Q1 FY2026 Financial Results Summary [Japanese GAAP] (Consolidated)

Performance Overview

For the first quarter of FY2026, the consolidated results were net sales of ¥68.12 billion (up 6.3% YoY), operating profit of ¥4.173 billion (up 8.2% YoY), ordinary income of ¥4.796 billion (up 13.3% YoY), and net income attributable to owners of the parent of ¥3.314 billion (up 7.7% YoY). Sales were robust in the Americas, and sales of functional materials also increased. The weaker yen contributed positively. Despite increases in personnel and other expenses, improved profitability was achieved through higher sales volumes and stable raw material prices.

Segment Performance

Printing inks and equipment (Japan) recorded net sales of ¥12.177 billion (down 2.5% YoY) and operating profit of ¥560 million (up 105.6% YoY). Printing inks (Asia) had net sales of ¥14.303 billion (up 2.0% YoY) and operating profit of ¥1.659 billion (up 3.6% YoY). Printing inks (Americas) posted net sales of ¥27.64 billion (up 8.2% YoY) and operating profit of ¥1.287 billion (down 16.9% YoY). Printing inks (Europe) achieved net sales of ¥6.243 billion (up 19.1% YoY) and operating profit of ¥227 million (up 166.4% YoY). Functional materials recorded net sales of ¥7.518 billion (up 15.3% YoY) and operating profit of ¥607 million (up 0.2% YoY).

Financial Position Overview

Total assets stood at ¥228.93 billion (up 1.4% YoY), net assets at ¥128.42 billion (up 1.5% YoY), and the equity ratio remained stable at 52.7%. The company acquired a total of 396,300 treasury shares by the end of the first quarter, with a book value of ¥6.911 billion.

Earnings Guidance Explanation

The full-year consolidated earnings forecast for FY2026 projects net sales of ¥276.0 billion (up 7.1% YoY), operating profit of ¥17.0 billion (up 11.6% YoY), ordinary income of ¥17.8 billion (up 15.8% YoY), and net income attributable to owners of the parent of ¥11.8 billion (up 1.6% YoY). There has been no revision from the most recent forecast. Despite uncertainties such as geopolitical tensions in the Middle East and rising raw material costs, the current outlook remains unchanged.