Konoshima Chemical Co., Ltd. (TSE: 4026), the Osaka-based maker of calcium-silicate building materials and magnesia chemicals, reported its full-year results for the fiscal year ended April 2026 (May 1, 2025 to April 30, 2026) on June 10, 2026. Non-consolidated revenue rose 2.2% year-on-year to ¥28,008 million, but the profit lines did the heavy lifting: operating profit jumped 50.0% to ¥2,679 million from ¥1,786 million, ordinary profit climbed 49.2% to ¥2,563 million, and net profit rose 29.1% to ¥1,850 million. Earnings per share reached ¥203.79, up from ¥158.16 a year earlier (¥202.75 diluted).
Margins expand across materials lines
Konoshima Chemical manufactures calcium-silicate boards and other fire-resistant building materials, magnesia and magnesium-compound chemicals used in flame retardants, pharmaceuticals and electronics, and advanced translucent ceramics for laser and optical applications. The year's profit surge was driven by improved pricing and product mix alongside firm demand across the materials lines, lifting the operating margin to 9.6% of revenue from roughly 6.5% a year earlier — an outsized profitability gain on a top line that grew only modestly. Return on equity reached 13.4%, a strong reading for a mid-cap materials specialist, and operating cash flow came in at ¥3,156 million, comfortably covering the year's profit and underlining the quality of the earnings.
Dividend raised to ¥49 on a solid balance sheet
The balance sheet remains conservatively financed. Total assets stood at ¥30,793 million at year-end, with net assets of ¥14,710 million and an equity ratio of 47.6%; book value per share was ¥1,613.03. On the back of the stronger result, the company raised its annual dividend to ¥49.00 per share (¥23 interim + ¥26 year-end), a total payout of ¥445 million equivalent to a 24.0% payout ratio — leaving ample retained earnings to fund capacity and product development across its building-materials and ceramics businesses.
FY2027 guidance withheld pending visibility
One notable omission: Konoshima Chemical did not publish guidance for the fiscal year ending April 2027, stating that a reasonable forecast cannot currently be calculated and that projections will be announced as soon as they become possible. The dividend forecast for FY4/2027 is likewise undecided. With construction-materials demand, raw-material costs and export conditions all in flux, investors will be watching for the deferred guidance — and whether the margin gains of FY2026 prove durable — as the key catalysts for the new fiscal year.
| Metric | FY4/2026 | FY4/2025 | YoY |
|---|---|---|---|
| Revenue (¥ million) | 28,008 | 27,405 | +2.2% |
| Operating profit (¥ million) | 2,679 | 1,786 | +50.0% |
| Ordinary profit (¥ million) | 2,563 | 1,718 | +49.2% |
| Net profit (¥ million) | 1,850 | 1,433 | +29.1% |
| EPS (¥) | 203.79 | 158.16 | +28.8% |
| ROE | 13.4% | — | — |
| Operating margin | 9.6% | — | — |
| Total assets (¥ million) | 30,793 | — | — |
| Net assets (¥ million) | 14,710 | — | — |
| Equity ratio | 47.6% | — | — |
| Annual dividend (¥) | 49.00 | — | — |
| FY4/2027 guidance | Not disclosed | — | — |
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.