JSP Corporation (7942): FY2025 Results Summary — Profit Rises on Value-Added Product Sales, Dividend Raised for a Third Straight Year

This article is based on publicly available IR materials and is not a recommendation to buy or sell any specific securities.

JSP Corporation refers to the fiscal year ended March 31, 2026 as “FY3/26” in its results materials; this article follows the japan-equity.com convention of labeling it FY2025. For the fiscal year, net sales increased 2.3% year on year to ¥145,456 million, operating profit rose 12.7% to ¥7,765 million, ordinary profit rose 10.7% to ¥8,092 million, and profit attributable to owners of parent rose 30.3% to ¥6,602 million. Sales volume remained at the same level as the previous fiscal year, but net sales increased, and profit grew on solid sales of value-added products.

Consolidated Results (Full-Year Actual)

Net sales, operating profit, ordinary profit and profit attributable to owners of parent all increased year on year and exceeded the forecast announced on January 30. Return on equity (ROE) rose to 6.3% (up from 5.2% in the prior fiscal year), reflecting higher operating profit and recorded extraordinary income. The annual dividend per share was increased by 10 yen to 90 yen, marking the third consecutive year of dividend increases since FY3/24.

Item	FY3/26 Results	FY3/25 Results	YoY Comparison
Net sales (Million yen)	145,456	142,250	+2.3%
Operating profit (Million yen)	7,765	6,888	+12.7%
Ordinary profit (Million yen)	8,092	7,311	+10.7%
Profit attributable to owners of parent (Million yen)	6,602	5,066	+30.3%
Dividend per share (Annual)	90 yen	80 yen	+10 yen

Segment Results

The Extrusion Business posted net sales of ¥49,550 million (up 0.3% year on year) and operating profit of ¥2,058 million (up 25.1%), as sales of value-added products such as MIRAFOAM LAMBDA and pre-cut products for the building construction and housing markets increased, offsetting a decline in food tray-related sales. The Bead Business posted net sales of ¥95,905 million (up 3.3%) and operating profit of ¥6,633 million (up 4.1%), driven by increased sales volume of advanced material products such as ARPRO in both the automotive and non-automotive fields, and fixed cost reduction, despite lower sales of expandable polystyrene products such as STYRODIA due to weaker fishery-related demand.

Segment	Metric	FY3/26 Results	FY3/25 Results	YoY
Extrusion Business	Net sales (Million yen)	49,550	49,385	+0.3%
Extrusion Business	Operating profit (Million yen)	2,058	1,645	+25.1%
Bead Business	Net sales (Million yen)	95,905	92,865	+3.3%
Bead Business	Operating profit (Million yen)	6,633	6,373	+4.1%

FY2026 Forecast

For FY3/27, JSP forecasts net sales of ¥164,000 million, up 12.7% year on year, while operating profit, ordinary profit and profit attributable to owners of parent are all forecast to decline, to ¥7,000 million (down 9.9%), ¥7,200 million (down 11.0%) and ¥5,000 million (down 24.3%) respectively, with ROE forecast at 4.6% (down 1.7 points). The outlook for demand remains uncertain, particularly for insulation materials for the building construction and housing markets and automotive parts, and raw material, energy and labor costs are expected to continue rising. By segment, Extrusion Business net sales are forecast at ¥52,000 million (up 4.9%) with operating profit of ¥1,200 million (down 41.7%), while Bead Business net sales are forecast at ¥112,000 million (up 16.8%) with operating profit of ¥6,900 million (up 4.0%). The annual dividend per share is forecast to increase by 10 yen to 100 yen.

Item	FY3/27 Forecast	FY3/26 Results	YoY
Net sales (Million yen)	164,000	145,456	+12.7%
Operating profit (Million yen)	7,000	7,765	-9.9%
Ordinary profit (Million yen)	7,200	8,092	-11.0%
Profit attributable to owners of parent (Million yen)	5,000	6,602	-24.3%
ROE	4.6%	6.3%	-1.7pt
Dividend per share (Annual)	100 yen	90 yen	+10 yen

Shareholder Returns

For FY3/26, JSP paid an annual dividend of ¥90 per share, up ¥10 year on year, the third consecutive annual increase since FY3/24. For FY3/27, the company forecasts a further increase to ¥100 per share, which would mark the fourth consecutive fiscal year of dividend increases. Under the capital allocation forecast for FY3/27, shareholder returns are planned at about ¥2.6 billion, against operating cash flow of approximately ¥13.5 billion and strategic and maintenance investments of approximately ¥11 billion.

Medium-Term Plan / Topics

The Group is in the second year of its medium-term business plan, “Change for Growth 2026,” and is promoting three basic concepts: making the entire JSP Group more profitable, contributing to society by supplying foamed plastic products, and strengthening the management base. Under the plan (FY3/25-FY3/27), the cumulative total of FY3/25-FY3/26 results and the FY3/27 outlook shows operating cash flow of approximately ¥36.5 billion, strategic and maintenance investments and others of approximately ¥29.5 billion, and shareholder returns of approximately ¥7.0 billion, generally in line with the original plan of ¥37.0 billion operating cash flow, ¥30.0 billion of strategic and maintenance investments, and shareholder returns based on at least a 35% dividend payout ratio. Major strategic and maintenance investments include new plants in Pune, India and Ramos Arizpe, Mexico, investment to increase output at the Jackson Plant, Butler Plant and Tullahoma 2 Plant, and optimization of production equipment.

This article is an analysis based on publicly available information and is not a recommendation to buy or sell any specific securities. Investment decisions are your own responsibility.