# Daio Paper Corporation: business model and financials

> Latest period: FY ending Mar 2026, consolidated, J-GAAP
> Unit: JPY millions
> Sources: 有価証券報告書－第115期(2025/04/01－2026/03/31) (S100YJ8D)
> Page: https://vizora.meequs.com/en/company/daio-paper
> Retrieved: 2026-09-30T21:33:03.262Z

## Company

Daio Paper, founded in 1943, is a company in Paper & Pulp listed on TSE Prime. It has 11,639 employees (consolidated).

| Field | Value |
| --- | ---: |
| Legal name | Daio Paper Corporation |
| Ticker | 3880 |
| Stock price | View on Yahoo Finance (https://finance.yahoo.co.jp/quote/3880.T) |
| Listing | TSE Prime |
| Head office | 愛媛県四国中央市三島紙屋町2番60号 (同所は登記上の本店所在地であり、実際の業務は「最寄りの連絡場所」で行っています。) |
| Representative (per filing) | 代表取締役 社長執行役員 若林 賴房 |
| Founded | May 1943 |
| Share capital | ¥53.9B |
| Employees (consolidated) | 11,639 |
| Average salary (parent only) | ¥6.4M |
| Fiscal year end | March |
| Website | www.daio-paper.co.jp (https://www.daio-paper.co.jp/) |
| Corporate number | 9500001014345 |
| EDINET | E00660 |
| Industries (Vizora) | Paper & Pulp, Toiletries & Household Products |

> Profile source: annual securities report (S100YJ8D, filed 2026-06-25). As of filing

## Five-axis industry profile

Primary industry: Paper & Pulp (2026-03-31)

| Axis | Industry percentile | Peers |
| --- | ---: | ---: |
| Revenue growth | 32.4 | 17 |
| Profitability | 44.1 | 17 |
| Cash conversion | 73.5 | 17 |
| Efficiency | 44.1 | 17 |
| Financial strength | 50 | 5 |

Each axis is shown independently. Missing values are labeled unavailable; no combined score is calculated. Industry rank is not an investment recommendation.

## Key points (generated from figures)

- About 53% of Daio Paper's sales come from Paper and Paperboard, with Home and Personal Care and Other making up much of the rest.
- Out of every ¥100 of sales, about ¥4 is left as operating profit.
- Revenue changed -0.3% from the prior year, operating profit +145.0%.

## Company structure

- Segment revenue mix: Paper and Paperboard 52.5%、Home and Personal Care 44.8%、Other 2.6%
- Revenue → net income: ¥666770000000 → ¥10678000000
- Net income → operating cash flow: ¥10678000000 → ¥57304000000（difference ¥46626000000）
- Main uses of operating cash flow: CapEx ¥23991000000 / dividends ¥2346000000 / buybacks ¥13721000000
- Change in cash: ¥-17134000000
Segment shares use total reported segment revenue, which may include inter-segment sales. The cash bridge is operating cash flow minus net income and combines non-cash items and working-capital effects.

## Key figures at a glance

| Metric | Value | Note |
| --- | ---: | ---: |
| Revenue | ¥666.8B |  |
| Operating income | ¥24B | Margin 3.6% |
| Net income | ¥8.89B | Margin 1.3% |
| Free cash flow | ¥33.3B |  |
| Largest business | Paper and Paperboard | of segment revenue 52.5% |
| Employees (consolidated) | 11,639 |  |
| EPS | ¥-2.18 |  |
| Book value per share | ¥1056.18 |  |
| Equity ratio | 26.6% |  |
| Shares outstanding | 169,012,926 |  |
| Treasury shares | 13,624,800 |  |
| Shareholders | 69,489 |  |
| Average salary (parent only) | ¥6.4M | Filing company only |
| Cash ratio | 11.2% | Net cash -¥216.8B · Cash ÷ revenue 14.4% |
| Vs. industry median margin | -0.1 pp | Paper & Pulp |
| ROE | 4.4% | Derived from disclosed figures |
| ROA | 1.0% | Derived from disclosed figures |

## Notable figures

- FY2026, operating cash flow is 6.4× net income
- FY2026, buybacks were 5.8× dividends
- FY2026, employees -5% while operating income rose 145%

## What changed in 5 years

| Metric | FY ending Mar 2021 | FY ending Mar 2026 | Change |
| --- | ---: | ---: | ---: |
| Revenue | ¥562928000000 | ¥666770000000 | +18.4% |
| Operating income | ¥36873000000 | ¥24032000000 | -34.8% |
| Operating margin | 6.6% | 3.6% | -2.9 pp |
| Employees | 12,658 people | 11,639 people | -8.1% |
| Cash and equivalents | ¥130301000000 | ¥95737000000 | -26.5% |

### Change in segment revenue mix

Span: FY ending Mar 2021 → FY ending Mar 2026. Stable segment keys are connected; unmatched shares are marked as new or reorganized. Shares use total segment revenue.

| Flow | Revenue share |
| --- | ---: |
| 紙・板紙 → 紙・板紙 | 52.5% |
| 紙・板紙 → 事業再編・廃止 | 1.2% |
| ホーム＆パーソナルケア → ホーム＆パーソナルケア | 42.3% |
| その他 → その他 | 2.6% |
| その他 → 事業再編・廃止 | 1.4% |
| 新設・再編 → ホーム＆パーソナルケア | 2.5% |

Segment revenue source references: 6 (derived)

## Business growth × margin

X-axis: segment revenue CAGR. Y-axis: latest operating margin. Bubble size: latest revenue. CAGR requires at least two comparable years.

| Segment | CAGR span | Revenue CAGR | Latest revenue | Operating margin | Source refs |
| --- | ---: | ---: | ---: | ---: | ---: |
| Paper and Paperboard | 5 years | +3.0% | ¥350283000000 | 4.0% | 2 |
| Home and Personal Care | 5 years | +4.7% | ¥298857000000 | 2.7% | 2 |
| Other | 5 years | -4.7% | ¥17629000000 | 10.3% | 2 |

## Income statement（FY ending Mar 2026, consolidated, J-GAAP）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Revenue | 666,770 | 100.0% | S100YJ8D |
| Cost of revenue | 507,880 | 76.2% | S100YJ8D |
| Gross profit | 158,890 | 23.8% | S100YJ8D |
| SG&A | 134,857 | 20.2% | S100YJ8D |
| Operating income | 24,032 | 3.6% | S100YJ8D |
| Ordinary income | 21,339 | 3.2% | S100YJ8D |
| Pretax income | 21,321 | 3.2% | S100YJ8D |
| Income tax | 10,643 | 1.6% | S100YJ8D |
| Net income | 10,678 | 1.6% | S100YJ8D |
| Net income attributable to owners | 8,886 | 1.3% | S100YJ8D |

## Per ¥100 of revenue（FY ending Mar 2026）

| Part | JPY |
| --- | ---: |
| Cost of revenue | 76 |
| SG&A | 20 |
| Operating income | 4 |
| (Ref.) Net income | 1 |

### Margin funnel

Gross margin 23.8% → Operating margin 3.6% → Net margin 1.3%
Derived from reported figures (DERIVED).

## Revenue and profit pattern

Pattern: Revenue down, profit up
Revenue growth: -0.3%; Core profit growth: +145.0%
Operating leverage (core profit growth ÷ revenue growth): -452.97×
Calculated from comparable annual consolidated filings.

## Year over year（FY ending Mar 2025 → FY ending Mar 2026、JPY mn）

| Metric | Prior | Current | Change | % change |
| --- | ---: | ---: | ---: | ---: |
| Revenue | 668,912 | 666,770 | -2,142 | -0.3% |
| Gross profit | 144,016 | 158,890 | 14,874 | +10.3% |
| Operating income | 9,807 | 24,032 | 14,225 | +145.0% |
| Net income attributable to owners | -11,197 | 8,886 | 20,083 | — |
| Operating cash flow | 44,649 | 57,304 | 12,655 | +28.3% |
| Free cash flow | 11,435 | 33,313 | 21,878 | +191.3% |

## History（JPY mn）

| Period | Revenue | Op. income | Op. margin | Net income | Op. CF | FCF | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: | ---: |
| FY ending Mar 2020 | 546,433 | 30,628 | 5.6% | 19,199 | 68,012 | 12,195 | S100LULS |
| FY ending Mar 2021 | 562,928 | 36,873 | 6.6% | 22,115 | 64,210 | 6,180 | S100OKAN |
| FY ending Mar 2022 | 612,314 | 37,569 | 6.1% | 23,721 | 71,395 | 4,292 | S100R8GL |
| FY ending Mar 2023 | 646,213 | -21,441 | -3.3% | -34,705 | -26,233 | -75,430 | S100TSSV |
| FY ending Mar 2024 | 671,688 | 14,367 | 2.1% | 4,472 | 59,297 | 28,091 | S100W7JF |
| FY ending Mar 2025 | 668,912 | 9,807 | 1.5% | -11,197 | 44,649 | 11,435 | S100YJ8D |
| FY ending Mar 2026 | 666,770 | 24,032 | 3.6% | 8,886 | 57,304 | 33,313 | S100YJ8D |

## People and productivity（FY ending Mar 2026, consolidated, J-GAAP）

| Metric | Value |
| --- | ---: |
| Revenue per employee (consolidated) | ¥57.3M |
| Operating income per employee (consolidated) | ¥2.1M |
| Net income per employee (consolidated) | ¥763.5K |

Employees, revenue and profit are consolidated. Average annual salary is a separate parent-company figure. Calculated from disclosed figures (DERIVED).

| History | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Employees (consolidated) | 12,917 | 12,634 | 12,372 | 12,191 | 11,639 |
| Average salary (parent company) | ¥6.3M | ¥6.3M | ¥6.1M | ¥6.2M | ¥6.4M |
| Average age (parent company) | 42.3 years | 42.6 years | 43.3 years | 44.0 years | 44.2 years |
| Average tenure (parent company) | 17.9 years | 18.9 years | 19.3 years | 19.6 years | 19.6 years |

Year over year: Employees (consolidated) -4.5% · Revenue (consolidated) -0.3%

## Segments（FY ending Mar 2026, consolidated, J-GAAP、JPY mn）

| Segment | Revenue | Share | Op. income | Op. margin |
| --- | ---: | ---: | ---: | ---: |
| Paper and Paperboard | 350,283 | 52.5% | 14,073 | 4.0% |
| Home and Personal Care | 298,857 | 44.8% | 8,077 | 2.7% |
| Other | 17,629 | 2.6% | 1,809 | 10.3% |

### segmentMix — Revenue and profit mix

Calculated from disclosed figures (DERIVED). Shares use total segment revenue and total positive segment profit respectively. Difference = profit share − revenue share (pt). Inter-segment sales may prevent reconciliation to company revenue.

| Segment | Revenue share | Profit share | Difference (pt) | Margin |
| --- | ---: | ---: | ---: | ---: |
| Paper and Paperboard | 52.5% | 58.7% | 6.2 | 4.0% |
| Home and Personal Care | 44.8% | 33.7% | -11.1 | 2.7% |
| Other | 2.6% | 7.6% | 4.9 | 10.3% |

Segment → industry: Paper and Paperboard → Paper & Pulp / Home and Personal Care → Toiletries & Household Products

## Revenue by geography

No geographic revenue breakdown was disclosed.

## Cash flow（FY ending Mar 2026, consolidated, J-GAAP）

| Item | Amount (JPY mn) | % of revenue | Source |
| --- | ---: | ---: | ---: |
| Operating cash flow | 57,304 | 8.6% | S100YJ8D |
| Capital expenditure | 23,991 | 3.6% | S100YJ8D |
| Free cash flow | 33,313 | 5.0% | 算出 |
| Investing cash flow | -44,921 | -6.7% | S100YJ8D |
| Financing cash flow | -32,095 | -4.8% | S100YJ8D |
| Dividends paid | 2,346 | 0.4% | S100YJ8D |
| Share buyback | 13,721 | 2.1% | S100YJ8D |
| Change in cash | -17,134 | -2.6% | S100YJ8D |
| Cash and equivalents | 95,737 | 14.4% | S100YJ8D |

## Balance sheet

Figures are as of each fiscal year end. Derived values are marked as such in the source column. Lease liabilities are excluded from interest-bearing debt.

| Metric | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 | Source |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| Cash and equivalents | 88,897 | 102,405 | 123,750 | 112,872 | 95,737 | S100TSSV, S100W7JF, S100YJ8D |
| Total assets | 840,441 | 923,531 | 939,745 | 886,066 | 853,930 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Net assets | 266,704 | 244,670 | 260,086 | 249,713 | 242,757 | S100TSSV, S100W7JF, S100YJ8D |
| Share capital | 53,884 | 53,884 | 53,884 | 53,884 | 53,884 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Property, plant and equipment | 421,195 | 432,106 | 428,515 | 408,708 | 385,271 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Intangible assets excluding goodwill | 82,018 | 84,466 | 81,034 | 68,559 | 63,931 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Goodwill | 50,489 | 45,847 | 45,267 | 38,702 | 37,075 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Investment securities | 21,924 | 21,048 | 23,561 | 21,382 | 48,426 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Current assets | 291,300 | 355,058 | 376,189 | 360,882 | 334,894 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Current liabilities | 238,321 | 252,797 | 281,218 | 266,702 | 271,431 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Trade payables | 75,384 | 88,167 | 84,812 | 79,929 | 70,765 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Short-term borrowings | 13,738 | 13,659 | 15,176 | 13,767 | 23,928 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Long-term borrowings | 239,324 | 324,000 | 308,400 | 298,131 | 268,658 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Bonds | 45,000 | 45,136 | 35,000 | 20,000 | 20,000 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Interest-bearing debt | 298,062 | 382,795 | 358,576 | 331,898 | 312,586 | 算出 |
| Total liabilities | 573,736 | 678,860 | 679,659 | 636,352 | 611,172 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Non-controlling interests | 7,614 | 9,549 | 12,422 | 12,992 | 15,848 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Equity attributable to owners of parent | 261,325 | 222,890 | 224,249 | 207,139 | 200,389 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Retained earnings | 156,450 | 117,493 | 118,529 | 101,348 | 108,241 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |
| Treasury stock | -4,122 | -3,600 | -3,277 | -3,205 | -16,849 | S100R8GL, S100TSSV, S100W7JF, S100YJ8D |

### Assets and funding mix

| Assets | Share | Source |
| --- | ---: | ---: |
| Cash | 11% | S100YJ8D |
| Property, plant and equipment | 45% | S100YJ8D |
| Intangibles and goodwill | 12% | S100YJ8D |
| Investment securities | 6% | S100YJ8D |
| Other assets | 26% | S100YJ8D |

| Funding source | Share | Source |
| --- | ---: | ---: |
| Trade payables | 8% | S100YJ8D |
| Interest-bearing debt | 37% | 算出 |
| Other liabilities | 27% | S100YJ8D |
| Equity | 28% | S100YJ8D |
| Other liabilities | 0% | S100YJ8D |

### Balance sheet history

| Metric | FY ending Mar 2022 | FY ending Mar 2023 | FY ending Mar 2024 | FY ending Mar 2025 | FY ending Mar 2026 |
| --- | ---: | ---: | ---: | ---: | ---: |
| Total assets | 840,441 | 923,531 | 939,745 | 886,066 | 853,930 |
| Equity | 266,704 | 244,670 | 260,086 | 249,713 | 242,757 |
| Interest-bearing debt | 298,062 | 382,795 | 358,576 | 331,898 | 312,586 |
| Cash | 88,897 | 102,405 | 123,750 | 112,872 | 95,737 |

## Asset intensity and goodwill

Ratios are derived from reported values. Goodwill is used only when separately reported, never inferred from combined intangible assets.

| Metric | Value | Sources |
| --- | ---: | ---: |
| Asset intensity (fixed assets ÷ revenue) | 57.8% | S100YJ8D |
| Fixed assets ÷ total assets | 45.1% | S100YJ8D |
| Goodwill ÷ parent equity | 18.5% | S100YJ8D |

Goodwill over 4 years: 50,489 → 37,075 JPY; total investing cash flow: -212,735 JPY. This does not imply causation.

### Cash quality

Net cash = cash − interest-bearing debt. Net debt ratio = (interest-bearing debt − cash) ÷ positive operating cash flow. Omit when debt components are incomplete; other ratios are derived from reported figures.

| Metric | Value |
| --- | ---: |
| Cash ratio (cash ÷ total assets) | 11.2% |
| Cash ÷ revenue | 14.4% |
| Net cash (cash − interest-bearing debt) | -¥216.8B |
| Net debt ÷ operating cash flow | 3.78× |
| Cash conversion (operating CF ÷ operating income) | 238.4% |
| Cash vs. profit gap | 48,418 JPY mn (of net income 544.9%) |
| Shareholder returns / net income | 180.8% |
| Shareholder returns / FCF | 48.2% |
| Shareholder payments — dividends / net income | 26.4% |
| Shareholder payments — dividends / FCF | 7.0% |
| CapEx intensity (capex ÷ revenue) | 3.6% |
| Investing CF relative to operating CF | 78.4% |

## ROA and ROE

ROE is decomposed into net margin × asset turnover × financial leverage. Leverage can raise ROE, so the ratio alone does not assess a company's condition. Ending balances are used without a prior year; total equity approximates parent equity when unavailable.

| Period | Net margin | Asset turnover | ROA | Financial leverage | ROE | Sources |
| --- | ---: | ---: | ---: | ---: | ---: | ---: |
| 2022 | 3.9% | 0.73× | 2.8% | 3.22× | 9.1% | S100R8GL |
| 2023 | — | —× | -3.9% | —× | — | S100TSSV |
| 2024 | 0.7% | 0.72× | 0.5% | 4.17× | 2.0% | S100W7JF |
| 2025 | — | —× | -1.2% | —× | — | S100YJ8D |
| 2026 | 1.3% | 0.77× | 1.0% | 4.27× | 4.4% | S100YJ8D |

## Ownership

| Counterparty | Relation | Ratio | As of |
| --- | ---: | ---: | ---: |
| 北越コーポレーション株式会社 | Major shareholder | 19.7% | 2026-03-31 |
| 日本マスタートラスト信託銀行株式会社（信託口） | Major shareholder | 7.8% | 2026-03-31 |
| 大王海運株式会社 | Major shareholder | 7.2% | 2026-03-31 |
| 株式会社日本カストディ銀行（信託口） | Major shareholder | 4.7% | 2026-03-31 |
| 株式会社伊予銀行 | Major shareholder | 4.6% | 2026-03-31 |
| 株式会社愛媛銀行 | Major shareholder | 4.5% | 2026-03-31 |
| 愛媛製紙株式会社 | Major shareholder | 3.4% | 2026-03-31 |
| カミ商事株式会社 | Major shareholder | 3.0% | 2026-03-31 |
| 兵庫製紙株式会社 | Major shareholder | 2.0% | 2026-03-31 |
| 兵庫パルプ工業株式会社 | Major shareholder | 1.8% | 2026-03-31 |

## AI commentary（text by AI; the tables above are authoritative、claude-code）

- Revenue for FY ending Mar 2026 was ¥666.8B, slightly below ¥668.9B a year earlier (-0.3%).
- Profit recovered sharply: operating income rose from ¥9.81B to ¥24B (+145.0%), and gross profit grew to ¥158.9B (+10.3%).
- Net income attributable to owners turned from a loss of -¥11.2B to a profit of ¥8.89B.
- Cash generation also improved, with operating cash flow at ¥57.3B (+28.3%) and free cash flow at ¥33.3B (+191.3%).

### Drivers

- Restructuring of the overseas Home and Personal Care business, including the sale of its Turkish subsidiary, cut sales but lowered fixed costs and improved profitability.
- In Japan, higher-value items such as soft-pack tissue and long-length toilet rolls sold well, and price increases took hold.
- Restarting the boiler at Iwaki Daio Paper lowered energy costs in the paper business, and smaller restructuring and impairment charges than the year before also lifted net income.

### Risks

- Swings in the prices of wood chips, recovered paper, heavy oil and coal, and in exchange rates, affect results; the company expects tension in the Middle East to weigh more on material and shipping costs going forward.
- Demand is shrinking for printing paper as media goes digital and for baby diapers as births decline, and a sharp drop in demand or prices would cut sales.
- Overseas operations in China, Southeast Asia and Brazil face currency, regulatory and political risks.

Cited: Annual Securities Report (115th term) (経営者による財政状態、経営成績及びキャッシュ・フローの状況の分析); Annual Securities Report (115th term) (事業等のリスク)

## Sources

| Document | ID | Published | URL |
| --- | ---: | ---: | ---: |
| 有価証券報告書－第115期(2025/04/01－2026/03/31) | S100YJ8D | 2026-06-25 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100YJ8D,, |
| 有価証券報告書－第114期(2024/04/01－2025/03/31) | S100W7JF | 2025-06-26 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100W7JF,, |
| 有価証券報告書－第113期(2023/04/01－2024/03/31) | S100TSSV | 2024-06-26 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100TSSV,, |
| 有価証券報告書－第112期(2022/04/01－2023/03/31) | S100R8GL | 2023-06-29 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100R8GL,, |
| 有価証券報告書－第111期(令和3年4月1日－令和4年3月31日) | S100OKAN | 2022-06-29 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100OKAN,, |
| 有価証券報告書－第110期(令和2年4月1日－令和3年3月31日) | S100LULS | 2021-06-29 | https://disclosure2.edinet-fsa.go.jp/WZEK0040.aspx?S100LULS,, |

## Key alliances (from the filing's material contracts)

| Partner | Type | Description | Source |
| --- | ---: | ---: | ---: |
| 北越コーポレーション | Capital alliance | 戦略的業務提携。相互に株式を持ち合う対等な資本関係を構築 | S100YJ8D |

## Definitions

- Amounts are in millions of JPY (rounded). The period is stated in each table heading
- Operating margin = operating income ÷ revenue. Net income is attributable to owners of the parent when disclosed
- Free cash flow (FCF) = operating cash flow − capital expenditure
- ¥100 model = breakdown per ¥100 of revenue (rounded so parts sum to 100)
- Segment revenues include inter-segment sales and may not sum to consolidated revenue
- Source IDs are EDINET document IDs (docID). "算出" (derived) means computed from other disclosed values
- All figures are extracted mechanically from filings. AI-written text never generates figures
- Source: company filings submitted to EDINET (Financial Services Agency of Japan). Figures were extracted, edited and processed, and charts and text were created, by Vizora — not by the FSA (used under the Public Data License v1.0).