Daicel CorporationTSE: 4202

1st Quarter (Apr. to Jun.) of Fiscal Year ending March 2026 Consolidated Financial Results [PDF: 886.1 KB]

Aug 1, 2025 at 5:05 AM UTC · Issued by Daicel Corporation

1st Quarter (Apr. to Jun.) of Fiscal Year ending March 2026 Consolidated Financial Results

A u g u s t 1 , 2 0 2 5

Program

Summary - 1Q (Apr. to Jun.) of FY2026/3 Financial Results

FY2026/3 1Q Result (Y on Y)		Both net sales and operating income were significantly affected by foreign exchange fluctuations, resulting in a decrease in both. Net sales decreased. Although global automobile production decreased slightly, sales of airbag inflators in the Safety business increased mainly in China. On the other hand, sales of acetate tow in the Materials business decreased due to customer inventory adjustments, and resin compound business in the Engineering Plastics business transferred to an equity-method affiliate in July 2024. Operating income decreased due to the impact of carryover inventory from the previous fiscal year in the Materials business and an increase in depreciation expenses for Engineering Plastics, despite contributions from improved productivity at the U.S. site of the Safety business. Income attributable to owners of parent decreased due to the gain on sale of shares in affiliated companies associated with the transfer of the resin compound business in the same period of the previous fiscal year.
Net Sales 139.3 bn yen	(-4.3%)
Operating Income 13.0 bn yen	(-25.3%)
EBITDA 22.8 bn yen	(-15.3%)
Income Attributable 9.6 bn yen to Owners of Parent	(-40.6%)
Exchange Rate USD/JPY: 145 yen (FY2025/3 1Q USD/JPY: 156 yen)

Summary - 1Q (Apr. to Jun.) of FY2026/3 Financial Results

Progression Rate of 1st Half-year

Progression rate of 1st half

1st half forecast* forecast

1Q net sales progress is in line with the first half forecast, while operating

income exceeded expectations due to timing differences.

Net sales was in line with the forecast due to factors such as the impact of the earlier-than-planned sale of acetate tow in the Materials business and foreign exchange fluctuations, despite lower-than-planned sales volume of POM in the Engineering Plastics business due to price competition in China.
Operating income exceeded the plan due to cost reduction effects in the Safety business,
Net Sales 290.0 bn yen (48.0%)
Operating Income 22.5 bn yen (58.0%)
EBITDA 43.0 bn yen (53.1%)
Exchange Rate (forecast) USD/JPY: 140 yen
*These forecasts were announced on May 13, 2025.
foreign exchange effects, and the expensing of R&D expenses and other expenses that
were expected to be recorded in the first quarter pushed back to the second quarter.
In 2Q, although the semiconductor market will remain strong, operating income is expected to decline from 1Q due to factors such as lower-than-expected automobile production plans and the recording of expenses deferred from 1Q.
Impact of US tariffs: The Safety business has been affected since the first half of the fiscal year, but we plan to pass on price increases after 3Q. In the Engineering Plastics business, exports of POM from China to the US for various industrial products have declined slightly, and demand in the Chinese market is weak. Prices are on a downward trend due to oversupply from Chinese suppliers. We have begun to adjust sales prices in China and will strive to maintain sales volume.

Financial Results

	25/3 1Q Result	26/3 1Q Result	Y on Y		1st Half-year Forecast*	Progression Rate of 1st Half-year Forecast*
Unit：Billion Yen	25/3 1Q Result	26/3 1Q Result	Change	%	1st Half-year Forecast*	Progression Rate of 1st Half-year Forecast*
Net Sales	145.6	139.3	-6.3	‐4.3%	290.0	48.0%
Operating Income	17.5	13.0	-4.4	‐25.3%	22.5	58.0%
Ordinary Income	18.2	12.3	-5.8	‐32.1%	23.5	52.5%
Income Attributable to Owners of Parent	16.2	9.6	-6.6	‐40.6%	25.0	38.5%
Exchange Rate USD/JPY	156	145

53.1%

43.0

E B I T D A

27.0

22.8

-4.1

-15.3%

*These forecasts were announced on May 13, 2025.