Hokko Chemical Industry (4992) Q2 2025 earnings summary

Executive summary

• Revenue for the first half of FY2025 increased by 6.0% year-over-year to ¥30,666 million, driven by strong growth in the agrochemical segment.

• Operating income rose 7.5% year-over-year to ¥3,657 million, while net income attributable to shareholders increased 4.6% to ¥2,800 million, aided by gains on sales of investment securities.

• The company continues to execute its three-year management plan, focusing on strengthening its earnings and production base, with both domestic and overseas sales contributing to growth.

Financial highlights

• Revenue: ¥30,666 million (up 6.0% year-over-year).

• Operating income: ¥3,657 million (up 7.5% year-over-year).

• Ordinary income: ¥3,959 million (down 0.2% year-over-year, impacted by foreign exchange losses).

• Net income attributable to shareholders: ¥2,800 million (up 4.6% year-over-year).

• Comprehensive income: ¥3,489 million (down 58.8% year-over-year due to lower other comprehensive income).

Outlook and guidance

• Full-year revenue forecast: ¥47,500 million (up 2.8% year-over-year).

• Operating income forecast: ¥4,750 million (up 4.6% year-over-year).

• Net income forecast: ¥3,850 million (down 3.9% year-over-year).

• No changes to previously announced guidance.