Sekisui Chemical Reports Mixed Q1 2025 Results

Sekisui Chemical Co ( (SKSUF) ) has released its Q1 earnings. Here is a breakdown of the information Sekisui Chemical Co presented to its investors.

Sekisui Chemical Co., Ltd., listed on the Tokyo Stock Exchange, is a diversified company operating in the housing, urban infrastructure, high-performance plastics, and medical sectors, known for its innovative solutions in chemical and material sciences.

In its latest earnings report for the first quarter of fiscal year 2025, Sekisui Chemical Co. reported an increase in net sales by 2.1% to 305.1 billion yen and a rise in operating profit by 5.1% to 21.2 billion yen. However, the company faced a decline in ordinary profit by 23.9% and a significant drop in profit attributable to owners of the parent by 44.5%, primarily due to foreign exchange impacts and reduced gains from investment securities sales.

The Housing segment showed robust growth with a 10.4% increase in net sales and an 81.5% rise in operating profit, driven by higher unit prices and increased orders in the Housing Renovation business. Conversely, the Urban Infrastructure and Environmental Products segment experienced a slight decline in both sales and profits due to slumps in domestic construction markets. The High Performance Plastics segment faced challenges with a 2.2% decrease in net sales and a 6.3% drop in operating profit, affected by market slumps and currency appreciation. The Medical business also saw an 8.0% reduction in net sales and a 35.0% decrease in operating profit due to declining demand in the Diagnostics business.

Looking ahead, Sekisui Chemical Co. maintains its full-year forecast, despite revising its first-half projections due to market stagnation and currency fluctuations. The company remains focused on leveraging its diverse portfolio to navigate ongoing market challenges and capitalize on emerging opportunities.