Mitsubishi Chemical Group (4188) investor relations material

Executive summary

• Semiconductor-related businesses remained steady, while materials-related businesses faced ongoing sluggish demand and weak market prices due to economic stagnation in various regions.

• Core operating income for the group decreased 2.4% year-on-year to ¥185.6 billion, supported by strong industrial gases, while net income attributable to owners surged 77.6% year-on-year to ¥105.4 billion, mainly from the sale and transfer of Mitsubishi Tanabe Pharma.

• Significant non-recurring losses were recorded due to the decision to withdraw from coke and carbon materials businesses, impacting the full-year profit forecast.

• MTPC and its subsidiaries were transferred on July 1, 2025, and are now classified as discontinued operations, significantly impacting reported results.

Financial highlights

• Revenue for the first nine months was ¥2,737.3 billion, down 8.2% year-on-year, mainly due to lower prices, volumes, and business restructuring.

• Core operating income was ¥185.6 billion, down 2.4% year-on-year; operating income was ¥113.3 billion, down 22.2% year-on-year.

• Net income attributable to owners was ¥105.4 billion, up 77.6% year-on-year, driven by gains from asset sales and discontinued operations.

• Special items resulted in a net loss of ¥72.3 billion, reflecting impairment and restructuring costs.

• Basic earnings per share rose to ¥76.70 from ¥41.72 year-over-year.

Outlook and guidance

• Full-year profit forecast was revised down from ¥125 billion to ¥47 billion due to additional non-recurring losses from structural reforms and business withdrawals.

• Core operating income target for the full year remains at ¥250 billion.

• Year-end dividend forecast maintained at ¥16 per share, annual dividend at ¥32 per share.

• Basic earnings per share forecast for the year is ¥34.29.