Nippon Steel revises forecasts amid challenging market, U.S. Steel merger

Nippon Steel Corporation announced its consolidated financial results for the six months ended September 30, 2025, revealing revenue of JPY 4,635,647 million and a profit attributable to owners of the parent of JPY (113,380) million. This contrasts with previous forecasts, indicating an increase in revenue but a decline in business profit due to inventory valuation losses and one-off costs related to the U.S. Steel transaction. The company's D/E ratio improved to 0.74 by September 2025.

In light of a challenging global steel market and the U.S. Steel merger, Nippon Steel has revised its full-year consolidated forecasts for the fiscal year ending March 2026. While revenue is projected to remain at JPY 10,000,000 million, business profit is now estimated at JPY 450,000 million (down JPY 30,000 million), and profit attributable to owners of the parent at JPY (60,000) million (down JPY 20,000 million).

Despite the revised profit outlook, the company plans to maintain its previously announced annual dividend of JPY 120 per share (pre-stock split), translating to JPY 24 per share after the 1-for-5 stock split effective October 1, 2025. Strategic initiatives, including cost reductions and advancements in the U.S. Steel integration, are underway to improve future profitability.