OSG raised its consolidated operating profit forecast for the year ending November 2026 to ¥36bn from ¥30bn, a 20.0% increase, in a revision issued on 9 October. The previous forecast dated from 10 July. Operating profit in the year to November 2025 was ¥20.33bn.
Sales are now expected at ¥193bn, up from ¥185bn, and net profit attributable to owners of the parent at ¥24bn, up from ¥21bn.
Three drivers, no split
OSG names three sources of the upgrade, and the release gives no figure for any of them.
The first is demand. The company says demand in its main markets held firm through the nine months, particularly aerospace and defence, electronic components, semiconductor equipment and data centres, energy and medical. Exports from Japan rose and group-company utilisation improved.
The second is a raw-materials subsidiary that kept using tungsten bought before prices rose for longer than planned. Price revisions therefore lifted profitability more than expected. The quarterly results make a similar point: the gap between the timing of price revisions and the timing of material-cost increases helped profitability, as did a weaker yen.
The third is the booking of a refund of US tariffs imposed in earlier years, which the release lists as a profit-increasing factor. It is a single item at this issuer, tied to past tariffs.
Nine months and the fourth quarter
For the nine months to 31 August, operating profit was ¥27.54bn, up 100.2%, on sales of ¥143.2bn, up 23.5%. For the final quarter, OSG cites raw-material prices and geopolitical risk as uncertainties, but expects demand to stay firm given its order position.
The year-end dividend forecast rises ¥15 to ¥91, taking the annual forecast to ¥130 from ¥115. OSG's payout rule, in force from this year, targets the higher of a 45% payout ratio or a 3.5% dividend on equity.