Consolidated Financial Results for the Six Months Ended September 30, 2025 ( 113KB )

FY 2025 2Q Financial Results for the Six months ( 355KB )

Notice of Interim Dividend-FY2025 2Q ( 22KB )

FY2025 2Q Financial Results briefing (Q&A session) ( 70KB )

During the first half of the fiscal year under review, the Japanese economy recovered moderately, reflecting signs of a pick-up in personal consumption and capital investment. Conversely, inflation remains persistent, raising concerns about a potential decline in consumer sentiment
In the business environment surrounding our group, demand for aviation fuel continued to be strong from the previous year, with the number of foreign visitors to Japan reaching a record high each month. In the case of fuel oil for automobiles, market prices remained unstable due to factors such as the tension in the Middle East situation and the commencement of measures by the government to reduce the price of fuel oil on a straight-line basis, as well as the observation of the abolishment of the provisional tax rates for gasoline tax and diesel fuel tax.
Under these circumstances, SAN-AI OBBLI Group promoted the streamlining of existing businesses and growth-oriented investments through DX to achieve the second stage of our medium-term management plan, "Challenge for the Transforming Future 2030”.

During the six months ended September 30, 2025, net sales of our group increased by 0.4% year-on-year to 308,364 million yen. Operating profit fell 31.6% year-on-year to 3,784 million yen. This was caused by the price distortion in certain purchases and sales transactions at consolidated subsidiary Kygnus Sekiyu K.K., stemming from the impact of the domestic petroleum product market conditions. Ordinary profit decreased by 28.8% year-on-year to 4,310 million yen, and profit attributable to owners of parent decreased by 37.0% year-on-year to 2,828 million yen.

Segment results are as follows

In the Petroleum-related business, sales volume of petroleum products was on par with the same period of the previous fiscal year. The status of each division is as follows.
In the Petroleum retail division, although sales volume in directly managed Service Station was on par with the same period of the previous fiscal year, profits decreased year on year due to a narrowing of profit margins. In the Petroleum wholesale business, Kygnus Sekiyu K.K.’s performance deteriorated sharply due to the market price decline. This decline in market prices stems from expectations of lower oil product prices, driven by factors such as the resumption of fuel oil subsidies and speculation about the abolition of the provisional gasoline tax and diesel fuel rate. As a result, profits of the petroleum wholesale were significantly lower than in the same period of the previous fiscal year. In the Industrial fuel oil sales division, both sales volume and profits were on par with the same period of the previous fiscal year. In the Industrial lubricants sales division, orders for gas engine maintenance for power generation and endoscopy testing for wind power generation were lower than in the same period in the previous fiscal year. But profits were higher than in the same period in the previous fiscal year due to a decline in SG&A expenses.

Consequently, net sales in the Petroleum-related business increased by 0.2% year-on-year to 264,397 million yen, and segment profit decreased by 79.9% year-on-year to 859 million yen.

In the Chemical Products-related business, while sales volume of each product remained at the same level as the same period of the previous year, profit margins improved due to optimization of the supply chain. The status of each product is as follows.
In automotive-related products, sales volume of car wash drugs, which are proprietary products, remained unchanged from the same period of the previous fiscal year, while profits increased year-on-year due to a recovery in profit margins. Sales volume and profits for biocide products were higher than in the same period of the previous fiscal year. In solvent and industrial chemicals, profit rose year-on-year due to a recovery in profit margin. In tackifier, sales volume and profits were on par with the same period of the previous fiscal year. In other areas, sales of higher alcohol and other performance chemicals were sluggish.

Consequently, net sales in the Chemical Products-related business decreased by 0.9% year-on-year to 6,254 million yen, and segment profit increased by 16.1% year-on-year to 599 million yen.

In LPG sales business, demand was generally on a downward trend due to the extremely hot summer and other factors, and sales volume fell year-on-year. The status of each division is as follows.
In the retail division, although unit consumption declined, mainly for household use, profits rose year-on-year due to an increase in the number of customers following the acquisition of goodwill. In the wholesale division, profits fell year-on-year due to the decrease in sales volume.

In the natural gas sales business, sales volume rose year-on-year due to the participation of Imari Gas Co., Ltd. in the Group, despite a decrease in unit consumption for household use. In the commercial and industrial-use department, sales volume slightly exceeded the same period of the previous fiscal year due to an increase in demand from some customers due to the extremely hot summer and other factors. As a result, both sales volume and profits rose year-on-year in the natural gas sales industry.

Consequently, sales in the gas-related business decreased by 4.1% year-on-year to 26,088 million yen due to a decline in LPG sales volume. Segment profit increased by 97.2% year-on-year to 737 million yen.

In the Aviation-related business, air travel demand was strong due to an increase in foreign visitors to Japan and so on. The volume of fuel handled at Haneda Airport was favorable on domestic routes due to a recovery in demand for summer travel and other factors. On international routes, sales were robust due to new flights associated with inbound demand and increased flights. As a result, the combined volume of fuel handled by domestic and international airline increased by about 5% year-on-year.
Furthermore, the refueling business at other airports also delivered strong performance, driven by robust growth in aviation demand—particularly at Kansai International Airport and Kobe Airport, both located near the venues of Expo 2025 Osaka, Kansai.

Consequently, in the Aviation-related business, net sales increased by 17.2% year-on-year to 8,438 million yen, and segment income increased by 63.4% year-on-year to 2,912 million yen.

In other businesses, in the cleaning and surface treatment business for metal products and other products, both sales and profits increased year-on-year due to an increase in orders from large customers. In the construction industry, both sales and profits exceeded the results for the same period of the previous fiscal year due to firm Equipment related Sales.

Consequently, net sales in the Other business rose 18.1% year-on-year to 3,184 million yen due to solid performance in the construction industry. Segment profit increased by 19.0% year-on-year to 388 million yen.