Chori reports revenue and profit decline in Q2 amidst economic headwinds

Chori Co., Ltd. announced a 6.1% decrease in net sales to ¥144,962 million and a 27.3% decline in net profit attributable to owners of parent to ¥5,113 million for the second quarter ended September 30, 2025. This downturn is attributed to sluggish market conditions and foreign exchange impacts, which affected the chemicals and fibers, textiles, and garments segments. Despite an improved gross profit margin, increased selling, general, and administrative (SG&A) expenses and the absence of one-off gains from the prior year further pressured operating and ordinary profits.

Despite the quarterly dip, Chori reaffirmed its full-year forecast, projecting net sales of ¥330,000 million and net profit attributable to owners of parent of ¥11,000 million for the fiscal year ending March 31, 2026. The company also confirmed an interim dividend of ¥72 per share, maintaining its policy of a consolidated dividend payout ratio of 30% and a dividend on equity (DOE) of 3.5% or more.

The company highlighted progress on its "Chori Innovation Plan 2025," including the implementation of a new core SAP system. It also initiated a project for a new medium-term management plan, forming working teams for business, financial, non-financial, human capital, and digital transformation strategies. Chori was selected for the JPX-Nikkei Mid and Small Cap Index for the second consecutive year.