Mitsubishi Paper Mills (3864) Q3 2026 earnings summary

Executive summary

• Net sales for the first nine months were ¥117,761 million, down 11.2% year-over-year, with an operating loss of ¥1,090 million and ordinary profit of ¥205 million, both significantly lower than the previous year.

• Loss attributable to owners of parent was ¥2,047 million, reflecting structural reform expenses in the German business and losses from the Aomori earthquake.

• The new Medium-term Management Plan focuses on technology sophistication, environmental initiatives, and governance reforms.

• A cyber incident in August 2025 led to a data leak but did not impact business operations; further security measures are being implemented.

• Head office functions will be partially relocated to the Kyoto Mill in April 2026 to create an innovation hub.

Financial highlights

• Gross profit for the first nine months was ¥13,873 million, down from ¥18,068 million year-over-year.

• Comprehensive income was negative ¥2,070 million, compared to ¥641 million in the prior year.

• Equity ratio decreased to 40.5% from 40.9% at the end of the previous fiscal year.

• Total assets declined to ¥203,455 million from ¥208,217 million at the previous year-end.

Outlook and guidance

• Full-year net sales are forecast at ¥160,000 million, down 9.1% year-over-year.

• Operating profit is projected at ¥2,000 million (down 56.2%), ordinary profit at ¥3,500 million (down 23.0%), and profit attributable to owners of parent at ¥1,500 million (down 65.5%).

• Earnings per share forecast is ¥34.22.

• Dividend forecast remains unchanged at ¥15.00 per share.