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Revision of earnings forecasts4028ISHIHARA SANGYO KAISHA,LTD.Materials and Chemicals

Notice regarding revisions to consolidated earnings forecasts for the second quarter (first half) and full year of the fiscal year ending March 2027

For the interim period of the fiscal year ending March 2027, the forecasts for net sales and each profit measure were revised upward. For the full year, the forecasts for net sales, operating profit and ordinary profit remain unchanged, while net income attributable to owners of the parent and earnings per share have been temporarily withheld because the special losses associated with structural reforms are difficult to estimate.

Worth reading
80Important
Scored from 4 of 5 sections
Direction
Mixed performance
Direction inferred from the company’s description.
Scale
600
% (change in interim net income attributable to owners of the parent for the interim period)
Wording
Avoiding a definitive answer
How definitive the wording is.

Revised forecast

Fiscal year ending March 2027 · Second quarter (interim period) and full yearPrevious forecast published 12 May 2026
Net SalesSecond quarter (interim period)72,000→75,000million
+4.2%
Net SalesFull year150,000→150,000million
0.0%
Operating profitSecond quarter (interim period)1,300→3,100million
+138.5%
Operating profitFull year14,200→14,200million
0.0%
Ordinary incomeSecond quarter (interim period)600→3,800million
+533.3%
Ordinary incomeFull year13,300→13,300million
0.0%
Profit attributable to owners of the parentSecond quarter (interim period)100→700million
+600.0%
Profit attributable to owners of the parentFull year9,100→—million
—
Net income per shareSecond quarter (interim period)2.61→18.29yen and sen
+600.8%
Net income per shareFull year237.82→—yen and sen
—

The bar length represents the relative magnitude of change, based on the item that changed the most in this document. The percentage change shown by the dotted line is calculated from the two reported figures because the company did not provide the rate.

Reason for the revision

For the interim period, the forecasts were revised upward due to strong domestic sales of electronic materials resulting from expanding demand for AI servers, firm sales of fine chemicals as some customers built up inventories in response to the situation in the Middle East, and the postponement of some research and development expenses. Although Fuji Titanium Industry incurred an impairment loss of ¥2.5 billion, this is expected to be absorbed by the increase in profit through ordinary profit. For the full year, special losses associated with additional measures for the structural reforms of the inorganic chemicals business are expected. However, as these losses are difficult to estimate at this time, net income attributable to owners of the parent has not been disclosed and is scheduled to be reviewed again when the company announces its results for the second quarter (interim period).

Details and amount of extraordinary loss

An impairment loss of ¥2.5 billion at Fuji Titanium Industry. For the full year, special losses associated with additional measures for the structural reforms of the inorganic chemicals business are expected, but the amount is difficult to estimate and has not been disclosed.

Previous-period resultsSecond quarter (interim period) Net Sales 76,459 / Operating profit 7,371 / Ordinary income 8,501 / Interim net income attributable to owners of the parent 5,649 / Interim net income per share 147.66 / Full year Net Sales 154,897 / Operating profit 19,077 / Ordinary income 21,737 / Profit attributable to owners of the parent 16,636 / Net income per share 434.78
Consolidated / non-consolidatedConsolidated
Revised forecast
ItemDetails
Net SalesSecond quarter (interim period) 72,000 / Full year 150,000 → Second quarter (interim period) 75,000 / Full year 150,000(Second quarter (interim period) 4.2 / Full year Not disclosed)
Operating profitSecond quarter (interim period) 1,300 / Full year 14,200 → Second quarter (interim period) 3,100 / Full year 14,200(Second quarter (interim period) 138.5 / Full year Not disclosed)
Ordinary incomeSecond quarter (interim period) 600 / Full year 13,300 → Second quarter (interim period) 3,800 / Full year 13,300(Second quarter (interim period) 533.3 / Full year Not disclosed)
Profit attributable to owners of the parentSecond quarter (interim period) 100 / Full year 9,100 → Second quarter (interim period) 700 / Full year Not disclosed(Second quarter (interim period) 600 / Full year Not disclosed)
Net income per shareSecond quarter (interim period) 2.61 / Full year 237.82 → Second quarter (interim period) 18.29 / Full year Not disclosed
Fiscal Period CoveredFiscal year ending March 2027
Period CoveredSecond quarter (interim period) and full year
Publication date of previous forecast12 May 2026
Previous-period resultsSecond quarter (interim period) Net Sales 76,459 / Operating profit 7,371 / Ordinary income 8,501 / Interim net income attributable to owners of the parent 5,649 / Interim net income per share 147.66 / Full year Net Sales 154,897 / Operating profit 19,077 / Ordinary income 21,737 / Profit attributable to owners of the parent 16,636 / Net income per share 434.78
Reason for the revisionFor the interim period, the forecasts were revised upward due to strong domestic sales of electronic materials resulting from expanding demand for AI servers, firm sales of fine chemicals as some customers built up inventories in response to the situation in the Middle East, and the postponement of some research and development expenses. Although Fuji Titanium Industry incurred an impairment loss of ¥2.5 billion, this is expected to be absorbed by the increase in profit through ordinary profit. For the full year, special losses associated with additional measures for the structural reforms of the inorganic chemicals business are expected. However, as these losses are difficult to estimate at this time, net income attributable to owners of the parent has not been disclosed and is scheduled to be reviewed again when the company announces its results for the second quarter (interim period).
Details and amount of extraordinary lossAn impairment loss of ¥2.5 billion at Fuji Titanium Industry. For the full year, special losses associated with additional measures for the structural reforms of the inorganic chemicals business are expected, but the amount is difficult to estimate and has not been disclosed.
Consolidated / non-consolidatedConsolidated
Items this document does not state (1)
Dividend forecast revision

These are items the company does not state in this document. We do not leave them blank, nor fill them in from other sources or by inference.

The reasons the company gives

The company's own explanation, not something inferred from the numbers.

For the interim period, net sales, operating profit and ordinary profit are expected to exceed the previous forecasts, owing to strong domestic sales of electronic materials driven by demand for AI servers, demand for inventory buildup of fine chemicals in response to the situation in the Middle East, and the postponement of some research and development expenses. The impairment loss of ¥2.5 billion at Fuji Titanium Industry will reduce interim net income, but the company expects this to be absorbed by the increase in profit through ordinary profit. For the full year, special losses are expected to arise from additional measures associated with the structural reforms of the inorganic chemicals business. As these losses are difficult to estimate at this time, the company has not disclosed net income attributable to owners of the parent.

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Notice regarding revisions to consolidated earnings forecasts for the second quarter (first half) and full year of the fiscal year ending March 2027 | ISHIHARA SANGYO KAISHA,LTD. (4028) timely disclosure | Komori