Daishin Chemical Co.,Ltd. Revises Earnings Forecast — Operating Profit Up 89%

Daishin Chemical Co.,Ltd. (TSE:4629), a specialty organic solvent manufacturer, raised its earnings guidance for the fiscal year ending March 2027 following stronger-than-expected first-quarter performance.

ItemBeforeAfterChange
RevenueJPY 18.3bnJPY 20.7bn+13.3%
Operating ProfitJPY 740MJPY 1.40bn+89.2%
Ordinary IncomeJPY 760MJPY 1.44bn+89.5%
親会社株主に帰属する中間純利益JPY 430MJPY 890M+107.0%
１株当たり中間純利益JPY 93.99/shareJPY 194.53/share+JPY 100.54/share

The company attributed the upward revision to outperformance in the first quarter, driven primarily by higher selling prices rather than increased shipment volumes. New customer acquisition contributed additional demand, while favorable inventory adjustments bolstered profitability. For the full fiscal year, Daishin raised revenue guidance to JPY 38.5bn from JPY 36.0bn, operating profit to JPY 1.96bn from JPY 1.30bn, and net profit to JPY 1.28bn from JPY 810M. Per-share earnings guidance rose to JPY 279.77 from JPY 177.04.

The revision reflects management’s ability to navigate volatile commodity markets. Despite headwinds from Middle East tensions, elevated crude oil and naphtha prices, and yen weakness, the company maintained stable raw material procurement and product supply. The 50% increase in operating profit and ordinary income (keijo rieki)—a Japan-specific metric encompassing operating profit plus non-operating items—signals improved operational leverage and pricing power in the organic solvent sector. Investors should note that the company’s performance hinges on sustained demand and pricing stability in its specialty chemicals markets.

Source: Original filing (TDnet) | 日本語版

This article is for informational purposes only and does not constitute investment advice. Always verify against the original filing.