F3/27 1Q Results 1st Impression: Strong Beat, Positive Surprise

Research evidence excerpt

F3/27 1Q Results 1st Impression: Strong Beat, Positive Surprise

Update

July 29, 2026 03:27 AM GMT

Morgan Stanley MUFG Securities Co., Ltd.+MZEON (4205) | Japan Takato Watabe

Equity Analyst

F3/27 1Q Results 1st Impression: Takato.Watabe@morganstanleymufg.comRyoichi Watanabe +81 3 6836-5436

Ryoichi.Watanabe@morganstanleymufg.com +81 3 6836-8929

Strong Beat, Positive Surprise Kayoko Shoji

Research Associate

Kayoko.Shoji@morganstanleymufg.com +81 3 6836-5437

Strong beat vs. our estimates, driven mainly by specialty materials: Zeon

Kano Fujita

released results at 11:30am. F3/27 1Q OP was up 34% YoY to ¥16.3bn, well above Research Associate

consensus (FactSet: ¥10.6bn) and also significantly above our relatively bullish Kano.Fujita@morganstanleymufg.com +81 3 6836-8932

forecast (¥13bn). YoY, earnings expanded steadily in both specialty materials and

elastomers. Versus our estimates, elastomers were broadly in line with expectations,

but the overshoot in specialty materials was substantial (with specialty plastics and

specialty binder materials exceeding expectations). The company left its F3/27

guidance unchanged. We intend to follow up with details after the earnings briefing ZEON (4205.T, 4205 JT)

scheduled for 3pm today. We view the results as positive for the share price. Electronic Chemicals | Japan

Stock Rating Overweight

Related reports Industry View In-Line

Price target ¥3,000

Electronic Chemicals: Apr–Jun Results Preview: Guidance Revisions Likely (21 Jul Shr price, close (Jul 28, 2026) ¥2,183

Mkt cap, curr, basic (bn) ¥417.6

2026) Avg daily trading value (bn) ¥1.5

ZEON: Confirms Strong Ties with Major South Korean Battery Materials Customer

(10 Jul 2026)

ZEON: OP in F3/28 to Reach Post-F3/22 High (23 Jun 2026)