Kurita Water Industries (6370) investor relations material

Executive summary

• Net sales for the nine months ended December 31, 2025, rose 0.9% year-over-year to ¥303,604 million, with business profit up 10.1% and operating profit up 15.9% compared to the same period last year.

• Orders increased 0.5% year-over-year, and performance is broadly on track with the full-year forecast, with high orders and net sales expected in Q4 from large projects and construction progress.

• Profit attributable to owners of parent increased 13.1% year-over-year to ¥27,404 million, and comprehensive income rose 45.2% to ¥40,619 million.

• The global economy showed moderate recovery, with Japan's manufacturing flat, the US firm, Europe recovering, and China slowing.

Financial highlights

• Orders: ¥314.2B (+0.5% YoY); Net sales: ¥303.6B (+0.9% YoY); Business profit: ¥38.9B (+10.1% YoY); Operating profit: ¥40.2B (+15.9% YoY); Profit before tax: ¥40.0B (+15.3% YoY); Profit attributable to owners: ¥27.4B (+13.1% YoY).

• Basic EPS: ¥249.32 (+15.7% YoY); total assets: ¥571,194 million; total equity: ¥352,738 million as of December 31, 2025.

• Net cash and cash equivalents at period end were ¥65,848 million, up ¥2,896 million from the previous fiscal year.

• Net cash provided by operating activities was ¥36,114 million, down ¥28,989 million year-over-year, mainly due to increased receivables and lower payables.

Outlook and guidance

• Full-year net sales are forecast at ¥425,000 million, up 3.9% year-over-year, with operating profit expected to rise 71.1% to ¥54,000 million.

• Profit attributable to owners of parent is projected at ¥36,300 million, up 78.8% year-over-year, and basic EPS is forecast at ¥330.61.

• Orders and net sales are expected to remain high in Q4 due to large project orders and construction progress.

• CSV business is steadily tracking toward its full-year plan.

• No revisions to previously announced forecasts.