Unitika Ltd. (TSE: 3103), a long-established maker of polymer films, functional materials, glass fibre and industrial textiles that is restructuring with support from the Regional Economy Vitalization Corporation of Japan (REVIC), reported results for the year ended March 31, 2026. Under Japanese GAAP, consolidated revenue fell 6.2% to ¥118.56 billion, but operating profit jumped 80.3% to ¥10.55 billion, ordinary profit rose 121.4% to ¥10.39 billion and the company swung to a net profit attributable to owners of ¥18.15 billion, from a ¥24.28 billion loss a year earlier. EPS was ¥310.33, against a loss per share of ¥421.18.
Restructuring drives profit turnaround
Operating profit surged as Unitika shed low-margin operations and concentrated on films and functional materials, while the bottom line was lifted by large gains — investing cash flow was a positive ¥34.31 billion, reflecting asset sales. Total comprehensive income was ¥17.81 billion, and the equity ratio recovered to 35.7% from just 10.4%.
Portfolio reshaped
The group deconsolidated five subsidiaries — Unitika Garmentech, Unitika Spinning, PT Unitika Trading Indonesia, Kamijo Seiki and Unitika Textiles — as it exits legacy spinning and apparel-materials businesses. On April 30, 2025 it retired all of its Class A and Class B preferred shares and issued Class C preferred shares via third-party allotment as part of the REVIC-supported recapitalisation. No dividend was paid on the common shares.
Outlook
Guidance for the year to March 2027 reflects the smaller, refocused group: revenue of ¥84.00 billion (−29.2%), operating profit of ¥8.00 billion (−24.2%), ordinary profit of ¥6.50 billion (−37.5%) and net profit of ¥5.00 billion (−72.5%, as one-off gains fade), for EPS of ¥80.35, with no common dividend planned.
| Metric | FY3/26 | FY3/25 | YoY |
|---|---|---|---|
| Revenue (¥m) | 118,563 | 126,411 | −6.2% |
| Operating profit (¥m) | 10,549 | 5,851 | +80.3% |
| Ordinary profit (¥m) | 10,392 | 4,693 | +121.4% |
| Net profit attrib. (¥m) | 18,153 | −24,283 | — |
| EPS (¥) | 310.33 | −421.18 | — |
| Equity ratio | 35.7% | 10.4% | +25.3pp |
| FY3/27 OP guidance (¥m) | 8,000 | 10,549 | −24.2% |
JapanStockPulse provides informational content only and does not constitute investment advice. Figures are taken from the company's published earnings short report and may be subject to subsequent revision.