Resonac (4004) Q1 2025 earnings summary

Executive summary

• Revenue for Q1 2025 was ¥321.1 billion, nearly flat year-over-year, as gains in Semiconductor and Electronic Materials offset declines in Chemicals, particularly graphite electrodes, and Mobility.

• Core operating profit rose to ¥14.8 billion, up ¥5.3 billion or 55.3% year-over-year, driven by strong performance in Semiconductor and Electronic Materials.

• Operating profit and net profit declined due to the absence of prior year’s one-time asset sale gains and adverse foreign exchange movements.

• No revision to full-year 2025 guidance as Q1 results align with expectations amid external uncertainties.

Financial highlights

• Revenue: ¥321.1B, down ¥1.1B year-over-year; core operating profit: ¥14.8B, up ¥5.3B; EBITDA: up to ¥38.5B, margin 12.0%.

• Profit attributable to owners: ¥8.8B, down ¥19.8B year-over-year due to currency loss and absence of prior year asset sale gains.

• Gross profit increased to ¥74.1B from ¥66.1B year-over-year.

• Basic and diluted EPS for Q1 2025 were ¥48.44, down from ¥157.86 in Q1 2024.

• Comprehensive income turned negative at ¥(18.4)B, mainly due to foreign currency translation losses.

Outlook and guidance

• FY2025 revenue forecast at ¥1,422.0B, core operating profit at ¥98.0B, EBITDA at ¥193.8B; no change to guidance.

• Non-recurring items, including restructuring costs, expected to reduce profit attributable to owners by ¥47.5B.

• Profit attributable to owners expected at ¥26.0B (–64.6%), with EPS of ¥143.87.