Tokyo Ohka Kogyo (4186) Q4 2025 earnings summary

Executive summary

• Net sales, operating income, ordinary income, and profit attributable to owners of parent reached record highs for the second consecutive year, driven by strong demand in the electronics market, especially generative AI-related products and PC replacements, while smartphone demand remained soft.

• Upward revision of full-year financial results and medium-term plan targets due to robust semiconductor market trends and a weaker yen.

• Strategic investments included new manufacturing facilities in Japan and South Korea, and the acquisition of micro resist technology GmbH in Germany to strengthen European presence.

Financial highlights

• FY2025 net sales rose 17.9% year-over-year to ¥237.0 billion; operating income increased 43.2% to ¥47.4 billion; profit attributable to owners of parent up 47.0% to ¥33.3 billion.

• EBITDA grew 35.7% to ¥56.2 billion; ROE improved to 15.6%.

• Gross profit increased to ¥89,440 million from ¥73,444 million year-over-year.

• Operating margin improved to 20.0% from 16.5% year-over-year.

• Basic earnings per share rose to ¥278.42 from ¥187.29 year-over-year.

Outlook and guidance

• FY2026 net sales forecasted to rise 10.1% to ¥261.0 billion; operating income to increase 10.2% to ¥52.2 billion; profit attributable to owners of parent to grow 5.0% to ¥35.0 billion.

• Continued strong demand for advanced semiconductor materials and generative AI-related products expected.

• Annual dividend forecasted to increase to ¥80 per share in FY2026, maintaining eight consecutive years of dividend growth.

• Focus areas include expanding global market share in photoresists and high-purity chemicals, and launching new business fields.