Note: This document has been translated from the Japanese original for reference purposes only. In the event of any discrepancy between this translated document and the Japanese original, the original shall prevail.
Company Name: Arisawa Mfg. Co., Ltd. Stock exchange listing: Tokyo
Stock code: 5208 (URL https://www.arisawa.co.jp/en/)
Representative: Representative Director and CEO: Yuta Arisawa
August 7, 2025
Inquiries: Director and Senior Managing Operating Officer: Takeshi Masuda Telephone: 025-524-7101
Scheduled date to commence dividend payments: ---Preparation of supplementary material on quarterly financial results: Yes Holding of quarterly financial results meeting: None
(Amounts less than one million yen are rounded down)
Consolidated financial results for the three months ended June 30, 2025 (from April 1, 2025 to June 30, 2025)
Consolidated operating results (cumulative)
(Percentages indicate year-on-year changes)
Net sales
Operating profit
Ordinary profit
Profit attributable to owners of parent
Three months ended
Millions of yen
%
Millions of yen
%
Millions of yen
%
Millions of yen
%
June 30, 2025
12,634
4.6
902
△15.6
972
△27.6
728
△25.0
June 30, 2024
12,080
27.2
1,069
---
1,344
---
970
---
(Note) Comprehensive income: Three months ended June 30, 2025: 17 million yen (△98.9%)
Three months ended June 30, 2024: 1,618million yen (688.0%)
Earnings per share
Diluted earnings per share
Three months ended
Yen
Yen
June 30, 2025
21.92
21.91
June 30, 2024
29.28
29.23
Consolidated financial position
Total assets
Net assets
Equity ratio
Net asset per share
As of
Millions of yen
69,016
71,736
Millions of yen
46,781
48,559
%
Yen
June 30, 2025
67.8
1,408.01
March 31, 2025
67.7
1,461.64
(Reference) Total equity: As of June 30, 2025: 46,776 million yen As of March 31, 2025: 48,553 million yen
Cash dividends
Annual dividends per share
1st quarter-end
2nd quarter-end
3rd quarter-end
Fiscal year-end
Total
Fiscal year ended March 31, 2025
Fiscal year ending March 31, 2026
Yen
---
---
Yen
42.00
Yen
---
Yen
54.00
Yen
96.00
Fiscal year ending March 31, 2026 (Forecast)
44.00
---
44.00
88.00
(Note) Revisions to dividend projections most recently announced: None
Forecasts of consolidated financial results for the year ending March 31, 2026 (from April 1, 2025 to March 31, 2026)
(Percentages indicate year-on-year changes)
Net sales | Operating profit | Ordinary profit | Profit attributable to owners of parent | Earnings per share | |||||
Millions of yen | % | Millions of yen | % | Millions of yen | % | Millions of yen | % | Yen | |
Six months ending September 30, 2025 | 24,600 | △2.3 | 2,100 | △23.2 | 2,200 | △24.6 | 1,500 | △29.3 | 45.15 |
Full Year | 51,400 | 3.2 | 4,500 | △8.0 | 4,500 | △14.6 | 3,200 | △19.4 | 96.32 |
(Note) 1. Revisions to projections of consolidated financial results most recently announced: None
* Notes
Significant changes in the scope of consolidation during the three months ended June 30, 2025: None
Adoption of accounting treatment specific to the preparation of quarterly consolidated financial statements: Yes
Changes in accounting policies, changes in accounting estimates, and restatement
Changes in accounting policies due to revisions to accounting standards and other regulations: None
Changes in accounting policies due to other reasons: None
Changes in accounting estimates: None
Restatement: None
As of June 30, 2025:
33,603,924 shares
As of March 31, 2025:
33,600,524 shares
As of June 30, 2025:
382,156 shares
As of March 31, 2025:
382,116 shares
Three months ended June 30,
2025:
33,219,092 shares
Three months ended June 30,
2024:
33,162,236 shares
Number of issued shares (common shares)
Total number of issued shares at the end of the period (including treasury shares):
Number of treasury shares at the end of the period:
Average number of shares during the period (cumulative from the beginning of the fiscal year)
(Note) The shares of the Company (81,200 shares in 1Q of the year ending March 31, 2026 and 81,200 shares in the year ended March 31, 2025) held by Custody Bank of Japan, Ltd. (Trust Account) as the trust assets of the "Employee Stock Ownership Plan" are included in the number of treasury shares at the end of the period.
The shares of the Company held by Custody Bank of Japan, Ltd. (Trust Account) are included in the treasury shares to be deducted in calculation of the average number of shares during the year (81,200 shares in 1Q of the year ending March 31, 2026 and 81,743 shares in 1Q of the year ended March 31, 2025).
Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm: None
Proper use of earnings forecasts, and other special matters
Descriptions and statements concerning estimates and forecasts in this material are based on information currently available to the Company and certain assumptions judged by the Company to be reasonable. Various factors could cause actual results to differ materially from these projections. For information concerning business forecast, please refer to "1. Summary of Business Results, etc., (3) Explanation about Future Forecast Information, Including Forecast of Consolidated Business Results" of the attached materials on page 3.
Contents of Attached Materials
Summary of Business Results, etc 2
Summary of Business Results for the First Quarter 2
Summary of Financial Position for the First Quarter 2
Explanation about Future Forecast Information,
Including Forecast of Consolidated Business Results 3
Quarterly Consolidated Financial Statements and Major Notes 4
Quarterly Consolidated Balance Sheet 4
Quarterly Consolidated Statements of Income
and Quarterly Consolidated Statements of Comprehensive Income 6
Quarterly Consolidated Statements of Income 6
Quarterly Consolidated Statement of Comprehensive Income 7
Notes to Quarterly Consolidated Financial Statements 8
(Notes to Special Accounting Methods
for Preparing Quarterly Consolidated Financial Statements) 8
(Notes to Segment Information, etc.) 8
(Notes in the Case of Significant Changes in Shareholders' Equity) 9
(Notes on Going Concern Assumption) 9
(Notes Related to Quarterly Consolidated Statements of Cash Flows) 9
Summary of Business Results, etc.
Summary of Business Results for the First Quarter
In the current consolidated cumulative first quarter, the Japanese economy showed a moderate recovery trend due to improvement in the employment and income situation. Meanwhile, there is still an uncertain outlook for the economy due to the impact of U.S. trade policies and heightened tensions in the Middle East in addition to prices of raw materials and energy remaining high and rising prices, etc.
Under such circumstances, the results of operations of our group for the current consolidated cumulative first quarter showed net sales of 12,634 million yen (an increase of 4.6% year-on-year) due to an increase in demand for smartphones and semiconductors in electronic materials, one of our main business fields, despite weak performance in display materials. The results in terms of profit and loss showed an operating profit of 902 million yen (a decrease of 15.6% year-on-year), an ordinary profit of 972 million yen (a decrease of 27.6% year-on-year), and a profit attributable to owners of parent of 728 million yen (a decrease of 25.0% year-on-year) due to a change in the product mix.
Business results with respect to each segment are as follows. (Electronic materials)
Net sales were 8,373 million yen (an increase of 16.7% year-on-year) due to an increase in sales of flexible printed circuit board materials and glass cloth for printed circuit boards, while the segment profit was 842 million yen (an increase of 72.5% year-on-year) due to an increase in sales.
(Industrial application structural materials)
Net sales were 2,654 million yen (a decrease of 8.1% year-on-year) due to a decrease in sales of in-vehicle materials etc., while the segment profit was 363 million yen (a decrease of 21.2% year-on-year) due to a decrease in sales.
(Electric insulation materials)
Net sales were 621 million yen (an increase of 8.2% year-on-year) due to an increase in infrastructure-related sales, while the segment profit was 23 million yen (a segment loss of 11 million yen in the same period of the previous year).
(Display materials)
Net sales were 900 million yen (a decrease of 33.1% year-on-year) due to a decrease in sales of 3D-related materials and polarization control optical components, while the segment profit was 135 million yen (a decrease of 73.6% year-on-year).
(Other)
Net sales were 84 million yen (a decrease of 12.4% year-on-year).
Summary of Financial Position for the First Quarter
Total assets as of the end of the current consolidated cumulative first quarter were 69,016 million yen, a decrease of 2,720 million yen compared with the end of the previous fiscal year. This was largely due to a decrease of 1,913 million yen in cash and deposits, and a decrease of 401 million yen in property, plant and equipment, respectively.
Total liabilities were 22,234 million yen, a decrease of 942 million yen compared with the end of the previous fiscal year. This was largely due to a decrease of 406 million yen in notes and accounts payable-trade, a decrease
of 452 million yen in income taxes payable, a decrease of 448 million yen in long-term borrowings, and an increase of 362 million yen in provision for bonuses, respectively.
Total net assets were 46,781 million yen, a decrease of 1,777 million yen compared with the end of the previous fiscal year. This was largely due to a decrease of 1,069 million yen in retained earnings and a decrease of 674 million yen in foreign currency translation adjustment, respectively.
Explanation about Future Forecast Information, Including Forecast of Consolidated Business Results
As for the forecast of consolidated business results for the cumulative second quarter and full-year of the fiscal year ending March 31, 2026, there is no change in the forecast of consolidated business results which was announced on May 7, 2025.
Quarterly Consolidated Financial Statements and Major Notes
Quarterly Consolidated Balance Sheet
(Thousands of yen)
As of March 31, 2025 As of June 30, 2025
Assets
Current assets
Cash and deposits 16,861,091 14,947,805
Notes and accounts receivable - trade, and contract assets | 16,674,196 | 16,949,198 |
Securities | 100,020 | - |
Merchandise and finished goods | 6,117,372 | 5,934,048 |
Work in process | 2,740,780 | 2,611,465 |
Raw materials and supplies | 5,747,978 | 5,675,429 |
Other | 1,317,955 | 1,195,518 |
Allowance for doubtful accounts | (32,071) | (56,565) |
Total current assets | 49,527,322 | 47,256,898 |
Non-current assets | ||
Property, plant and equipment | ||
Buildings and structures, net | 7,270,456 | 7,014,404 |
Other, net | 11,494,315 | 11,348,772 |
Total property, plant and equipment | 18,764,772 | 18,363,176 |
Intangible assets | 300,488 | 269,539 |
Investments and other assets | ||
Investment securities | 1,969,043 | 1,924,674 |
Other | 1,220,809 | 1,247,438 |
Allowance for doubtful accounts | (45,797) | (45,419) |
Total investments and other assets | 3,144,054 | 3,126,693 |
Total non-current assets | 22,209,315 | 21,759,409 |
Total assets | 71,736,638 | 69,016,308 |
(Thousands of yen)
As of March 31, 2025 As of June 30, 2025
Liabilities
Current liabilities
Notes and accounts payable - trade 7,704,382 7,298,157
Short-term borrowings 4,926,408 4,839,452
Current portion of long-term borrowings 961,467 903,134
Income taxes payable 848,061 395,611
Provision for product warranties 29,690 27,978
Provision for bonuses 727,947 1,090,058
Provision for bonuses for directors (and other
officers)
6,358
634
Other 3,378,345 3,562,786
Total current liabilities 18,582,660 18,117,812 Non-current liabilities
Long-term borrowings 3,677,101 3,228,687
Provision for share awards 26,729 36,788
Retirement benefit liability 42,212 65,047
Asset retirement obligations 103,856 101,738
Other 744,898 684,389
Total non-current liabilities 4,594,797 4,116,651
Total liabilities 23,177,458 22,234,464
Net assets
Shareholders' equity
Share capital 7,880,116 7,881,920
Capital surplus 3,244,143 3,245,946
Retained earnings 33,494,893 32,424,900
Treasury shares (471,686) (471,744)
Total shareholders' equity 44,147,466 43,081,023 Accumulated other comprehensive income
Valuation difference on available-for-sale securities 428,851 404,658
Deferred gains or losses on hedges 2,298 2,240
Foreign currency translation adjustment 3,763,293 3,089,002
Remeasurements of defined benefit plans 211,525 199,754
Total accumulated other comprehensive income 4,405,967 3,695,656
Share acquisition rights 5,745 5,164
Total net assets 48,559,180 46,781,844
Total liabilities and net assets 71,736,638 69,016,308
Quarterly Consolidated Statements of Income and Quarterly Consolidated Statements of Comprehensive Income (Quarterly Consolidated Statements of Income)
(Thousands of yen)
Three months ended June 30, 2024
Three months ended June 30, 2025
Net sales
12,080,560
12,634,973
Cost of sales
9,311,097
10,011,870
Gross profit
2,769,463
2,623,102
Selling, general and administrative expenses
1,699,885
1,720,135
Operating profit
1,069,578
902,967
Non-operating income
Interest income
21,088
9,231
Dividend income
12,031
15,025
Subsidy income
76,341
50,705
Foreign exchange gains
194,139
35,073
Other
27,923
21,632
Total non-operating income
331,524
131,667
Non-operating expenses
Interest expenses
46,414
44,363
Other
10,269
17,452
Total non-operating expenses
56,684
61,815
Ordinary profit
1,344,418
972,818
Extraordinary income
Gain on sale of non-current assets
965
449
Gain on sale of investment securities
-
70,014
Gain on reversal of share acquisition rights
2,373
-
Total extraordinary income
3,338
70,464
Extraordinary losses
Loss on retirement of non-current assets
809
1,251
Impairment losses
2,854
-
Total extraordinary losses
3,664
1,251
Profit before income taxes
1,344,092
1,042,032
Income taxes
373,122
313,845
Profit
970,969
728,186
Profit attributable to non-controlling interests
-
-
Profit attributable to owners of parent
970,969
728,186
(Quarterly Consolidated Statement of Comprehensive Income)
(Thousands of yen)
Three months ended June 30, 2024
Three months ended June 30, 2025
Profit
970,969
728,186
Other comprehensive income
Valuation difference on available-for-sale securities
96,041
(24,192)
Deferred gains or losses on hedges
(89)
(57)
Foreign currency translation adjustment
548,294
(674,291)
Remeasurements of defined benefit plans, net of tax
3,052
(11,770)
Total other comprehensive income
647,297
(710,311)
Comprehensive income
1,618,267
17,874
Comprehensive income attributable to
Comprehensive income attributable to owners of parent
1,618,267
17,874
Comprehensive income attributable to non-controlling － －
interests
Notes to Quarterly Consolidated Financial Statements
(Notes to Special Accounting Methods for Preparing Quarterly Consolidated Financial Statements) (Calculation of Tax Expenses)
Tax expenses are calculated by multiplying the quarterly profit before income taxes by an estimated effective tax rate. Such effective tax rate is reasonably estimated after applying tax effect accounting to the profit before income taxes for the consolidated fiscal year including the current consolidated first quarter.
(Notes to Segment Information, etc.) [Segment Information]
Previous consolidated cumulative first quarter (From April 1, 2024 to June 30, 2024)
Information on the amount of net sales and profit or loss with respect to each reportable segment
(Thousands of yen)
Reportable segment
Other (See Note)
Total
Electronic materials
Industrial application
structural materials
Electric insulation materials
Display materials
Subtotal
Sales
Sales to external customers
7,175,105
2,887,608
574,629
1,346,472
11,983,816
96,743
12,080,560
Inter-segment sales or transfers
-
-
-
-
-
242,880
242,880
Net sales
7,175,105
2,887,608
574,629
1,346,472
11,983,816
339,624
12,323,441
Segment profit (loss)
488,188
461,374
△11,147
514,854
1,453,269
56,927
1,510,197
Note: The column "Other" represents business operations that do not fall under any of the reportable segments and includes the related goods sales, the logistics-related operations and other businesses, etc.
Difference between the aggregate amount of profit or loss of reportable segments and the pertinent amount shown on the quarterly consolidated statements of income as well as the key components of such difference (Matters concerning difference adjustment)
(Thousands of yen)
Profit
Amount
Total of reportable segments
1,453,269
Profit in the category "Other"
56,927
Elimination of inter-segment transactions
2,741
Unallocated corporate expenses (See Note)
(390,838)
Adjustment of inventories
(52,521)
Operating profit shown on the quarterly consolidated statements of income
1,069,578
Note: Unallocated corporate expenses are mostly general and administrative expenses that are not attributable to any of the reportable segments.
Information on impairment loss on non-current assets or goodwill, etc. with respect to each reportable segment
(Significant impairment losses on non-current assets)
In the industrial application structural materials segment, with respect to the assets in which investments could not be expected to recover due to a downturn in profitability, the Company devalued their carrying amount to memorandum value and showed the relevant amount of loss to extraordinary losses as impairment losses.
In this regard, the amount of the relevant impairment losses shown in the current consolidated cumulative first quarter is 2,854 thousand yen.
Current consolidated cumulative first quarter (From April 1, 2025 to June 30, 2025)
Information on the amount of net sales and profit or loss with respect to each reportable segment
(Thousands of yen)
Reportable segment
Other (See Note)
Total
Electronic materials
Industrial application
structural materials
Electric insulation materials
Display materials
Subtotal
Sales
Sales to external customers
8,373,573
2,654,056
621,982
900,627
12,550,239
84,733
12,634,973
Inter-segment sales or transfers
-
-
-
-
-
281,637
281,637
Net sales
8,373,573
2,654,056
621,982
900,627
12,550,239
366,371
12,916,611
Segment profit (loss)
842,352
363,648
23,321
135,760
1,365,083
60,480
1,425,564
Note: The column "Other" represents business operations that do not fall under any of the reportable segments and includes the related goods sales, the logistics-related operations and other businesses, etc.
Difference between the aggregate amount of profit or loss of reportable segments and the pertinent amount shown on the quarterly consolidated statements of income as well as the key components of such difference (Matters concerning difference adjustment)
(Thousands of yen)
Profit | Amount |
Total of reportable segments | 1,365,083 |
Profit in the category "Other" | 60,480 |
Elimination of inter-segment transactions | 814 |
Unallocated corporate expenses (See Note) | (456,148) |
Adjustment of inventories | (67,263) |
Operating profit shown on the quarterly consolidated statements of income | 902,967 |
Note: Unallocated corporate expenses are mostly general and administrative expenses that are not attributable to any of the reportable segments.
(Notes in the Case of Significant Changes in Shareholders' Equity) No applicable matter.
(Notes on Going Concern Assumption) No applicable matter.
(Notes Related to Quarterly Consolidated Statements of Cash Flows)
Quarterly consolidated statements of cash flows for the current consolidated cumulative first quarter were not prepared. In this regard, the amounts of depreciation (including amortization of intangible assets) for the previous and current consolidated cumulative first quarters are as follows.
Previous consolidated cumulative first quarter (From April 1, 2024
to June 30, 2024)
(Thousands of yen) Current consolidated cumulative first quarter
(From April 1, 2025
to June 30, 2025)
Depreciation 495,927 531,999