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Presentation materials for financial results4958T.HASEGAWA CO.,LTD.Materials and Chemicals

Financial Results Briefing for the Second Quarter of the Fiscal Year Ending September 2026

For the six months ended 30 September 2026, revenue increased, supported by the consolidation of overseas subsidiaries and the weaker yen. Operating profit was roughly in line with the prior-year period, while net income rose sharply. The full-year forecast was unchanged, but China is below plan, whereas Japan and Southeast Asia are progressing ahead of plan, resulting in differences in progress by business.

Worth reading
79Important
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Direction
Mixed performance
Direction inferred from the company’s description.
Scale
1761
¥ million (year-on-year increase in revenue)
Wording
Conditional
How definitive the wording is.

Contents of this document

Presentation materials for financial resultsSecond quarter of the fiscal year ending September 202613 items taken from the company’s own explanation
Financial Results Figures (The key points of this material are explained below)
Net Sales¥37,585 million+4.9%
Operating profit¥4,528 million+0.2%
Ordinary income¥4,936 million+0.2%
Net income¥3,749 million+11.6%
Gross Profit Margin42 %
Operating profit margin12 %
Selling, general and administrative expenses¥11,262 million
Results for the three months of the current quarter
Net Sales
¥19,793 million
Operating profit
¥2,960 million
Full-year earnings forecast
Net Sales
¥76,500 million
Operating profit
¥9,430 million
Ordinary income
¥10,050 million
Net income
¥7,320 million
EBITDA
¥15,157 million
Progress against full-year forecast　通期の予想に対して、いまどこまで進んだかの割合です。
Consolidated
Net Sales49.1
Operating profit48
Ordinary income49.1
Net income51.2
EBITDA48.5
Domestic
Net Sales47.9
Operating profit53.9
EBITDA51.3
United States
Net Sales48.8
EBITDA40
China
Net Sales44.7
Operating profit42.9
EBITDA44.3
Southeast Asia
Net Sales46.7
Operating profit52
EBITDA52.1
What the company explained in this material
Self-assessment against the planThe company's self-assessment against its own plan.
In Japan, revenue is on plan, while operating profit and EBITDA are progressing ahead of plan. In the US, operating profit is on plan. In China, both revenue and profit are below plan. In Southeast Asia, revenue is on plan, while operating profit and EBITDA are progressing ahead of plan.
Breakdown of Factors Affecting the ChangeReasons cited by the Company for the change in the figures.
  • Net sales
    Impact1,090
  • Cost of sales
    Impact-787
  • Selling, general and administrative expenses
    Impact-460
  • Foreign exchange
    Impact167
Assumptions Underlying the Business OutlookThe assumptions used by the company in preparing its forecast.
Exchange rate
1US$¥145.00
CNY1¥20.50 per CNY 1
1MYR¥34.00
Risk of higher raw material procurement prices due to the situation in the Middle EastSeveral hundred million yen
New initiatives
  • Fukaya Plant project and promotion of DX in the production division
  • Expansion of production capacity through capital investment, including a second US plant
  • Construction of a new third production facility in China and installation of new powdered flavor facilities in Suzhou
  • Construction of the New Malaysia Factory
  • Promotion of PMI activities for Hoang Anh
  • Change to a dividend policy based on DOE of 3% or more
Key KPIsA metric the company considers important as a management benchmark.
  • Overseas revenue as a percentage of consolidated revenue51 %
    Year on year against the same period last year+1.4%
  • EBITDA¥7,347 million
    Year on year against the same period last year+1.5%
  • Global flavor and fragrance market size$343 100 million
    Year on year against the same period last year+3.0%
  • Japan flavor and fragrance market size2,700 Hundreds of millions of yen
  • Number of products sold annually12,000 Instrument
Segment results
Flavors
Net Sales
¥32,990 million
Year on year against the same period last year+4.0%
Fragrances
Net Sales
¥4,595 million
Year on year against the same period last year+11.8%
Japan
Net Sales
210.4 Hundreds of millions of yen
Operating profit
24.4 Hundreds of millions of yen
Revenue_yoy_pct2.3
Operating profit_yoy_pct4.4
United States
Net Sales
83.5 Hundreds of millions of yen
Operating profit
-2 Hundreds of millions of yen
Revenue_yoy_pct5.9
Year-on-year change in operating income
0.9 Hundreds of millions of yen
China
Net Sales
63.2 Hundreds of millions of yen
Operating profit
18.3 Hundreds of millions of yen
Revenue_yoy_pct1.1
Operating profit_yoy_pct-7.5
Malaysia
Net Sales
12.2 Hundreds of millions of yen
Operating profit
2.5 Hundreds of millions of yen
Revenue_yoy_pct12.9
Operating profit_yoy_pct18.6
Medium-term management plan targets
Fiscal year ending September 2026
Net Sales¥76,500 million
Operating profit¥9,430 million
Ordinary income¥10,050 million
Net income¥7,320 million
EBITDA¥15,157 million
Fiscal year ending September 2027
Net Sales¥79,500 million
Operating profit¥9,500 million
Fiscal year ending September 2028
Net Sales¥82,400 million
Operating profit¥9,600 million
Risk amount incorporated into the outlookThe amount representing the range of variation the company expects in its forecast.
Sharp increase in raw material procurement prices due to the situation in the Middle EastSeveral hundred million yen (risk of higher cost of sales)
Market Size / Share
Global flavor and fragrance market size
$343 100 million
Japan flavor and fragrance market size
2,700 Hundreds of millions of yen
Company share of the global market
1.2 %
Company share of the Japan market
18.8 %
Capital expenditures
¥13,541 million current-period plan
Annual Dividend
Annual dividend per share¥100
Interim Dividend¥50
Year-end dividend¥50
Payout ratio
Reference value55.3 %
DOE
3 % or higher
Acquisition of treasury shares
To be considered if conditions set by the Company, such as PBR, are met. Acquisition limit, number of shares and period: Not disclosed
Contents of this document
ItemDetails
Document typePresentation materials for financial results
Fiscal Period CoveredSecond quarter of the fiscal year ending September 2026
Net Sales¥37,585 million (YoY +4.9%)
Operating profit¥4,528 million (YoY +0.2%)
Ordinary income¥4,936 million (YoY +0.2%)
Net income¥3,749 million (YoY +11.6%)
Gross Profit Margin42 %
Operating profit margin12 %
Selling, general and administrative expenses¥11,262 million
Results for the three months of the current quarterNet Sales ¥19,793 million / Operating profit ¥2,960 million
Full-year earnings forecastNet Sales ¥76,500 million / Operating profit ¥9,430 million / Ordinary income ¥10,050 million / Net income ¥7,320 million / EBITDA ¥15,157 million
Progress against full-year forecastConsolidated Net Sales 49.1 / Operating profit 48 / Ordinary income 49.1 / Net income 51.2 / EBITDA 48.5 / Domestic Net Sales 47.9 / Operating profit 53.9 / EBITDA 51.3 / United States Net Sales 48.8 / EBITDA 40 / China Net Sales 44.7 / Operating profit 42.9 / EBITDA 44.3 / Southeast Asia Net Sales 46.7 / Operating profit 52 / EBITDA 52.1
Self-assessment against the planIn Japan, revenue is on plan, while operating profit and EBITDA are progressing ahead of plan. In the US, operating profit is on plan. In China, both revenue and profit are below plan. In Southeast Asia, revenue is on plan, while operating profit and EBITDA are progressing ahead of plan.
Segment resultsFlavors Net Sales ¥32,990 million / yoy_pct 4 / Fragrances Net Sales ¥4,595 million / yoy_pct 11.8 / Japan Net Sales 210.4 Hundreds of millions of yen / Operating profit 24.4 Hundreds of millions of yen / Revenue_yoy_pct 2.3 / Operating profit_yoy_pct 4.4 / United States Net Sales 83.5 Hundreds of millions of yen / Operating profit -2 Hundreds of millions of yen / Revenue_yoy_pct 5.9 / Year-on-year change in operating income 0.9 Hundreds of millions of yen / China Net Sales 63.2 Hundreds of millions of yen / Operating profit 18.3 Hundreds of millions of yen / Revenue_yoy_pct 1.1 / Operating profit_yoy_pct -7.5 / Malaysia Net Sales 12.2 Hundreds of millions of yen / Operating profit 2.5 Hundreds of millions of yen / Revenue_yoy_pct 12.9 / Operating profit_yoy_pct 18.6
Breakdown of Factors Affecting the ChangeFactors Net sales / Impact ¥1,090 million, Factors Cost of sales / Impact ¥-787 million, Factors Selling, general and administrative expenses / Impact ¥-460 million, Factors Foreign exchange / Impact ¥167 million
Key KPIsIndicator name Overseas revenue as a percentage of consolidated revenue / Value 51 % / Year on year against the same period last year 1.4 %, Indicator name EBITDA / Value ¥7,347 million / Year on year against the same period last year ¥1.5 million, Indicator name Global flavor and fragrance market size / Value $343 100 million / Year on year against the same period last year $3 100 million, Indicator name Japan flavor and fragrance market size / Value 2,700 Hundreds of millions of yen, Indicator name Number of products sold annually / Value 12,000 Instrument
Assumptions Underlying the Business OutlookExchange rate 1US$ ¥145.00 / CNY1 ¥20.50 per CNY 1 / 1MYR ¥34.00 / Risk of higher raw material procurement prices due to the situation in the Middle East Several hundred million yen
Risk amount incorporated into the outlookSharp increase in raw material procurement prices due to the situation in the Middle East Several hundred million yen (risk of higher cost of sales)
Medium-term management plan targetsFiscal year ending September 2026 Net Sales ¥76,500 million / Operating profit ¥9,430 million / Ordinary income ¥10,050 million / Net income ¥7,320 million / EBITDA ¥15,157 million / Fiscal year ending September 2027 Net Sales ¥79,500 million / Operating profit ¥9,500 million / Fiscal year ending September 2028 Net Sales ¥82,400 million / Operating profit ¥9,600 million
Annual DividendAnnual dividend per share ¥100 / Interim Dividend ¥50 / Year-end dividend ¥50
Payout ratioReference value 55.3 % / DOE 3 % or higher
Acquisition of treasury sharesTo be considered if conditions set by the Company, such as PBR, are met. Acquisition limit, number of shares and period: Not disclosed
Capital expenditures¥13,541 million (current-period plan)
Market Size / ShareGlobal flavor and fragrance market size $343 100 million / Japan flavor and fragrance market size 2,700 Hundreds of millions of yen / Company share of the global market 1.2 % / Company share of the Japan market 18.8 %
New initiativesFukaya Plant project and promotion of DX in the production division, Expansion of production capacity through capital investment, including a second US plant, Construction of a new third production facility in China and installation of new powdered flavor facilities in Suzhou, Construction of the New Malaysia Factory, Promotion of PMI activities for Hoang Anh, Change to a dividend policy based on DOE of 3% or more
Items this document does not state (6)
Unit price and quantity metricsNumber of stores and locationsNumber of employeesFinancial targetsOrders received and order backlogKey points of the Q&A

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.

Revenue increased across all major locations, with the translation effect of the weaker yen and the contribution from Hoang Anh, which was consolidated from January 2026, also contributing to the increase. Operating profit was negatively affected by higher selling, general and administrative expenses, including ¥223 million in acquisition-related costs for Hoang Anh. Net income was boosted by extraordinary gains and losses, including a ¥608 million gain on the sale of investment securities.

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Financial Results Briefing for the Second Quarter of the Fiscal Year Ending September 2026 | T.HASEGAWA CO.,LTD. (4958) timely disclosure | Komori