Adeka (4401) Q3 2025 earnings summary

Executive summary

• Nine-month net sales rose 3.5% YoY to ¥296,384 million; operating profit rose 25.1% to ¥30,081 million and profit attributable to owners of parent rose 16.7% to ¥19,208 million.

• Profit growth reflected higher sales volume and net pricing; operating profit increased across core businesses, despite lower Food Products and Life Science sales.

• Overseas sales ratio was 55.5%.

Financial highlights

• Ordinary profit rose 20.7% to ¥29,672 million; basic EPS increased to ¥188.42 from ¥161.01.

• Gross profit increased to ¥84,034 million from ¥73,898 million.

• Total assets were ¥547,714 million, net assets ¥350,120 million and capital adequacy ratio 53.9%.

• Cash and deposits increased ¥9.8 billion from March to December 2024, while current liabilities decreased ¥12.5 billion.

Outlook and guidance

• FY2024 forecast unchanged: net sales ¥426 billion, operating profit ¥41.1 billion, ordinary profit ¥39.2 billion and profit attributable to owners of parent ¥24.5 billion.

• FY2024 dividend forecast is ¥97 per share, comprising ¥48 interim and ¥49 year-end; FY2023 dividend was ¥90.

• Electronic materials operating profit forecast was cut from ¥11.9 billion to ¥11 billion after delayed China adoption of optical-film photo-curing materials; other segments offset the shortfall, leaving total guidance unchanged.

• ADX 2026 targets: net sales ¥500 billion, operating profit ¥53 billion, ROE 11% and ROIC 10.5%.