Company announces reorganization of aluminum extrusions business in Japan

Research evidence excerpt

Company announces reorganization of aluminum extrusions business in Japan

Global Markets Research

15 June 2026Kobe Steel

5406.T 5406 JP / EQUITY: JAPAN STEEL, NONFERROUS METALS, WIRE & CABLE

Company announces reorganization of aluminum Rating Neutralextrusions business in Japan

Target price JPY 1,950Quick Note

Closing price

15 June 2026 JPY 1,997.0We take positive view of measures aimed at improving earning power at

problematic business (Note: Quick Note reports are not a

Kobe Steel announced on 15 June that it had signed an agreement with Nippon Light vehicle for changes to ratings, target

Metal Holdings [5703] about integrating their aluminum extrusions operations in Japan and prices, or earnings forecasts)

that it was examining the specific conditions. Management expects the integration to take

place in April 2027 or later and to take the form of a joint holding company, and envisions

a basic policy under which Nippon Light Metal Holdings takes a majority interest.

Kobe Steel held a briefing to discuss progress with its medium-term business plan on 19 Research Analysts

May 2026, at which it said that was considering a broad range of options for the aluminum Japan steel, nonferrous metals,

extrusions business, including collaboration with other companies, to boost its wire & cable

competitiveness over the longer term. Yuji Matsumoto - NSC

The aluminum extrusions business is part of Kobe Steel's advanced materials segment. yuji.matsumoto@nomura.com

While the company does not disclose detailed figures for sales or other line items, page 9 +81 3 6703 1220

of the materials from the advanced materials segment briefing held on 17 February 2025

stated that the aluminum extrusions business accounted for 12% of segment sales and

1% of companywide sales in 24/3.