Denka Company Limited
Fiscal Year 2025 (Ending March 2026) 3rd Quarter Financial Results Presentation Materials
Operating income for the 3rd quarter of fiscal 2025 was 18.2 billion yen, up 6.4 billion yen year-over-year, and net income was 5.5 billion yen, up 3.0 billion yen year-over-year. Despite the impact of the DPE suspension of operations, overall profitability increased.
Key Figures
- Operating Income: 18.2 billion yen (YoY +6.4 billion yen)
- Net Income: 5.5 billion yen (YoY +3.0 billion yen)
- Dividend Forecast: 100 yen/share (No change)
AI要約
Overview of Performance
Net sales for the 3rd quarter of fiscal 2025 were 290.8 billion yen, down 10.8 billion yen year-over-year. However, operating income increased by 6.4 billion yen to 18.2 billion yen, and net income rose by 3.0 billion yen to 5.5 billion yen. A special loss of 13.5 billion yen was incurred due to the suspension of operations at DPE (a US chloroprene rubber manufacturing subsidiary), but fundamental countermeasures resulted in a positive operating income impact of 4.2 billion yen. This was offset by special gains including 8.2 billion yen from the sale of the Ofuna factory land and gains on the sale of policy shareholdings.
Segment Trends and Outlook
Significant profit increases were seen in Electronics & Advanced Products and Elastomer & Infrastructure Solutions, driven by expanded demand for semiconductors (including generative AI-related) and power infrastructure. Although Polymer Solutions experienced a profit decline, an overall V-shaped recovery matching the November forecast is expected. Despite the impact of DPE’s suspension, the full-year operating income forecast remains at 25.0 billion yen and net income forecast at 15.0 billion yen. The dividend is unchanged at 100 yen/share, with a policy to maintain a total shareholder return ratio of 57%.
