Dexerials (4980) Q2 2026 earnings summary

Executive summary

• FY25H1 net sales were 57,456 million JPY, down 3.7% YoY, with business profit at 20,153 million JPY (down 9.7%) and profit attributable to owners at 13,410 million JPY (down 15.4%).

• Decline in sales was due to the end of Phosphor films and reduced ARF deliveries, partially offset by growth in optical semiconductors and high-value-added products.

• Profitability declined due to increased fixed costs from growth investments, especially in optical semiconductors.

• The FY25 full-year forecast was revised upward to 114.0 billion JPY in net sales and 39.0 billion JPY in business profit, reflecting a weaker yen and growth in high-value-added products.

• Planned annual dividend remains at 58 yen per share, with a share buyback and cancellation of 5.0 billion JPY approved.

Financial highlights

• EBITDA for FY25H1 was 23,723 million JPY, down 7.2% YoY; EBITDA margin was 41.3%.

• Operating profit dropped 14.7% YoY to 19,902 million JPY.

• Earnings per share declined 13.7% YoY to 79.65 yen, reflecting the 3-for-1 stock split.

• Net cash position decreased to 3,120 million JPY as of September 2025; cash and cash equivalents at period end were 22,377 million JPY.

• Total assets increased to 158,783 million JPY, and total equity rose to 103,222 million JPY as of September 30, 2025.

Outlook and guidance

• FY25 full-year net sales forecast is 114.0 billion JPY (+10.1% YoY), business profit 39.0 billion JPY (+34.5% YoY), and profit attributable to owners 26,000 million JPY (+26.8% YoY).

• Basic EPS forecast is 153.69 yen; dividend per share is maintained at 58.0 yen.

• ROIC is projected at 22.1% and ROE at 25.8% for FY25.