Business Overview

Business and Performance Overview (The six months ended June 30, 2026)

Through the 2025-2027 medium-term management plan covering the three years from the fiscal year ended December 31, 2025, we aim to grow writing instruments, which is our mainstay business, in the global market, and create new businesses. We positioned the term as a phase in which we will reinforce the Group’s management foundation for adapting to changes with the purpose of realizing the Group’s “2030 Vision” and strive for ceaseless evolution.
During the six months (January 1 to June 30, 2026) of the fiscal year under review, the economic environment in Japan saw a gradual recovery primarily due to improvements in the employment and income environment. Overseas, the outlook for the global economy remains uncertain due to factors such as the weak Chinese economy, the impact of the situation in the Middle East, and inflation in Europe and the U.S.
In this economic environment, consolidated net sales for the six months under review totaled 72,260 million yen, up 11.2% year on year (YoY). Net sales in the Japanese market came to 14,721 million yen, up 5.1% YoY. Net sales in overseas markets were 57,539 million yen, up 12.9% YoY.
In terms of profit, the Group recorded operating profit of 13,870 million yen, up 17.8% YoY, and ordinary profit of 14,866 million yen, up 28.0% YoY. Profit attributable to owners of parent stood at 10,306 million yen, up 34.5% YoY.

Japan

In the stationery business, the Juice series, including Juice+, and the highlighter pen KIRE-NA continued to achieve strong sales in Japan, in addition to the FRIXION series, which includes FRIXION SYNERGY 3 and FRIXION BALL SWITCH. Furthermore, fountain pens, including the CUSTOM series, continued to perform well, which led to an increase in domestic sales. Sales also grew in overseas markets, particularly for South Korea, where sales of the Juice series, including Juice up, remained strong.
In the toys business, the Mellchan doll and bath toys series, our mainstay products, performed well in the second quarter of the fiscal year under review. However, sales decreased in the six months under review due to the impact of the first-quarter decline in sales.
In the industrial materials and other businesses, sales increased due to an increase in orders received for ceramics products, the mainstay of the industrial materials business, driven by solid semiconductor market conditions.
A breakdown of net sales in this segment by major business is as follows: 15,554 million yen, up 8.0% YoY in the stationery business, 1,265 million yen, down 11.2% YoY in the toys business, and 2,050 million yen, up 10.3% YoY in the industrial materials and other businesses. In the stationery business, net sales of writing instruments stood at 13,963 million yen, up 11.7% YoY, and net sales of other stationery came to 1,591 million yen, down 16.0% YoY.
Segment operating profit increased due to an increase in domestic and overseas sales, as well as foreign exchange effects from the weak yen.

The Americas

In the Americas, sales continued to perform well for G-2, which continues to hold the top share in the gel ink pen market in the U.S., and sales also remained strong for the FRIXION series, for which sales expansion initiatives are being actively implemented. Combined with the impact of the weak yen, the segment as a whole saw an increase in sales and profit.

Europe

In Europe, while the sales volume of G-2, which we are actively promoting, has been steadily increasing, personal consumption has yet to fully recover. In this ongoing challenging market environment, the performance of the FRIXION series, our mainstay products, has decreased due to the significant sales volume of new products introduced in the previous fiscal year.Meanwhile, the segment operating profit decreased due to an increase in selling, general and administrative expenses affected by the weak yen.

Asia

In Asia, although China’s economy remains weak, the segment as a whole saw an increase in sales, driven by the strong performance of the Juice series of gel ink pens, our mainstay products in the Chinese market, and the fountain pens for which we implemented campaigns targeting students via the internet and other channels, as well as the impact of the weak yen. On the other hand, segment operating profit declined due to an increase in selling, general and administrative expenses affected by the weak yen.

Products (Japanese language only)