Kuraray
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Kuraray (3405) investor relations material

Kuraray Q4 2026 earnings summary

Complete event summary combining all related documents: earnings call transcript, report, and slide presentation.
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Q4 2026 earnings summary10 Feb, 2026

Executive summary

  • Operating and net income declined in FY2025 due to lower sales volumes, negative inventory valuation, and impairment losses in the Isoprene and elastomer segments.

  • The company advanced its medium-term management plan, focusing on production optimization, business portfolio restructuring, sustainability, innovation, and organizational transformation.

Financial highlights

  • FY2025 net sales were ¥808.4 billion, down 2.2% year-over-year; operating income was ¥58.9 billion, down 30.8%; net income attributable to owners was ¥7.5 billion, a 76.5% decrease.

  • Ordinary income fell to ¥51.5 billion from ¥81.5 billion in FY2024.

  • Free cash flow dropped to ¥0.5 billion from ¥62.3 billion in FY2024.

  • Gross profit fell to ¥246,508 million from ¥267,520 million year-over-year.

  • Equity ratio decreased to 57.0% at year-end 2025.

Outlook and guidance

  • FY2026 forecasts: net sales ¥850.0 billion (+5.1%), operating income ¥70.0 billion (+18.9%), net income ¥40.0 billion (+435.6%).

  • ROE and ROIC are expected to improve to 5% and 6%, respectively, in FY2026.

  • CAPEX (decision basis) is set at ¥75.0 billion, down from ¥101.0 billion in FY2025.

  • Annual dividend for 2026 is planned at ¥64 per share, including a ¥10 commemorative dividend.

What drives the FY2026 net income recovery
Elaborate on the 628% FY25 total return ratio
Impact of portfolio optimization on segment profit
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Frequently asked questions

Kuraray Co., Ltd. is a Japanese manufacturer specializing in chemicals, resins, fibers, and textiles. The company develops and commercializes products such as polyvinyl alcohol (PVA) resin and film, polyvinyl butyral (PVB) resin and film, ethylene vinyl alcohol (EVOH) resin and film, methacrylic resin, isoprene chemicals, elastomers, and polyamide resin. Their fiber and textile offerings include synthetic fibers, man-made leather, nonwoven fabrics, hook-and-loop fasteners, and polyester fibers. Additionally, Kuraray produces medical products, activated carbon, and high-performance membranes and systems for water treatment. Kuraray Co., Ltd. is headquartered in Tokyo, Japan, and its shares are listed on the Tokyo Stock Exchange.

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