Notice of Revision to Earnings Guidance (Published October 30, 2026)

Overview of the Revision

Daiichi Kigenso Kagaku Kogyo Co., Ltd. has revised upward its consolidated earnings guidance for the fiscal year ending March 2027. For the second quarter (April 1–September 30), increased sales volumes in the automotive exhaust gas purification catalyst segment, price revisions due to rising raw material costs, and a weaker yen have been tailwinds, and net sales and profit levels at each stage are expected to exceed previous guidance. For the full year, net sales have been revised to 42,500 million yen, operating income to 3,500 million yen, ordinary income to 3,300 million yen, net income attributable to owners of parent to 2,400 million yen, and net income per share to 99.36 yen. Note that profits are expected to be restrained in the second half due to higher raw material costs and weaker customer demand.

Outlook and Risks

The assumed exchange rate for the second half is 157 yen per USD. Elevated geopolitical risk and potential tightening of Chinese rare earth export regulations remain ongoing factors. Rising material costs, which push up cost of sales, and reduced transaction volumes leading to lower utilization rates may pressure profits; therefore, attention should be paid to fluctuations in raw material procurement and sales strategy.