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Sumitomo Forestry shares hit year-low as Jan-March profit slides 39% on weak U.S. housing

Fri May 8, 2026 10:10 am JST Catalyst

Sumitomo Forestry <1911> shares slumped for a fourth consecutive session on May 8, hitting a fresh year-to-date low after reporting a nearly 40% drop in quarterly operating profit. For the January-March quarter, the company posted revenue of 532,063 million yen, up 4.0% year-on-year, while operating profit tumbled 38.5% to 23,905 million yen.

The profit decline was primarily driven by the company's mainstay U.S. housing business, where high mortgage rates and persistent economic uncertainty dampened buyer demand. This led to a decrease in both order volume and unit sales, with average selling prices softening amid intensified competition. While Australian operations saw revenue and profit growth following the acquisition of Metricon, it was not enough to offset U.S. headwinds.

Source: MINKABU PRESS

*Translated by generative AI. Click here for the original article.

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