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Sumitomo Forestry Q1 Sales Edge Higher but Profits Slide as Margins Tighten

Story Highlights
  • Sumitomo Forestry’s Q1 2026 sales grew modestly, but operating and net income declined sharply amid margin pressure.
  • The company maintained its full-year forecast and dividend plan, with stronger balance sheet metrics but lower projected profits.
  • Looking for the best stocks to buy? Follow the recommendations of top-performing analysts.
Sumitomo Forestry Q1 Sales Edge Higher but Profits Slide as Margins Tighten

Meet Samuel – Your Personal Investing Prophet

Sumitomo Forestry Co ( (JP:1911) ) has issued an update.

Sumitomo Forestry reported consolidated net sales of ¥532.1 billion for the first quarter of fiscal 2026, a 4.0% year-on-year increase, while operating income dropped 38.5% to ¥23.9 billion and net income attributable to shareholders fell 18.6% to ¥16.8 billion. Despite weaker profitability, total assets rose to ¥2.61 trillion and the equity ratio improved to 39.8%, and the company kept its full-year forecast for higher sales but lower earnings unchanged, along with a planned annual dividend of ¥50 per share, signaling steady capital policy but pressure on margins.

The firm also highlighted that its latest figures incorporate finalized accounting for a prior business combination, which significantly revised acquisition cost allocation. Share count dynamics reflected a 2025 three-for-one stock split and reduced treasury stock, while no major changes in consolidation scope or accounting policies were reported, suggesting that current performance trends mainly reflect operating conditions rather than structural shifts in the group.

The most recent analyst rating on (JP:1911) stock is a Sell with a Yen1400.00 price target. To see the full list of analyst forecasts on Sumitomo Forestry Co stock, see the JP:1911 Stock Forecast page.

More about Sumitomo Forestry Co

Sumitomo Forestry Co., Ltd. is a Japan-based diversified group operating under Japanese GAAP with consolidated reporting and a primary listing on the Tokyo Stock Exchange. The company’s activities span housing and wood-related businesses, positioning it within the broader construction and materials sector and tying its performance closely to residential and building demand trends in Japan and overseas.

Average Trading Volume: 4,335,119

Technical Sentiment Signal: Hold

Current Market Cap: Yen816.6B

For detailed information about 1911 stock, go to TipRanks’ Stock Analysis page.

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