Kureha Corporation (4023) Q1 2026 earnings summary

Executive summary

• FY2025 1Q revenue and profit declined year-over-year, mainly due to lower agrochemical sales and the end of heat-shrinkable multilayer film sales in Specialty Plastics.

• Advanced materials posted higher revenue, but operating profit fell due to less gain on reversal of PGA inventory valuation and lower agrochemical profits.

• Sustainability-focused management and a rolling medium- to long-term plan are being implemented to adapt to changing business conditions.

• No changes were made to the 1H and full-year forecasts announced in May 2025.

Financial highlights

• 1Q FY2025 revenue: ¥36,540 million, down 12.9% YoY; core operating profit: ¥1.8B, down ¥1.7B YoY.

• EBITDA for 1Q FY2025: ¥5.4B, down ¥1.0B YoY.

• Profit attributable to owners: ¥2,061 million, down 28.2% YoY.

• Free cash flow for 1Q: ¥1.9B, down ¥5.0B YoY.

• Basic earnings per share was ¥45.35, down from ¥52.74 in the prior year.

Outlook and guidance

• Full-year revenue forecast remains at ¥165,000 million, with core operating profit at ¥13.5B–¥14,000 million.

• Profitability expected to improve in 2Q from reversal of PVDF inventory write-down and increased shipments of agrochemicals.

• Profit attributable to owners of parent projected at ¥10,000 million; basic EPS forecast at ¥249.82.

• No change to initial sales and profit forecasts for PVDF and PGA businesses.