Upward revision to 26/12 guidance: Quick Note

Research evidence excerpt

Upward revision to 26/12 guidance: Quick Note

Global Markets Research

30 July 2026Tokyo Ohka Kogyo

4186.T 4186 JP / EQUITY: JAPAN CHEMICALS & TEXTILES

RatingUpward revision to 26/12 guidance Neutral

Target price JPY 10,500Quick Note

Closing price

29 July 2026 JPY 8,356First impression in line: Operating profit guidance raised to level in line with

consensus forecast (Note: Quick Note reports are not a

Tokyo Ohka Kogyo announced an upward revision to 26/12 guidance at 14:00 JST on 30 vehicle for changes to ratings, target

July, raising its sales forecast from ¥261.0bn to ¥291.0bn (up 23% y-y) and its operating prices, or earnings forecasts)

profit forecast from ¥52.2bn to ¥60.6bn (up 28%). Our first impression is neutral, as the

new operating profit forecast is broadly in line with the 30 July QUICK consensus forecast

of ¥60.0bn.

The company raised its H1 guidance from ¥125.0bn to ¥139.6bn (up 25% y-y) for sales Research Analysts

and from ¥24.3bn to ¥28.8bn (up 45%) for operating profits. Japan chemicals & textiles

Based on the revised H1 guidance and Q1 results, we estimate Q2 sales of ¥72.5bn and Daiki Ban - NSC

operating profits of ¥13.7bn. As Tokyo Ohka Kogyo reported Q1 sales of ¥67.1bn and daiki.ban@nomura.com

operating profits of ¥15.1bn, this would mean that sales increased q-q but operating profits +81 3 6703 1124

fell. While on the one hand strong demand for advanced logic, memory, and advanced Shigeki Okazaki - NSC

packaging applications looks to have buoyed sales of photoresists and high-purity shigeki.okazaki@nomura.com

chemicals, we think operating profits may have been hit by rising costs for petrochemical +81 3 6703 1170

inputs.

That said, we envision only limited deterioration in margins for high-purity chemicals, as