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Results4028ISHIHARA SANGYO KAISHA,LTD.Materials and Chemicals

Financial Results for the Second Quarter (Interim Period) of the Fiscal Year Ending March 2027 [Japanese GAAP] (Consolidated)

For the interim period of the fiscal year ending March 2027, revenue decreased 3.8% year on year and operating profit decreased 58.2%, while profit attributable to owners of the parent turned from a profit in the previous year to a loss of ¥999 million. The full-year earnings forecast was revised to operating profit of ¥15,800 million and net income of ¥7,100 million.

Worth reading
58In focus
Scored from 5 of 6 sections
Direction
Deterioration
Direction inferred from the company’s description.
Scale
-58.2
Year-on-year change in operating profit (%)
Wording
Conditional
How definitive the wording is.

Results for this period

Interim period (second quarter)1 April 2026 to 30 September 2026ConsolidatedJapanese GAAP
Net Sales73,571¥ millionYear on year -3.8%Progress 48.7%
Operating profit3,080¥ millionYear on year -58.2%Progress 19.5%
Ordinary income3,854¥ millionYear on year -54.7%Progress 24.7%
Net income attributable to owners of the parent-999¥ million

The width of the band at each stage is based on revenue. The narrower it becomes toward the bottom, the smaller the proportion of revenue that remains as profit. The dotted outline is the full-year forecast and the band inside it is the result for this period. The progress rate is the result divided by the forecast.

Net income per share△¥26.09
Financial position at period-end
Total assets234,418¥ million
of which net assets 125,748 ¥ millionEquity ratio 53.5%vs. prior year-end -0.2pt

塗りつぶした部分が自己資本比率です。総資産のうち、返済のいらない自前の資金がどれだけかを表します。The thin vertical line indicates the level at the end of the previous fiscal year.

Cash inflows and outflows
Operating+21,507
Investment-1,229
Financials-9,502
Net change+10,776

Stacked from zero: upward is an increase in cash, downward a decrease (in ¥ million).The net change represented by the dotted line is the total of three items, calculated from figures provided by the company.

Cash and cash equivalents at end of period¥40,356 million
Segment revenue
Organic chemicals business37,96651.6%
Inorganic Chemicals Business33,63945.7%
Other Businesses1,9652.7%
Segment profit
Organic chemicals business1,84132.9%
Inorganic Chemicals Business3,67865.7%
Other Businesses781.4%
Regional sales
Japan29,43140.0%
Asia14,24319.4%
Americas9,70613.2%
Europe19,40526.4%
Other7841.1%
Outlook and shareholder returns
Full-year earnings forecast
Net Sales¥151,000 million (YoY -2.5%)
Operating profit¥15,800 million (YoY -17.2%)
Ordinary income¥15,600 million (YoY -28.2%)
Net income¥7,100 million (YoY -57.3%)
Revision to Earnings ForecastNot disclosed → Net Sales ¥151,000 million / Operating profit ¥15,800 million / Ordinary income ¥15,600 million / Net income ¥7,100 million
Annual Dividend Forecast¥120 → ¥130(+8.3%)
Factors Behind Changes in Business Performance

Pesticide sales in Europe and the Americas declined due to weather conditions and competition from generic products, among other factors. Operating profit decreased due to higher research and development expenses. The interim net loss attributable to owners of the parent was affected by the impairment loss related to 富士チタン工業 Co., Ltd.'s withdrawal from its business and the increased temporary reversal of deferred tax assets as a reaction to the strong performance in the previous fiscal year.

Disclosure regarding the going concern assumption

Not applicable.

Change in accounting policy
基準改正に伴う変更 Noそれ以外の変更 No見積りの変更 No修正再表示 No
Changes in the scope of consolidationNo material changes (not stated on the cover)
Impairment loss¥2,649 million
Breakdown of extraordinary income (loss)Extraordinary income Gain on sale of non-current assets ¥193 million, Gain on sale of investment securities ¥102 million, Insurance proceeds received ¥124 million / Extraordinary loss Impairment loss ¥2,649 million, Loss on disposal of fixed assets ¥279 million, Business Exit Losses ¥163 million, Loss on closure of a plant ¥144 million
Depreciation and amortization¥2,551 million
Availability of Supplementary Financial Results MaterialsYes
Availability of Financial Results BriefingYes (for analysts)
Issued Shares at Period-End40,383,943
Treasury Shares at Period-End2,033,869
Results for this period
ItemDetails
Fiscal Period ClassificationInterim period (second quarter)
Accounting standardsJapanese GAAP
Consolidated / non-consolidatedConsolidated
Period Covered1 April 2026 to 30 September 2026
Net Sales¥73,571 million (YoY -3.8%)
Operating profit¥3,080 million (YoY -58.2%)
Ordinary income¥3,854 million (YoY -54.7%)
Profit attributable to owners of the parent¥-999 million
Net income per share△¥26.09
Equity ratioEnd of the current fiscal period 53.5 / End of previous period 53.7
Total assets¥234,418 million
Net assets¥125,748 million
Cash flows from operating activities¥21,507 million
Cash flows from investing activities¥-1,229 million
Cash flows from financing activities¥-9,502 million
Cash and cash equivalents at end of period¥40,356 million
Full-year earnings forecastNet Sales ¥151,000 million (YoY -2.5%) / Operating profit ¥15,800 million (YoY -17.2%) / Ordinary income ¥15,600 million (YoY -28.2%) / Net income ¥7,100 million (YoY -57.3%)
Revision to Earnings ForecastNot disclosed → Net Sales ¥151,000 million / Operating profit ¥15,800 million / Ordinary income ¥15,600 million / Net income ¥7,100 million
Annual Dividend Forecast¥120 → ¥130(+8.3%)
Segment revenueOrganic chemicals business ¥37,966 million / Inorganic Chemicals Business ¥33,639 million / Other Businesses ¥1,965 million
Segment profitOrganic chemicals business ¥1,841 million / Inorganic Chemicals Business ¥3,678 million / Other Businesses ¥78 million
Regional salesJapan ¥29,431 million / Asia ¥14,243 million / Americas ¥9,706 million / Europe ¥19,405 million / Other ¥784 million
Depreciation and amortization¥2,551 million
Impairment loss¥2,649 million
Breakdown of extraordinary income (loss)Extraordinary income Gain on sale of non-current assets ¥193 million, Gain on sale of investment securities ¥102 million, Insurance proceeds received ¥124 million / Extraordinary loss Impairment loss ¥2,649 million, Loss on disposal of fixed assets ¥279 million, Business Exit Losses ¥163 million, Loss on closure of a plant ¥144 million
Disclosure regarding the going concern assumptionNot applicable.
Change in accounting policyChanges due to revisions to standards No / Other changes No / Change in accounting estimate No / Restatement No
Changes in the scope of consolidationNo material changes (not stated on the cover)
Availability of Supplementary Financial Results MaterialsYes
Availability of Financial Results BriefingYes (for analysts)
Issued Shares at Period-End40,383,943
Treasury Shares at Period-End2,033,869
Factors Behind Changes in Business PerformancePesticide sales in Europe and the Americas declined due to weather conditions and competition from generic products, among other factors. Operating profit decreased due to higher research and development expenses. The interim net loss attributable to owners of the parent was affected by the impairment loss related to 富士チタン工業 Co., Ltd.'s withdrawal from its business and the increased temporary reversal of deferred tax assets as a reaction to the strong performance in the previous fiscal year.
Items this document does not state (5)
Operating MarginPayout ratioShareholder Return PolicyOrders received and order backlogMaterial subsequent events

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.

Pesticide sales in Europe and the Americas declined due to weather conditions and competition from generic products, among other factors; research and development expenses increased; an impairment loss was recognized in connection with the decision by 富士チタン工業 Co., Ltd. to withdraw from its business; and the reversal of deferred tax assets increased temporarily as a reaction to the strong performance in the previous fiscal year.

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Financial Results for the Second Quarter (Interim Period) of the Fiscal Year Ending March 2027 [Japanese GAAP] (Consolidated) | ISHIHARA SANGYO KAISHA,LTD. (4028) timely disclosure | Komori