Chugoku Marine Paints (4617) Q1 2027 earnings summary

Executive summary

• Q1 FY2026 net sales rose 16.0% YoY to ¥37,802 million; operating profit increased 44.8% to ¥5,681 million.

• Ordinary profit increased 55.7% to ¥6,176 million, and profit attributable to owners of parent rose 50.7% to ¥3,814 million.

• Comprehensive income rose to ¥4,887 million from ¥224 million a year earlier.

Financial highlights

• Gross profit increased 23.6% YoY to ¥13,481 million; SG&A rose 11.6% to ¥7,800 million, mainly on personnel and transportation expenses.

• Selling price increases had an estimated positive ¥1,860 million impact on operating profit; FX movements reduced Q1 sales by an estimated ¥1.8 billion.

• Basic EPS rose to ¥76.89 from ¥51.06 a year earlier.

• Total assets were ¥160,219 million at June 30, 2026, and net assets were ¥103,115 million.

Outlook and guidance

• FY2026 forecast: net sales ¥160,000 million (+14.8% YoY), operating profit ¥17,500 million (+0.4%), ordinary profit ¥18,000 million (+0.9%), parent-attributable profit ¥11,000 million (flat), and EPS ¥221.71.

• Annual dividend forecast is ¥100 per share.

• Sales growth forecast reflects firm marine and industrial coatings demand and price adjustments; estimates were revised after easing Middle East tensions reduced raw-material cost and procurement uncertainty.

• FY2026 regional sales forecast: Japan ¥53,040 million (+18.0%), China ¥27,760 million (+21.2%), Korea ¥20,160 million (+4.1%), Southeast Asia ¥25,260 million (+25.0%), Europe and the US ¥33,780 million (+5.7%).