Keiwa ＜4251＞ announced consolidated financial results for the 1st quarter (January to March 24) of the fiscal year ending 2024/12 on the 14th. Sales increased 44.1% from the same period last year to 4.609 billion yen, operating profit increased 503.5% to 1,003 billion yen, ordinary profit increased 682.0% to 1,271 billion yen, and quarterly net income attributable to the parent company was 832 million yen (profit of 54 million yen for the same period last year).

Sales in the optical sheet business increased 59.0% from the same period last year to 3.553 billion yen, and segment profit increased 112.0% to 1,713 billion yen. For notebook PCs and tablets, mass production and shipment of high-performance composite diffusers “Opaski (R)” for direct-down mini LED liquid crystal displays continue to be promoted, and as a result of focusing on acquiring further new adoption, new orders were acquired. Also, as a result of striving to promote sales of the light diffusion film “Opals (R)” for conventional liquid crystal displays for automotive applications in addition to notebook PCs and tablets, etc., in addition to increased demand due to market recovery, it led to an increase in market share with existing business partners and mass production shipments in multiple projects. Sales of the light diffusion film “Opals (R)” declined for smartphones, but in addition to “Opals (R),” which is almost used in goggle-type devices, our optical film has been adopted for new models, and sales of new products with special functions have increased.

Sales in the lifestyle and environment innovation business increased 0.02% to 947 million yen, and segment profit increased 43.2% to 94 million yen. For clean energy vehicles, the number of vehicle models adopting the company's special film products increased, and demand for medical and health films increased, so sales in fields with high profitability and growth potential increased. As a result, the ratio of high-profit products to the product structure increased, and profit margins improved. Also, manufacturing equipment will be added to respond to further orders for medical and health films.

Sales of the Earth's adhesive plaster business increased 546.3% from the same period to 108 million yen, and segment losses were 55 million yen (loss of 42 million yen in the same period last year). Continuing from the previous fiscal year, the roof protection sheet “KYōzin Re-Roof (R)” strengthened promotion activities centered on exhibiting at exhibitions and holding seminars targeting companies in factory buildings, warehouses, stores, etc., and made efforts to raise long-term awareness and obtain orders. At the same time, production facilities to secure production capacity were completed, and a system was put in place to conduct development research to further improve product value. Also, in response to an increase in demand from companies, the global adhesive plaster business policy for the current fiscal year was changed, sales destinations are concentrated for companies, and orders for general housing will not be accepted for the time being. As a result of these measures, recruitment results for companies increased, and sales for the first quarter were 108 million yen, an increase of 80.6% compared to the fourth quarter of the previous fiscal year.

Regarding the full-year consolidated earnings forecast for the fiscal year ending 2024/12, the initial plan for sales is 19.667 billion yen, up 11.9% from the previous fiscal year, operating profit up 13.6% to 2,788 billion yen, ordinary profit up 1.0% to 2,784 billion yen, and net income attributable to the parent company rising 7.3% to 2.128 billion yen remains unchanged.