Tokuyama (4043) Q1 2026 earnings summary

Executive summary

• Net sales for Q1 FY2025 were ¥81.8B, down 0.8% year-over-year due to lower overseas chemical prices and caustic soda exports, despite strong semiconductor-related sales.

• Operating profit rose 5.1% to ¥7.8B, driven by improved manufacturing costs and strong semiconductor-related product trends.

• Ordinary profit fell 9.8% to ¥7.6B, mainly due to a shift from foreign exchange gains to losses.

• Profit attributable to owners dropped 33.6% to ¥4.9B, impacted by the absence of prior year extraordinary gains.

• Business performance is trending as planned; no revision to full-year forecasts.

Financial highlights

• Gross profit increased to ¥27.98B from ¥26.86B year-over-year.

• SG&A expenses rose 3.8% to ¥20.1B, mainly from higher logistics costs.

• Basic EPS: ¥68.27, down from ¥102.89 year-over-year.

• Cost of sales decreased by ¥1.8B; SG&A increased by ¥0.7B.

• Comprehensive income decreased 48.8% to ¥4.91B.

Outlook and guidance

• FY2025 forecast unchanged: net sales ¥364.5B (+6.2%), operating profit ¥41.5B (+38.5%), profit attributable to owners ¥29.0B (+24%), EPS ¥403.09.

• Growth expected from higher sales of semiconductor and healthcare-related products.

• Exchange rate assumptions: 1Q actual ¥145/USD, 2-4Q forecast ¥140/USD.

• No revision to previously announced forecasts; future updates will be disclosed as needed.