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Results4094NIHON KAGAKU SANGYO CO.,LTD.Materials and Chemicals

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

In the interim period, revenue increased 13.8% year on year, while operating profit declined 14.1% due to higher research and development expenses and other factors. The company raised its full-year earnings forecast, but the operating profit forecast remains 47.1% below the previous fiscal year's actual result.

Worth reading
49Recurring
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Mixed performance
Direction inferred from the company’s description.
Scale
214
million yen
Wording
Conditional
How definitive the wording is.

Results for this period

Interim period (second quarter)1 April 2026–30 September 2026ConsolidatedJapanese GAAP
Net Sales15,119million yenYear on year +13.8%Progress 50.7%
Operating profit1,303million yenYear on year -14.1%Progress 72.4%
Ordinary income1,727million yenYear on year -0.4%Progress 69.1%
Net income attributable to owners of the parent1,195million yenYear on year -4.6%

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¥61.36
Financial position at period-end
Total assets61,803million yen
of which net assets 51,853 million yenEquity ratio 83.9%vs. prior year-end +1.5pt

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-452,043
Investment+2,732,121
Financials-883,804
Net change+1,396,274

Stacked from zero: upward is an increase in cash, downward a decrease (in ¥ thousand).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¥17,162,729 thousand
Segment revenuePharmaceuticals business ¥13,005,739 thousand (YoY +13.9%), Building Materials Business ¥2,113,299 thousand (YoY +13.2%)
Segment profitPharmaceuticals business ¥1,445,763 thousand (YoY -17.2%), Building Materials Business ¥402,202 thousand (YoY +46.2%)
Regional sales¥12,899,579 thousand, ¥2,219,459 thousand
Outlook and shareholder returns
Full-year earnings forecast
Net Sales29,830 million yen (YoY +6.4%)
Operating profit1,800 million yen (YoY -47.1%)
Ordinary income2,500 million yen (YoY -34.5%)
Profit attributable to owners of the parent1,780 million yen (YoY -22.0%)
Revision to Earnings ForecastNot disclosed → Net Sales 29,830 / Operating profit 1,800 / Ordinary income 2,500 / Profit attributable to owners of the parent 1,780
Annual Dividend Forecast90 yen → 90 yen(0.0%)
Factors Behind Changes in Business Performance

Revenue increased due to higher sales volumes resulting from stronger demand for products for the electronics industry, higher selling prices reflecting the rise in nonferrous metal prices, and the development of new customers and expansion of sales of new products. Operating profit declined due to upfront investment in growth areas, higher research and development expenses associated with launching the recycling business, and increased raw material costs.

Disclosure regarding the going concern assumption

No applicable matters. The notes on the going concern assumption state that there are no applicable matters.

Change in accounting policy
基準改正に伴う変更 Noneそれ以外の変更 None見積りの変更 None修正再表示 None
Changes in the scope of consolidationNew 0 companies / Excluded 0 companies / Company name None
Impairment lossNone recorded (the segment information states, “There are no applicable items.”)
Breakdown of extraordinary income (loss)Extraordinary income Gain on sale of non-current assets ¥661 thousand, Compensation income ¥324,104 thousand / Extraordinary loss Loss on Retirement of Fixed Assets ¥333,275 thousand, Early retirement-related expenses ¥155,543 thousand
Depreciation and amortization¥899,559 thousand
Availability of Supplementary Financial Results MaterialsYes
Availability of Financial Results BriefingNone (対象者:Not disclosed)
Issued Shares at Period-End20,280,000
Treasury Shares at Period-End782,824
Results for this period
ItemDetails
Fiscal Period ClassificationInterim period (second quarter)
Accounting standardsJapanese GAAP
Consolidated / non-consolidatedConsolidated
Period Covered1 April 2026–30 September 2026
Net Sales15,119 million yen (YoY +13.8%)
Operating profit1,303 million yen (YoY -14.1%)
Ordinary income1,727 million yen (YoY -0.4%)
Profit attributable to owners of the parent1,195 million yen (YoY -4.6%)
Net income per share¥61.36
Equity ratioEnd of the current fiscal period 83.9 / End of previous period 82.4
Total assets61,803 million yen
Net assets51,853 million yen
Cash flows from operating activities¥-452,043 thousand
Cash flows from investing activities¥2,732,121 thousand
Cash flows from financing activities¥-883,804 thousand
Cash and cash equivalents at end of period¥17,162,729 thousand
Full-year earnings forecastNet Sales 29,830 million yen (YoY +6.4%) / Operating profit 1,800 million yen (YoY -47.1%) / Ordinary income 2,500 million yen (YoY -34.5%) / Profit attributable to owners of the parent 1,780 million yen (YoY -22.0%)
Revision to Earnings ForecastNot disclosed → Net Sales 29,830 / Operating profit 1,800 / Ordinary income 2,500 / Profit attributable to owners of the parent 1,780
Annual Dividend Forecast90 yen → 90 yen(0.0%)
Segment revenuePharmaceuticals business ¥13,005,739 thousand (YoY +13.9%), Building Materials Business ¥2,113,299 thousand (YoY +13.2%)
Segment profitPharmaceuticals business ¥1,445,763 thousand (YoY -17.2%), Building Materials Business ¥402,202 thousand (YoY +46.2%)
Regional sales¥12,899,579 thousand, ¥2,219,459 thousand
Depreciation and amortization¥899,559 thousand
Impairment lossNone recorded (the segment information states, “There are no applicable items.”)
Breakdown of extraordinary income (loss)Extraordinary income Gain on sale of non-current assets ¥661 thousand, Compensation income ¥324,104 thousand / Extraordinary loss Loss on Retirement of Fixed Assets ¥333,275 thousand, Early retirement-related expenses ¥155,543 thousand
Disclosure regarding the going concern assumptionNo applicable matters. The notes on the going concern assumption state that there are no applicable matters.
Change in accounting policyChanges due to revisions to standards None / Other changes None / Change in accounting estimate None / Restatement None
Changes in the scope of consolidationNew 0 companies / Excluded 0 companies / Company name None
Availability of Supplementary Financial Results MaterialsYes
Availability of Financial Results BriefingNone (対象者:Not disclosed)
Issued Shares at Period-End20,280,000
Treasury Shares at Period-End782,824
Factors Behind Changes in Business PerformanceRevenue increased due to higher sales volumes resulting from stronger demand for products for the electronics industry, higher selling prices reflecting the rise in nonferrous metal prices, and the development of new customers and expansion of sales of new products. Operating profit declined due to upfront investment in growth areas, higher research and development expenses associated with launching the recycling business, and increased raw material costs.
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.

Selling, general and administrative expenses increased due to upfront investment in growth areas under the medium-term management plan and higher research and development expenses associated with launching the recycling business, resulting in a ¥214 million year-on-year decline in operating profit.

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Financial Results for the Second Quarter (Interim Period) of the Fiscal Year Ending March 2027 (Japanese GAAP) (Consolidated) | NIHON KAGAKU SANGYO CO.,LTD. (4094) timely disclosure | Komori