One category up a third, another down a sixth
S.T. Corporation (TSE: 4951), the maker of the Shaldan and Mushuda household brands, published consolidated results for the three months to June 30, 2026 on August 5, 2026 under Japanese GAAP. Net sales rose 1.8% to ¥11,155 million, but the company swung to an operating loss of ¥47 million from a ¥437 million profit and a net loss of ¥13 million from a ¥352 million profit, for a loss per share of ¥0.64 against earnings of ¥16.91. Ordinary profit stayed positive at ¥112 million, down 81.0%. The company reports a single segment: household products.
Within that single segment the category detail is where the quarter is legible. Hand care — its rubber and plastic gloves — grew 32.0% to ¥1,549 million, the standout by a wide margin, with ultra-thin nitrile gloves leading; the company attributes it to customers buying ahead against supply anxiety tied to the Middle East. Air care, much the largest category, grew 2.6% to ¥4,947 million and clothing care 1.4% to ¥1,602 million.
Against that, home care fell 16.2% to ¥1,123 million as demand for its "Komeban" rice-storage products normalised after the previous year's spike, when rice prices were rising sharply. Moisture care fell 6.0% to ¥873 million, thermo care 6.0% to ¥127 million and pet care 4.8% to ¥932 million.
Two costs, both deliberate on one side
The swing below the top line comes from two places the company names. The gross margin fell on higher raw-material prices, and selling, general and administrative expenses rose as marketing spending returned — the prior-year quarter had held back on television advertising, so this year's comparison carries the cost of resuming it. Neither is a surprise item; together they are enough to move a business of this size from a small profit to a small loss.
The strategy behind the spending is the SMILE plan announced in May 2024, built around "fragrance × wellness × global". The first quarter is seasonally the group's weakest, so a loss here is not the same signal it would be in a business with even quarters.
A very strong balance sheet, and guidance held
Total assets fell 1.9% from the March year-end to ¥45,135 million while net assets edged up 0.2% to ¥34,355 million, lifting the equity ratio to 74.5% from 73.1% — shareholders' equity of ¥33,632 million against modest liabilities. Book value per share was essentially flat at ¥1,611.54 against ¥1,611.46.
Guidance published on May 11, 2026 is unchanged: net sales of ¥52,000 million (+7.2%), operating profit of ¥2,500 million (+25.8%), ordinary profit of ¥2,700 million (+11.7%) and net profit of ¥1,800 million (+11.5%), for earnings per share of ¥86.25. That leaves the whole of the ¥2,500 million operating-profit target to be earned in the remaining nine months, from a standing start of −¥47 million. The annual dividend rises to ¥46.00 from ¥44.00, split ¥23.00 interim and ¥23.00 final.
| Metric | Q1 FY3/2027 | Q1 FY3/2026 | Change |
|---|---|---|---|
| Net sales (¥ million) | 11,155 | 10,961 | +1.8% |
| Operating profit (¥ million) | −47 | 437 | profit to loss |
| Ordinary profit (¥ million) | 112 | 591 | −81.0% |
| Net profit (¥ million) | −13 | 352 | profit to loss |
| EPS (¥) | −0.64 | 16.91 | profit to loss |
| Total assets (¥ million) | 45,135 | 46,032 | −1.9% |
| Net assets (¥ million) | 34,355 | 34,303 | +0.2% |
| Equity ratio | 74.5% | 73.1% | +1.4 pt |
| FY3/2027 guidance — revenue (¥ million) | 52,000 | — | +7.2% |
| FY3/2027 guidance — operating profit (¥ million) | 2,500 | — | +25.8% |
| FY3/2027 guidance — ordinary profit (¥ million) | 2,700 | — | +11.7% |
| FY3/2027 guidance — net profit (¥ million) | 1,800 | — | +11.5% |
| FY3/2027 guidance — EPS (¥) | 86.25 | — | n.m. |
| Annual dividend per share (¥) | 46.00 | 44.00 | +4.5% |
JapanStockPulse provides informational content only and does not constitute investment advice. Figures are taken from the company's published earnings short report and may be subject to subsequent revision.