Taiheiyo Cement has recorded impairment losses related to non-current assets at its consolidated subsidiary in the Philippines and recognised a loss on valuation of shares in that unit, prompting a revision of its financial forecasts for the fiscal year ending 31 March 2026, the company said in a regulatory filing.
The Japanese cement group said it reviewed the business plan for Taiheiyo Cement Philippines Inc, amid sluggish post-pandemic demand and rising interest rates. Following an impairment test, the company recorded impairment losses of JPY24.4bn (US$163m) as extraordinary losses in its consolidated results for the nine months to 31 December 2025. The losses relate mainly to plant buildings and manufacturing equipment.
In addition, Taiheiyo Cement recognised a JPY37.8bn loss on valuation of shares in its Philippines unit in its non-consolidated accounts, reflecting a significant decline in the real value of the subsidiary’s shareholding.
As a result of these developments, the company has revised its consolidated and non-consolidated financial forecasts for the full year to 31 March 2026, although it said there is no change to its previously announced dividend outlook.
Taiheiyo Cement Philippines is wholly owned by the parent and operates cement manufacturing and sales in Cebu City. The impairment reflects both challenging market conditions in the Philippines and broader shifts in regional supply and demand dynamics for cement products.
