Tokai Carbon Co., Ltd. Revises Earnings Forecast — Net Profit Up 83%
Tokai Carbon Co., Ltd. (TSE:5301) raised its full-year earnings guidance for the fiscal year ending December 2026, citing strong demand recovery in automotive and tire markets alongside cost optimization across business segments.
| Item | Before | After | Change |
|---|---|---|---|
| Revenue | JPY 170.4bn | JPY 173.7bn | +2.0% |
| Operating Profit | JPY 10.3bn | JPY 15.1bn | +46.6% |
| Ordinary Income | JPY 9.50bn | JPY 14.8bn | +56.3% |
| 親会社株主に帰属する中間純利益 | JPY 5.00bn | JPY 7.24bn | +44.7% |
| １株当たり中間純利益 | JPY 23.87/share | JPY 34.40/share | +44.1% |
For the full fiscal year, the company now projects revenue of JPY 386.0bn (up 4.3%), operating profit of JPY 35.0bn (up 25.0%), and net profit of JPY 22.0bn (up 83.3%). The revision reflects accelerating sales in carbon black and fine carbon segments, coupled with cost reductions in smelting and lining operations. Management cited sustained demand for solid SiC focus rings used in memory semiconductor applications as a key driver. Additionally, the company expects special gains from the reduction of policy-held equity stakes.
The substantial upward revision signals improving operational momentum across Tokai Carbon’s core markets. The 83% net profit increase, while partly supported by one-time equity sales, underscores underlying business strength as automotive and tire demand recovers. International investors should note that ordinary income (keijo rieki)—a Japan-specific metric encompassing operating profit plus financial income and expenses—rose 56.3% at the interim stage, indicating robust non-operating performance alongside core business gains. The revision demonstrates management confidence in sustained market recovery and operational efficiency gains through the full fiscal year.
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.