Dexerials (4980) Q4 2025 earnings summary

Executive summary

• FY24 (FY2025) saw record net sales and profits, driven by FX effects, high value-added products, and new photonics customers, despite the end of the Phosphor film business and declines in some smartphone and automotive segments.

• Dexerials adopted IFRS from FY24Q1, with prior year figures restated for comparison.

• Shareholder returns increased, with a planned annual dividend of 58 yen per share and a total payout ratio of 73.2%.

• Board resolved a 3-for-1 stock split effective October 1, 2024; EPS and dividends restated for comparability.

• Growth was supported by expansion in high-value-added products and favorable yen.

Financial highlights

• FY24 net sales: 110.4 billion JPY (+4.9% YoY), business profit: 38.1 billion JPY (+11.7% YoY), profit: 27.7 billion JPY (+22.9% YoY), EPS: 162.04 yen (+24.9% YoY).

• EBITDA rose to 44.7 billion JPY (+13.5% YoY); ROE improved to 30.6%, ROIC stable at 22.9%.

• Dividend per share increased 74% YoY to 58.0 yen; total payout ratio reached 73.2%.

• Overseas sales accounted for 66.6% of FY24 net sales.

• Cash flow from operating activities rose to 40.4 billion JPY; cash and equivalents at period end 35.0 billion JPY.

Outlook and guidance

• FY25 (FY2026) forecast: net sales 103.5 billion JPY (-6.2% YoY), business profit 29.0 billion JPY (-23.8% YoY), profit 20.5 billion JPY (-26.1% YoY), EPS 120.25 yen.

• Business profit and operating profit expected to decline due to currency assumptions and higher investment.

• Dividend per share maintained at 58.0 yen; total payout ratio target of ~60% over five years.

• Excluding FX effects, FY25 sales and profits are expected to increase YoY.