UBE (4208) Q2 2026 earnings summary

Executive summary

• Net sales for the first half of FY2025 decreased by 12.5% year-over-year to ¥212.7 billion, mainly due to sluggish sales in Polymers & Chemicals and the exclusion of the Steel Products Business from consolidation.

• Operating profit rose 36.4% year-over-year to ¥8.3 billion, driven by lower raw material prices and the absence of large-scale maintenance, despite weak sales in several segments.

• Profit attributable to owners of parent surged to ¥10.9 billion from ¥0.3 billion a year earlier.

• Segment reclassification was implemented, expanding from four to six segments, including the new High Performance Urethane and Pharmaceutical segments.

• Ordinary profit jumped to ¥15.9 billion from ¥1.9 billion, mainly due to foreign exchange gains and improved equity method income.

Financial highlights

• EBITDA increased 7.9% year-over-year to ¥21.3 billion.

• Net income per share rose sharply to ¥112.08 from ¥3.28.

• Comprehensive income was ¥18.2 billion, up from a loss of ¥3.0 billion year-over-year.

• Shareholders' equity ratio at 47.0%, ROS at 3.9%, ROA at 3.3%, and D/E ratio at 0.79.

• Total assets remained stable at ¥865.8 billion, with shareholders' equity at ¥406.7 billion and interest-bearing debt at ¥321.8 billion.

Outlook and guidance

• Full-year FY2025 guidance remains unchanged at ¥490.0 billion in net sales and ¥25.0 billion in operating profit, with segment-level revisions reflecting market conditions.

• Net income forecast for FY2025 is ¥27.5 billion, a significant turnaround from a loss in FY2024; net income per share forecast is ¥283.15.

• Dividend forecast is maintained at ¥110 per share, with a DOE target of 2.5% or higher.

• Ordinary profit forecast is ¥37.5 billion, up 67.6% year-over-year.