Mitsubishi Chemical Group (4188) Q3 2026 earnings summary

Executive summary

• Semiconductor-related businesses remained steady in Q3 FY25, while materials-related businesses faced ongoing sluggishness due to economic stagnation and weak demand across regions.

• Core operating income for the group decreased 2% year-on-year to ¥185.6 billion, supported by strong industrial gases, while net income attributable to owners surged 77% to ¥105.4 billion, mainly due to proceeds from the transfer of Mitsubishi Tanabe Pharma, despite non-recurring losses from business exits.

• Structural reforms, including withdrawal from coke and carbon materials, led to additional non-recurring losses and a downward revision of full-year profit forecast.

• MTPC and its subsidiaries were transferred on July 1, 2025, and are now classified as discontinued operations, significantly impacting reported results.

Financial highlights

• Revenue for the first nine months was ¥2,737.3 billion, down 8% year-on-year, mainly due to lower prices, volumes, and business restructuring.

• Core operating income was ¥185.6 billion, down 2% year-on-year.

• Net income attributable to owners of the parent was ¥105.4 billion, up 77% year-on-year, mainly due to the sale of Mitsubishi Tanabe Pharma.

• Operating income fell 22% year-on-year to ¥113.3 billion.

• Basic earnings per share rose to ¥76.70 from ¥41.72 year-over-year.

Outlook and guidance

• Full-year profit forecast was revised down from ¥125 billion to ¥47 billion due to additional non-recurring losses from structural reforms and business withdrawals.

• Core operating income forecast remains unchanged at ¥250 billion, with continued focus on portfolio transformation and profit improvement.

• Year-end dividend forecast maintained at ¥16 per share, annual dividend at ¥32 per share.

• Basic earnings per share forecast for the year is ¥34.29.