Shikoku Chemicals' profit up despite sales dip, fine chemicals buoy results

Shikoku Chemicals Holdings Corporation announced consolidated financial results for the six months ended June 30, 2025, reporting net sales of 34,172 million yen, a 3.0% decrease year-on-year. Despite this, operating profit increased by 8.6% to 5,253 million yen, primarily due to robust sales in fine chemicals, offsetting declines in organic chemicals and Housing Materials operations. Ordinary profit decreased by 12.3% to 5,205 million yen, and profit attributable to owners of parent fell 7.5% to 3,729 million yen.

The Chemicals segment reported net sales of 24,436 million yen, a 3.2% decrease, but segment profit increased by 24.2% to 5,081 million yen. Conversely, the Housing Materials segment saw both net sales and profit decline, with sales at 9,168 million yen (down 3.1%) and profit at 66 million yen (down 87.8%). This was attributed to sluggish housing starts and increased raw material and distribution costs.

The company maintains its full-year financial forecast for December 31, 2025, projecting net sales of 70,000 million yen and operating profit of 9,400 million yen, citing strong fine chemical performance. Total assets decreased by 7,227 million yen to 128,600 million yen, while net assets increased by 2,528 million yen to 86,696 million yen, boosting the equity ratio to 66.8%.