Carlit (4275) Q1 2026 earnings summary

Executive summary

• Net sales for Q1 FY2026 were ¥8,655 million, down 1.2% year-over-year; operating profit rose 17.7% to ¥445 million, and ordinary profit increased 8.9% to ¥581 million, while profit attributable to owners of parent fell 18.1% to ¥299 million due to tax rate changes post-merger.

• Comprehensive income rose 3.9% year-over-year to ¥981 million.

• The company is in the "Investment Promotion" stage of its mid-term plan, focusing on growth in priority areas such as ammonium perchlorate and new business development.

Financial highlights

• Gross profit for Q1 FY2026 was ¥1,911 million, with a gross margin of 22.1%.

• Basic EPS for the quarter was ¥12.79, down from ¥15.49 year-over-year.

• Total assets increased to ¥55,346 million, and net assets decreased to ¥37,095 million, with an equity-to-asset ratio of 67.0%.

• Cash and deposits rose by ¥787 million, and investment securities increased by ¥1,047 million from the previous fiscal year-end.

Outlook and guidance

• Full-year FY2026 guidance: net sales ¥39,000 million (+5.6% YoY), operating profit ¥3,100 million (+1.7%), ordinary profit ¥3,350 million (+0.9%), profit attributable to owners of parent ¥2,700 million (+5.0%), and basic EPS ¥117.04.

• The company expects solid performance in Chemical Products and Bottling, with Silicon wafer recovery anticipated in the second half.

• No revisions to previously announced forecasts.