Kansai Paint Co., Ltd. Raises FY2027 Earnings Guidance on Pricing Power

Kansai Paint Co., Ltd. (TSE:4613) has raised its full-year earnings and dividend forecasts for the fiscal year ending March 2027, citing stronger-than-expected pricing momentum overseas and improving operational efficiency.

ItemBeforeAfterChange
RevenueJPY 610.0bnJPY 630.0bn+3.3%
Operating ProfitJPY 53.0bnJPY 55.0bn+3.8%
Ordinary IncomeJPY 55.0bnJPY 57.0bn+3.6%
親会社株主に帰属する当期純利益JPY 27.0bnJPY 28.0bn+3.7%
１株当たり当期純利益JPY 153.37/shareJPY 159.05/share+JPY 5.68/share

The company expects revenue to reach JPY 630.0bn, up JPY 20.0bn from its prior forecast. Management attributed the revision to accelerated cost pass-through to customers in overseas markets, particularly in Europe, Asia, and Africa, where raw material price inflation has been successfully absorbed into selling prices. Profitability improvements from ongoing operational initiatives are also contributing to the upward revision, with operating profit climbing JPY 2.0bn to JPY 55.0bn and ordinary income (keijo rieki)—a Japan-specific metric encompassing operating profit plus non-operating items—rising to JPY 57.0bn. Domestically, however, Japan operations are expected to underperform prior guidance due to delayed pricing adjustments relative to raw material cost increases.

The company has also raised its dividend payout in line with its free cash flow 100% return and progressive dividend policy. The interim dividend and year-end dividend have each been increased by JPY 3.00/share to JPY 58.00/share, lifting the full-year dividend to JPY 116.00/share from JPY 110.00/share—a 5.5% increase. The upward revisions signal strengthening profitability momentum in international operations and reinforce management’s commitment to shareholder returns despite domestic headwinds.

Source: Original filing (TDnet) | 日本語版

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