Kurabo Industries (3106) Q2 2026 earnings summary

Executive summary

• Net sales for the six months ended September 30, 2025, were ¥69.2 billion, down 3.6% year-over-year, with operating profit at ¥3.92 billion (down 7.3% YoY) and ordinary profit at ¥4.84 billion (down 5.0% YoY). Profit attributable to owners of parent rose 87.5% YoY to ¥6.42 billion, driven by extraordinary income from the sale of cross-shareholdings.

• The company continued to focus on expanding high-profit businesses in semiconductors and life sciences, while restructuring its textiles business.

Financial highlights

• Basic earnings per share for the period was ¥384.12, up from ¥193.12 in the prior year.

• Comprehensive income reached ¥9.45 billion, up 91.6% YoY.

• Total assets stood at ¥190.1 billion, with net assets at ¥125.7 billion and an equity-to-asset ratio of 65.4%.

• Cash and cash equivalents at period-end were ¥14.98 billion, a decrease of ¥0.18 billion from the previous year.

• Net cash provided by operating activities was ¥9.03 billion, while net cash used in investing and financing activities was ¥0.35 billion and ¥8.73 billion, respectively.

Outlook and guidance

• Full-year net sales forecast remains at ¥144.0 billion (down 4.4% YoY), with operating profit at ¥8.0 billion and ordinary profit at ¥9.5 billion.

• Profit attributable to owners of parent is revised upward to ¥10.5 billion (up 16.5% YoY), reflecting higher gains on sale of investment securities.

• Segment forecasts: Chemical Products and Textiles are expected to see lower revenue and profit, while Advanced Technology is projected to grow.

• Annual dividend forecast is ¥282 per share.