KEL Corporation Fiscal Year Ending March 2027 Second Quarter (Interim) Financial Summary

Overview of Results

Net sales for this interim period amounted to 7,844 million yen, representing a substantial 28.8% increase year-over-year. By region, sales to China were robust, and growth in Japan and other Asian markets also contributed. Despite a cost environment characterized by persistently high raw material prices, increased revenue and improved operating utilization led to significant improvements: operating income was 424 million yen, ordinary income was 434 million yen, and net income attributable to owners of parent for the interim period was 238 million yen.

Outlook and Points of Caution

The full-year earnings forecast for the fiscal year ending March 2027 has been revised and disclosed. Based on results through the second quarter, net sales are expected to continue growing; however, attention is required regarding persistent high raw material prices, foreign exchange movements, and regional differences in demand recovery. The dividend was 40 yen at the end of the second quarter, and the company maintains a full-year dividend forecast of 80 yen. Financially, the equity ratio remains stable at 77.3%, but in the short term, cash management and improvements to the cost structure will be key.