Fullhashi EPO <9221> carries out the recycling processing of wood waste, sales of wood recycling chips, processing outsourcing of construction by-products, and manufacturing and sales of various logistics equipment.

"Bio-material business (71.0% of sales in the fiscal year ending March 24)", "Resource circulation business (17.8% of sales in the same period)", "Environmental logistics business (8.4% of sales in the same period)" and "Other" businesses are being developed. The bio-material business handles the recycling processing of wood waste and sales of wood recycling chips, and has a business model that generates revenue from both the receipt of processing fees from customers who are waste generators etc. that become customers for the treatment of wood waste, and the sale of wood recycling chips produced in the recycling process. In addition, the resource circulation business is responsible for recycling various construction by-products (waste) discharged from residential construction sites, and the environmental logistics business manufactures, purchases and sells logistics equipment such as wooden pallets. It is based in the Tokai region, mainly in Aichi Prefecture, and participates in multiple woody biomass power generation projects. The amount of waste handled is affected by trends in domestic housing construction.

In the fiscal year ending March 24, sales were ¥875.3 million, an 8.4% increase over the previous period, and operating profit was ¥103.9 million, a 23.9% increase. The opening of the Gifu No. 2 Factory (Ogaki) and the Nishi-Tokyo Factory (Iruma) in the previous period in the bio-materials business contributed to the increase in sales, and sales, operating profit, and ordinary profit achieved their highest levels for four consecutive periods. Sales for the fiscal year ending March 25 are expected to increase by 9.0% to ¥954.4 billion, and operating profit is expected to increase by 13.5% to ¥118.0 billion.

The company has disclosed a medium-term business plan, with sales of ¥15 billion, operating profit of ¥3 billion, and operating margin of 20% (compared to 11.9% in the fiscal year ending March 24) targeted for the fiscal year ending March 28. It plans to invest about ¥10 billion over the four-year period to establish new factories mainly in the central Japan and eastern Japan regions, aiming for an annual handling capacity of 1 million tons of woody biomass (with a domestic share of about 10%). In the bio-materials business, a new factory in Aichi No. 8 is planned for October 24 and a new factory in Nagoya is planned for April 25. In the resource circulation business, the Shonan Recycling Garden is planned to be expanded in October 25. In addition, it will work to improve the profit margins of the resource circulation business, which currently has a low profit margin, by internalizing the recycling of plastics, gypsum board, exterior wall materials, and other materials. With the aim of achieving double income like the bio-materials business. In addition, the basic policy for shareholder returns is to gradually increase dividends during the current medium-term business plan period (from the fiscal year ending March 25 to the fiscal year ending March 28). The target for the final year is a dividend payout ratio of 35%, and it is worth noting the future trends of this high-dividend stock as earnings continue to expand.