FY2025 Full-Year Financial Results Briefing (Overview)

Performance Overview

In FY2025, net sales decreased to 808.4 billion yen (Year-over-Year △18.4 billion yen) and operating income fell to 58.9 billion yen (Year-over-Year △26.2 billion yen) due to negative impacts from inventory valuation differences and a decline in sales volume. Notably, impairment losses recorded in the Isoprene segment affected net income, which stood at 7.5 billion yen (Year-over-Year △24.3 billion yen). By segment, net sales and operating income declined in Vinyl Acetate, Isoprene, and Functional Materials, while Textile and Trading segments posted profit increases.

Outlook for FY2026 and Progress on Mid-term Management Plan

For FY2026, net sales are projected at 850 billion yen, operating income at 70 billion yen, and net income attributable to owners of parent at 40 billion yen. Capital expenditures are planned at 75 billion yen (based on decisions), with research and development expenses budgeted at 27 billion yen. Under the mid-term management plan 'PASSION 2026,' efforts are underway to optimize production capacity and enhance the business portfolio, including downsizing and withdrawal from non-core businesses. Sustainability initiatives and acquisitions/co-creation in regenerative medicine are also progressing. Dividends are planned at 54 yen for FY2025 and 64 yen for FY2026 (including a 5 yen commemorative dividend), with a share buyback of 10 billion yen scheduled.