Summary of Businesses
Industrial materials business
Results in Fiscal 2022
Net sales in the industrial materials business for FY 2022 increased because of the sales increase of MDF in the global markets and LVL in the American housing market, the sales increase of tatami mat materials for the new housing market and renovation market in Japan, and the sales increase of Dai-Lite for the public and commercial buildings, despite the decrease incurred by the sale of a subsidiary MDF sales company in Japan at the end of the previous term.
Operating profit increased, in addition to the effect of the net sales increase described above, combined with the measures for cost rationalization, reduction, and transfer to selling prices to counter the increase in material prices and marine transport costs, high market prices of wood products resulting from the steady housing demand in the U.S., and efforts for promoting the sales of high-added value products, such as preservative LVL and high-strength LVL.
As a result, net sales stood at 100,177 million yen (increased by 24.1% year-on-year) and operating profit at 12,958 million yen (increased by 247.2% year-on-year).
Building materials business
Results in Fiscal 2022
Net sales in the building materials business for FY 2022 increased because of the sales increase of floor materials, doors, and audio products for the new housing market, renovation market, and public and commercial buildings in the consolidated cumulative third quarter, despite the sales decrease resulting from the delayed delivery and restricted order receipts for doors and floor materials in the consolidated fourth quarter.
Operating profit decreased, despite all our efforts for cost rationalization, reduction, and transfer to selling prices to counter the increase in the prices of plywood and other materials, which failed to make up for the combined impact of sales decrease resulting from the delayed delivery and restricted order receipts in the consolidated fourth quarter.
As a result, net sales stood at 91,907 million yen (increased by 3.6% year-on-year) and operating profit at 2,680 million yen (decreased by 34.3% year-on-year).
Engineering business
Results in Fiscal 2022
Net sales of the engineering business for FY 2022 decreased because of the decreased interior work for office buildings.
Operating profit increased because of the improved profitability resulting from the steady renovation of apartments operated in the metropolitan area.
As a result, net sales stood at 20,264 million yen (decreased by 1.4% year-on-year) and operating profit at 952 million yen (increased by 87.5% year-on-year).
*Other Daiken businesses account for 5% in addition to the above.