Shikoku Kasei (4099) Q3 2025 earnings summary

Executive summary

• Nine-month net sales declined 1.0% YoY to ¥52,473M, while operating profit rose 9.5% to ¥8,275M and ordinary profit rose 7.9% to ¥8,510M; both profit measures reached period records.

• Strong fine chemicals performance lifted profits, while profit attributable to owners of parent fell 11.0% to ¥6,022M.

Financial highlights

• Gross profit increased to ¥22,264M from ¥20,943M; basic EPS was ¥136.97 versus ¥145.59.

• Comprehensive income rose to ¥10,585M from ¥6,334M, driven by gains in available-for-sale securities; the equity-to-asset ratio improved to 67.1% from 61.4%.

• Annualized quarterly ROE was 9.3% versus 10.8%; the lower result reflected the absence of prior-year investment-security sale gains.

• FX effects on P&L changes were +¥0.4B to sales and -¥0.2B to operating profit; reported transaction impacts excluded some yen-denominated transactions.

Outlook and guidance

• FY2025 sales forecast remains ¥70,000M; operating profit was raised ¥600M to ¥10,000M, ordinary profit ¥600M to ¥10,400M, and parent-attributable profit ¥500M to ¥7,000M.

• Forecast basic EPS is ¥159.80; exchange-rate assumptions are ¥145/USD and ¥165/EUR.

• Higher profit guidance reflects strong fine chemicals, offsetting weaker organic chemicals and Housing Materials; Chemicals and Housing Materials sales forecasts remain unchanged.

• Versus FY2024, forecast sales rise 0.7% and operating profit 2.7%, while ordinary profit falls 3.5% and parent-attributable profit falls 20.6%.