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Revision of earnings forecasts4616KAWAKAMI PAINT MANUFACTURING CO.,LTD.Materials and Chemicals

Notice Regarding Differences Between Earnings Forecasts and Actual Results

Actual results for the second quarter (interim period) of the fiscal year ending November 2026 exceeded the previous forecast for both net sales and profit. The Company reported the variance between the interim actual results and the forecast, while leaving its full-year earnings forecast unchanged from the previous forecast.

Worth reading
61In focus
0–100. This measures how worthwhile something is to read, not how good or bad the company is.
Direction
Improvement
Direction inferred from the company’s description.
Scale
131
%
Wording
Avoiding a definitive answer
How definitive the wording is.

Revised forecast

Fiscal year ending November 2026 · Second quarter (interim period)Previous forecast published 14 January 2026
Net SalesConsolidated3,118→3,138million
+0.7%
Net SalesIndividual3,088→3,102million
+0.5%
Operating profitConsolidated81→187million
+131.0%
Operating profitIndividual76→178million
+134.7%
Ordinary incomeConsolidated96→210million
+119.0%
Ordinary incomeIndividual90→206million
+129.8%
Profit attributable to owners of the parentConsolidated76→154million
+103.2%
Profit attributable to owners of the parentIndividual72→153million
+113.8%
Net income per shareConsolidated76.35→155.17yen and sen
+103.2%
Net income per shareIndividual72.25→154.47yen and sen
+113.8%

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

In addition to adjustments to selling prices and reductions in various expenses, the Company temporarily passed on to product prices the increase in raw material prices resulting from the situation in the Middle East. However, a time lag arose before these costs were reflected in the manufacturing costs of shipped products, meaning that raw material prices from before the increase were reflected and profit margins were temporarily higher. The full-year forecast was left unchanged because the situation in the Middle East remains fluid and its impact on business performance is unclear.

Previous-period resultsConsolidated: net sales of ¥2,799 million, operating loss of ¥38 million, ordinary loss of ¥18 million, interim net loss of ¥11 million, and interim net loss per share of ¥11.51; non-consolidated: net sales of ¥2,769 million, operating loss of ¥42 million, ordinary loss of ¥16 million, interim net loss of ¥7 million, and interim net loss per share of ¥7.80
Dividend forecast revisionNo revision (the year-end dividend forecast remains unchanged from the previously announced forecast)
Consolidated / non-consolidatedConsolidated / non-consolidated (standalone)
Revised forecast
ItemDetails
Net SalesConsolidated 3,118 / Individual 3,088 → Consolidated 3,138 / Individual 3,102(Consolidated 0.7 / Individual 0.5)
Operating profitConsolidated 81 / Individual 76 → Consolidated 187 / Individual 178(Consolidated 131 / Individual 134.7)
Ordinary incomeConsolidated 96 / Individual 90 → Consolidated 210 / Individual 206(Consolidated 119 / Individual 129.8)
Profit attributable to owners of the parentConsolidated 76 / Individual 72 → Consolidated 154 / Individual 153(Consolidated 103.2 / Individual 113.8)
Net income per shareConsolidated 76.35 / Individual 72.25 → Consolidated 155.17 / Individual 154.47
Fiscal Period CoveredFiscal year ending November 2026
Period CoveredSecond quarter (interim period)
Publication date of previous forecast14 January 2026
Previous-period resultsConsolidated: net sales of ¥2,799 million, operating loss of ¥38 million, ordinary loss of ¥18 million, interim net loss of ¥11 million, and interim net loss per share of ¥11.51; non-consolidated: net sales of ¥2,769 million, operating loss of ¥42 million, ordinary loss of ¥16 million, interim net loss of ¥7 million, and interim net loss per share of ¥7.80
Reason for the revisionIn addition to adjustments to selling prices and reductions in various expenses, the Company temporarily passed on to product prices the increase in raw material prices resulting from the situation in the Middle East. However, a time lag arose before these costs were reflected in the manufacturing costs of shipped products, meaning that raw material prices from before the increase were reflected and profit margins were temporarily higher. The full-year forecast was left unchanged because the situation in the Middle East remains fluid and its impact on business performance is unclear.
Dividend forecast revisionNo revision (the year-end dividend forecast remains unchanged from the previously announced forecast)
Consolidated / non-consolidatedConsolidated / non-consolidated (standalone)
Items this document does not state (1)
Details and amount of extraordinary loss

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.

Profit margins were temporarily higher because, in addition to adjustments to selling prices and reductions in various expenses, the Company temporarily passed on to product prices the increase in raw material prices resulting from the situation in the Middle East, while a time lag arose before these costs were reflected in manufacturing costs, meaning that raw material prices from before the increase were reflected. The full-year forecast was left unchanged because the situation in the Middle East remains fluid and its impact on business performance is unclear.

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Notice Regarding Differences Between Earnings Forecasts and Actual Results | KAWAKAMI PAINT MANUFACTURING CO.,LTD. (4616) timely disclosure | Komori