Mitsui Chemicals (4183) Q4 2026 earnings summary

Executive summary

• Operating income before special items for FY2025 decreased by 1.0 billion yen to 100.0 billion yen year-over-year, mainly due to Basic & Green Materials (B&GM) losses from weak demand and inventory valuation losses, while specialty chemicals domains grew.

• Sales revenue declined 7.8% year-over-year to 1,668.8 billion yen, primarily from lower selling prices and decreased B&GM sales.

• Net income attributable to owners increased 6.6% year-over-year to 34.4 billion yen, with basic EPS at 91.62 yen after a two-for-one stock split.

• FY2026 outlook projects operating income before special items to rise to 105.0 billion yen (+5% YoY), with growth in specialty chemicals and restructuring benefits in B&GM expected to offset negative impacts from the Middle East conflict.

• Comprehensive income surged to 79.7 billion yen, driven by significant gains in other comprehensive income.

Financial highlights

• FY2025 sales revenue declined 8% YoY to 1,668.8 billion yen; operating income before special items fell 1% to 100.0 billion yen.

• Net income attributable to owners increased 7% YoY to 34.4 billion yen.

• FY2026 sales revenue is forecast to grow 14% to 1,900.0 billion yen, with net income expected to rise 31% to 45.0 billion yen.

• Non-recurring items (mainly impairment losses and restructuring) increased to -26.2 billion yen in FY2025.

• Cash and cash equivalents at year-end increased by 12.5 billion yen to 183.1 billion yen.

Outlook and guidance

• FY2026 operating income before special items expected at 105.0 billion yen (+5% YoY), with specialty chemicals domains at 130.0 billion yen (+6% YoY) and B&GM loss narrowing to 3.0 billion yen.

• Dividend per share for FY2026 projected at 75 yen, with a target total return ratio of 40% or more.

• Interim and year-end dividends for FY2026 are planned at 37.5 yen per share each, totaling 75 yen per share.

• Focus on stable product supply and timely price adjustments to reflect raw material cost increases.