Furuya Metal (7826) Q2 2026 earnings summary

Executive summary

• Net sales rose 63.7% year-over-year to ¥43.9 billion for the first half, driven by strong capital investment in information, communications, semiconductors, and electronics, as well as higher precious metal prices and export profitability from yen depreciation.

• Operating income increased 26.9% year-over-year to ¥7,443 million, and net income attributable to owners of parent grew 28.7% to ¥5,011 million.

• Overseas sales accounted for 77.7% of total sales, with Asia as the largest regional contributor.

• Net sales and gross profit for Q2 and the first half exceeded internal forecasts, prompting an upward revision of the full-year forecast.

• Precious metal prices, especially iridium and ruthenium, rebounded and trended upward, while the yen depreciated more than expected.

Financial highlights

• Q2 net sales: ¥20.6 billion (+¥7.7 billion YoY); Q2 gross profit: ¥5.1 billion (+¥1.0 billion YoY).

• First half net sales: ¥43.9 billion (+¥17.1 billion YoY); gross profit: ¥9.5 billion (+21.4% YoY).

• Revised FY2026 forecast: net sales ¥88.0 billion (+¥24.0 billion from previous), gross income ¥21.5 billion (+43.3%), operating income ¥16.5 billion (+65.0%), ordinary income ¥16.0 billion (+77.8%), net income ¥11.0 billion (+83.3%).

• All profit metrics projected to reach record highs.

• Diluted net income per share was ¥203.85, up from ¥158.57 a year earlier.

Outlook and guidance

• Full-year net sales forecast is ¥88.0 billion (up 53.4% YoY), with operating income projected at ¥16.5 billion (up 73.0%) and net income at ¥11.0 billion (up 70.1%).

• Production volumes expected to increase in the second half due to recovering demand across all major markets.

• Each segment is forecasted to exceed the most recent plan, with continued strong demand in data centers and OLED compounds.

• Precious metal price trends and forex rates will be closely monitored, using ¥150/$ as the projection average.

• Dividend forecast revised to ¥120 per share for FY2026.