per share of ¥3,893 reflects both the low profitability of the core business and limited growth expectations. Nurturing the EC Consulting Business and shifting toward the packaging field will be key to improving market valuation.

Growth Strategy

Transforming the earnings structure through strengthened packaging and EC consulting operations along with rationalization of existing businesses

Completed the installation of UV printing presses and Thomson (die-cutting) machines and the renovation of clean rooms, establishing an order-taking framework for food and medical packaging. Aims to mitigate the impact of shrinking printing demand and improve profitability by shifting toward high-value-added fields.

In August 2025, Pure Flat Co., Ltd. was made a wholly owned subsidiary for ¥600 million, and a new EC Consulting Business segment was established. This period, the segment recorded net sales of ¥107 million, but posted an operating loss of ¥48 million due to M&A-related expenses and goodwill amortization (straight-line over 10 years; period-end balance of ¥515 million). The company will continue to cultivate this business as a mid- to long-term pillar of digital marketing revenue.

"Stationery Festa 2025 in Ehime" was held for the first time in October 2025 in Matsuyama City, Ehime Prefecture. A second event is planned for December 2026, aiming to enhance the regional brand and acquire new customers. Ripple effects are also expected in orders for anniversary events and other events within the Printing Business.

Amid the continuing downward trend in printing demand, the company is strengthening broad-based proposal sales activities that are not confined to existing business fields, while also promoting the rationalization and streamlining of management. The company targets net sales of ¥12,845 million (up 5.9% year on year) and a return to profitability with operating profit of ¥4 million in FY2027 (ending March 2027).

Last updated: July 19, 2026