Komori
Revision to earnings forecasts4968ARAKAWA CHEMICAL INDUSTRIES,LTD.Materials and Chemicals

Notice of upward revisions to the consolidated earnings forecasts for the interim period and full year ending March 2027, and revision to the dividend forecast for the fiscal year ending March 2027 (increase in dividend)

The consolidated earnings forecasts for the interim period and full year ending March 2027 were revised upward for net sales and all profit lines. Accordingly, the annual dividend forecast was increased from ¥55.00 to ¥70.00.

Worth reading
66In 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
1300
¥ million (change in full-year operating income)
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 Announced on 14 May 2026
Net SalesInterim period43,000→46,500million
+8.1%
Net SalesFull year87,000→94,000million
+8.0%
Operating profitInterim period1,400→2,500million
+78.6%
Operating profitFull year3,300→4,600million
+39.4%
Ordinary incomeInterim period1,200→2,260million
+88.3%
Ordinary incomeFull year2,800→4,100million
+46.4%
Profit attributable to owners of the parentInterim period1,000→2,160million
+116.0%
Profit attributable to owners of the parentFull year2,250→3,200million
+42.2%
Net income per shareInterim period50.41→108.88Yen/sen
+116.0%
Net income per shareFull year113.41→161.3Yen/sen
+42.2%

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

Sales and profit are expected to exceed the previously announced forecast due to strong sales of products including photocurable resins and precision abrasives for hard disk drives, against a backdrop of growing demand in the semiconductor, generative AI and data center-related sectors, as well as a temporary increase in demand resulting from the situation in the Middle East and the growing penetration of price revisions reflecting higher raw material costs.

Previous-period resultsInterim period Net Sales 40,367 / Operating profit 929 / Ordinary income 639 / Interim net income attributable to owners of the parent 724 / Interim net income per share 36.53 / Full year Net Sales 82,135 / Operating profit 2,500 / Ordinary income 2,390 / Profit attributable to owners of the parent 2,201 / Net income per share 110.96
Dividend forecast revisionThe second-quarter-end dividend was increased from ¥27.50 to ¥35.00, the year-end dividend from ¥27.50 to ¥35.00, and the annual total from ¥55.00 to ¥70.00. The annual ordinary dividend was increased from ¥52.00 to ¥67.00, while the annual commemorative dividend was left unchanged at ¥3.00.
Consolidated / non-consolidatedConsolidated
Revised forecast
ItemDetails
Net SalesInterim period 43,000 / Full year 87,000 → Interim period 46,500 / Full year 94,000(Interim period 8.1 / Full year 8)
Operating profitInterim period 1,400 / Full year 3,300 → Interim period 2,500 / Full year 4,600(Interim period 78.6 / Full year 39.4)
Ordinary incomeInterim period 1,200 / Full year 2,800 → Interim period 2,260 / Full year 4,100(Interim period 88.3 / Full year 46.4)
Profit attributable to owners of the parentInterim period 1,000 / Full year 2,250 → Interim period 2,160 / Full year 3,200(Interim period 116 / Full year 42.2)
Net income per shareInterim period 50.41 / Full year 113.41 → Interim period 108.88 / Full year 161.30
Fiscal Period CoveredFiscal year ending March 2027
Period CoveredSecond quarter (interim period) and full year
Publication date of previous forecastAnnounced on 14 May 2026
Previous-period resultsInterim period Net Sales 40,367 / Operating profit 929 / Ordinary income 639 / Interim net income attributable to owners of the parent 724 / Interim net income per share 36.53 / Full year Net Sales 82,135 / Operating profit 2,500 / Ordinary income 2,390 / Profit attributable to owners of the parent 2,201 / Net income per share 110.96
Reason for the revisionSales and profit are expected to exceed the previously announced forecast due to strong sales of products including photocurable resins and precision abrasives for hard disk drives, against a backdrop of growing demand in the semiconductor, generative AI and data center-related sectors, as well as a temporary increase in demand resulting from the situation in the Middle East and the growing penetration of price revisions reflecting higher raw material costs.
Dividend forecast revisionThe second-quarter-end dividend was increased from ¥27.50 to ¥35.00, the year-end dividend from ¥27.50 to ¥35.00, and the annual total from ¥55.00 to ¥70.00. The annual ordinary dividend was increased from ¥52.00 to ¥67.00, while the annual commemorative dividend was left unchanged at ¥3.00.
Consolidated / non-consolidatedConsolidated
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.

Sales of products including photocurable resins and precision abrasives for hard disk drives remained strong against a backdrop of growing demand in the semiconductor, generative AI and data center-related sectors. In addition, sales are expected to exceed the previous forecast due to a temporary increase in demand resulting from the situation in the Middle East and the growing penetration of price revisions reflecting higher raw material costs.

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