Business Results for the Second Quarter of Fiscal Year Ending March 31, 2025
(April 1, 2024 － September 30, 2024)
November 18, 2024
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70th Anniversary - Thank you to everyone
- On September 27, 2024, we celebrated our 70th anniversary.
- We would like to express our sincere gratitude to all the people involved who have supported our business growth to date.
～70th Anniversary Logo～
70th Anniversary Thanksgiving
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Contents
- Business Results for the H1 FY2024
- Forecasts for the FY2024
- Future outlook
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Financial Results for the H1 FY2024
- Net sales increased 25% YoY to 18,743 million yen, thanks to increased sales of materials for advanced semiconductors, driven by AI-related investments.
- Operating profit was 2,178 million yen, up 68% YoY, thanks to increased sales.
- Compared to the projection, operating profit exceeded +6% and net profit exceeded +3%.
H1 FY2023 | H1 FY2024 | YoY | H1 FY2024 | |||
(Million yen) | Results | Results | Change | YoY | Projections | |
Net sales | 15,055 | 18,743 | +3,688 | +25% | 18,700 | |
Operating profit | 1,297 | 2,178 | +880 | +68% | 2,050 | |
Ordinary profit | 1,354 | 2,060 | +706 | +52% | 2,000 | |
Profit | 917 | 1,391 | +474 | +52% | 1,350 | |
Comparison with Forecasts
Change | YoY |
+43 | +0% |
+128 | +6% |
+60 | +3% |
+41 | +3% |
EPS
Interim Dividends
FX Rate (USD)
¥115 ¥175
¥20¥20
￥140/$ ￥153/$
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Variance Analysis: Operating profit
- Increased sales absorbed the increased costs of expanding production capacity, and the weak yen also contributed to operating profit increasing 68% YoY to 2.17 billion yen.
(Billion yen) | +1.75 |
1.29
Operating | Sales Growth |
Profit | |
+0.11 −9.8
FX
Increase in
depreciation, labor costs, etc. due to operation of new
facilities
※Investments to increase production capacity are progressing according to the mid-term plan.
2.17
Operating
Profit
+68%
(¥+0.88 Billion)
H1 FY2023 | H1 FY2024 |
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Quarterly Sales Trends
- Quarterly sales reached a record high, mainly thanks to sales expansion of materials for advanced
semiconductors. | ||||||||||
(Billion yen) | Quarterly Sales Trends | Sales Recovery | ||||||||
9.52 | ||||||||||
10 | 9.23 | |||||||||
8 | Bottom Out | |||||||||
6 | ||||||||||
4 | ||||||||||
2 | ||||||||||
0 | ||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | |
FY2022 | FY2023 | FY2024 |
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H1 FY2024 Net sales & Operating profit Results
- Both sales and profits have recovered since the second half of the previous year. Sales increased 11% from the previous second half.
- Increased sales absorbed the increased costs associated with increased production capacity and ensure profits.
Semiannual Net sales & Operating Profit Trends
(Billion yen) | ¥+1.84 Billion | (Billion yen) | ||||||
20 | 17.43 | 17.55 | +11% | 18.74 | 5 | |||
Net sales | 16.60 | 16.90 | ||||||
16 | 15.71 | 15.05 | 4 | |||||
12 | Operating profit | 2.85 | 3 | |||||
2.36 | 2.25 | 2.11 | 2.21 | 2.17 | ||||
8 | 2 | |||||||
1.29 | ||||||||
4 | 1 | |||||||
0 | 0 | |||||||
H1 | H2 | H1 | H2 | H1 | H2 | H1 | ||
FY2021 | FY2022 | FY2023 | FY2024 |
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Photosensitive Materials Segment
Net sales & Operating profit
(Million yen) | Net sales | ¥+1,904 Million | (Million yen) | |||||||
Operating profit | ||||||||||
12,000 | +20% | 11,203 | 2,400 | |||||||
10,481 | 10,373 | |||||||||
9,298 | 10,092 | |||||||||
9,000 | 1,905 | 1,800 | ||||||||
6,000 | 1,400 | 1,359 | 1,200 | |||||||
3,000 | 797 | ¥+233 Million | 1,030 | 600 | ||||||
+29% | ||||||||||
0 | 0 | |||||||||
H1 | H2 | H1 | H2 | H1 | ||||||
FY2022 | FY2023 | FY2024 | ||||||||
(Million yen) | (Million yen) | |||||||||
6,000 | 5,615 | 5,285 | 5,917 | 1,500 | ||||||
4,832 | ||||||||||
4,466 | 4,477 | |||||||||
4,000 | 1,000 | |||||||||
574 | 913 | 630 | ||||||||
446 | 399 | |||||||||
2,000 | 500 | |||||||||
222 | ||||||||||
0 | 0 | |||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | |||||
FY2023 | FY2024 |
Net sales: ¥11,203 Million
YoY: + ¥1,904 Million, +20%
- Record highs for both the semi-annual and quarterly periods.
- Sales of semiconductor materials expanded thanks to increased demand in cutting-edge fields driven by AI-related investment.
- Regarding display materials, panel production has been maintained at a certain level, mainly in China, and demand for our company has been strong.
Operating profit: ¥1,030 Million
YoY: + ¥233 Million, +29%
- Increased sales absorbed increased costs associated with increased production capacity and secured profits.
- Profit decreased from the previous 2H mainly due to increased costs for new facility operation.
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Chemicals Segment | ||||||||||
Net sales & Operating profit | ||||||||||
(Million yen) | Net sales | ¥+1,784 Million | 7,540 | (Million yen) | Net sales: ¥7,504 Million | |||||
8,000 | 7,072 | Operating profit | +31% | 2,000 | ||||||
6,000 | 6,229 | 5,756 | 6,809 | 1,500 | YoY: + ¥1,784 Million, +31% | |||||
1,147 | ||||||||||
• Sales of high-purity solvents increased thanks to higher | ||||||||||
946 | ||||||||||
4,000 | 855 | 1,000 | demand for semiconductors and recovery of demand for | |||||||
715 | ||||||||||
2,000 | 500 | ¥+647 Million | 500 | electronic components. | ||||||
+129% | • Sales of fragrance materials increased thanks to continued | |||||||||
0 | H1 | H2 | H1 | H2 | H1 | 0 | recovery in demand. | |||
• Regarding tank terminals, cargo movement is sluggish, but | ||||||||||
FY2022 | FY2023 | FY2024 | ||||||||
the tank contract rate remains at a high level. | ||||||||||
(Million yen) | (Million yen) | |||||||||
5,000 | 1,000 | |||||||||
4,000 | 3,563 | 3,930 | 3,610 | 800 | Operating profit: ¥1,147 Million | |||||
3,245 | ||||||||||
2,778 | 2,977 | |||||||||
3,000 | 476 | 600 | YoY: + ¥647 Million, +129% | |||||||
437 | 671 | |||||||||
417 | ||||||||||
2,000 | 400 | • Profits increased significantly due to a temporary change in | |||||||||||||||||||
260 | 240 | ||||||||||||||||||||
1,000 | 200 | sales composition. | |||||||||||||||||||
0 | 0 | • Both net sales and operating profit reached record highs for | |||||||||||||||||||
the half year. | |||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | ||||||||||||||||
FY2023 | FY2024 | ||||||||||||||||||||
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H1 FY2024 Income Statement
- Net sales were 18,743 million yen (YoY +25%).
- Gross profit increased 1,283 million yen and gross profit margin improved by 2.4 points to 24.5%, as sales growth absorbed increased expenses.
- Ordinary profit increased 1.5 times from the previous year to 2,060 million yen.
(Million yen) H1 FY2023 H1 FY2024 Change%
Net sales | 15,055 | 18,743 | +3,688 | +25% | |
Cost of sales | 11,728 | 14,133 | +2,405 | +21% | |
Gross profit | 3,326 | 4,609 | +1,283 | +39% | |
SG&A expenses | 2,029 | 2,431 | +402 | +20% | |
Operating profit | 1,297 | 2,178 | +880 | +68% | |
Non-operating income | 117 | 145 | +27 | +24% | |
Non-operating expenses | 60 | 262 | +202 | +336% | |
Ordinary profit | 1,354 | 2,060 | +706 | +52% | |
Extraordinary income & losses | −18 | −50 | −32 | ||
Profit before income taxes | 1,335 | 2,009 | +674 | +50% | |
Income taxes | 418 | 618 | +200 | +48% | |
Profit | 917 | 1,391 | +474 | +52% |
Gross profit Margin 22.1%→24.5% Improved by 2.4 points
Exchange rate and interest rate impacts
Ordinary profit Margin 11.0％
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