Maxell Ltd. (6810.T) Large 1Q beat vs

Equity Research 31 July 2026 | 11:09PM JST

Maxell Ltd. (6810.T) Large 1Q beat vs. GSe on volume growth and progress in price pass-throughs; raise GSe/TP, but stay Sell relative to coverage

6810.T 12m Price Target: ¥1,900 Price: ¥2,070 Downside: 8.2% SELL Mitsuhiro Icho Maxell’s 1Q3/27 operating profits of ¥2.87 bn, reported after the | Goldman Sachs Japan Co., Ltd. July 31 close, substantially beat our estimate of ¥1.50 bn Daiki Takayama (Bloomberg consensus: ¥1.76 bn). Maxell left full-year guidance | Goldman Sachs Japan Co., Ltd. unchanged at ¥10 bn (assumes USD/JPY of 150; our prior estimate: ¥9.0 bn; Bloomberg consensus: ¥9.79 bn). In the energy segment, primary batteries for medical equipment and automotive applications performed well, and progress in reflecting higher raw material costs in prices also boosted earnings. In functional Key Data _____________________________________ Market cap: ¥109.4bn / $686.6mn materials, sales were driven up by inventory buildup demand for Enterprise value: ¥93.0bn / $584.0mn 3m ADTV: ¥531.7mn / $3.3mn adhesive tapes, with supply and demand for various materials tight Japan amid instability in the Middle East. Alongside increased volume, Japan Electronic Components/Semiconductors M&A Rank: 3 price pass-through of higher raw material costs also had a positive Leases incl. in net debt & EV?: No

earnings effect. In optics & systems, sales of automotive optical GS Forecast __________________________________ 3/26 3/27E 3/28E 3/29E components increased, supported by expanded sales of Revenue (¥ bn) next-generation lenses. In semiconductor DMS, demand is brisk as Op. profit (¥ bn) New Op. profit (¥ bn) Old customers work through their inventories, but concerns remain Op. profit CoE (¥ bn) 7.9 10.0 -- -- about supply shortages for some SPE manufacturing components. EPS (¥) New EPS (¥) Old P/E (X) 9.1 9.4 7.5 6.2 The analog core business group (energy, functional materials, P/B (X) 0.9 0.8 0.7 0.8

and optics & systems) posted 1Q results that beat our estimates CROCI (%) 6.4 6.9 7.6 8.1

and consensus in both sales and operating profits, driven by 6/26 9/26E 12/26E 3/27E

volume growth and the passing on of higher raw material costs in EPS (¥) )

prices. The company’s swift response in terms of price GS Factor Profile ______________________________ Growth pass-throughs and capturing inventory build-up demand, enabling the company to avoid negative earnings impacts from Financial Returns

the Middle East situation, should also be viewed positively. Multiple

Management’s tone suggested it sees solid demand in each Integrated business from 2Q onward, and we believe the combination of this and the raw material cost price pass-through is likely to raise Percentile 20th 40th 60th 80th 100th

earnings expectations from 2Q onward. We raise our target price 6810.T relative to Japan Coverage to ¥1,900 from ¥1,800, but we maintain our Sell rating relative to 6810.T relative to Japan Electronic Components/Semiconductors

coverage. Source: Company data, Goldman Sachs Research estimates. See disclosures for details. Key points by segment are as follows (management comments,

Goldman Sachs does and seeks to do business with companies covered in its research reports. As a result, investors should be aware that the firm may have a conflict of interest that could affect the objectivity of this report. Investors should consider this report as only a single factor in making their investment decision. For Reg AC certification and other important disclosures, see the Disclosure Appendix, or go to Analysts employed by non-US affiliates are not registered/qualified as research analysts with FINRA in the U.S.

Goldman Sachs Maxell Ltd. (6810.T)

Maxell Ltd. (6810.T) Income Statement (¥ bn) ___________________________________ SELL Rating since Jan 6, 2022 3/26 3/27E 3/28E 3/29E Total revenue Cost of goods sold ( ) SG&A ( ) Ratios & Valuation __________________________________________ R&D -- -- -- -- 3/26 3/27E 3/28E 3/29E Other operating inc./(exp.) -- -- -- -- P/E (X) 9.1 9.4 7.5 6.2 EBITDA P/B (X) 0.9 0.8 0.7 0.8 Depreciation & amortization (5.3) (6.5) (6.5) (6.0) FCF yield (%) EBIT EV/EBITDAR (X) 5.2 3.1 2.5 2.1 Net interest inc./(exp.)…