Slides
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FY2025 2Q Results November 11, 2025
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Ⅰ. FY2025 Financial Overview and Outlook Ⅰ-(1) Performance Highlights and Key Items ( 3) ～ (11) Ⅰ-(2) FY2025 2Q Results (12) ～ (16) Ⅰ-(3) FY2025 Earnings Forecast (17) ～ (26) Ⅱ. Progress on the Mid- to Long-Term Management Plan, The Rolling Plan 2025 ・Progress on Reducing Environmental Impact (28) ・Synergism Between Company and Employees (29) ・Strengthening Corporate Governance (30) Contents （1）
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Ⅰ. FY2025 Financial Overview and Outlook （2）
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Ⅰ. FY2025 Financial Overview and Outlook Ⅰ-(1) Performance Highlights and Key Items Ⅰ-(2) FY2025 2Q Results Ⅰ-(3) FY2025 Earnings Forecast （3）
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Performance Highlights （1） FY2025 2Q Results （4） Revenue and Profit （billion yen） FY25 FY24 FY25 2Q Initial forecast Advanced Materials 31.1 28.5 2.6 32.0 -0.9 Specialty Chemicals 13.7 16.2 -2.5 14.0 -0.3 Specialty Plastics 18.2 22.8 -4.6 19.0 -0.8 Construction 5.9 5.3 0.6 6.5 -0.6 Other Operations 8.4 8.8 -0.3 8.5 -0.1 Revenue 77.4 81.6 -4.3 80.0 -2.6 Advanced Materials 2.4 1.2 1.2 0.8 1.6 Specialty Chemicals 0.4 0.7 -0.3 -0.2 0.6 Specialty Plastics 3.6 4.0 -0.4 3.3 0.3 Construction 0.4 0.4 -0.0 0.3 0.1 Other Operations 1.0 1.2 -0.2 0.8 0.2 Core Operating Profit 7.7 7.5 0.2 5.0 2.7 Adjustments 0.4 -0.5 0.9 1.0 -0.6 Operating Profit 8.1 7.0 1.1 6.0 2.1 Profit* 6.3 5.7 0.7 4.5 1.8 EBITDA 14.2 13.3 0.9 12.0 2.2 2Q 2Q Diff. Diff. FY2025 2Q YoY changes: Main Factors ・Higher revenue from PGA and PPS in Advanced Materials, but overall revenue declined due to the concentration of Agrochemical sales in Specialty Chemicals in the 2H of the current fiscal year, and the withdrawal from the ML film business in Specialty Plastics in 1H of the previous fiscal year. ・Operating profit increased due to increased profit from Advanced Materials, mainly due to improved profitability of PPS products as well as gain on sale of non-operating assets recorded under adjustments. Exchange rate FY2025 2Q changes from initial forecast : Main Factors ・Revenue fell short of the initial forecast due to sluggish sales of PVDF in Advanced Materials. Operating profit exceeded the forecast due to an increase in equity method earnings from PPS and the postponement of SG&A (selling, general and administrative) expenses to the 2H of the fiscal year. FY25.2Q FY24.2Q Actual Actual (\/USD) 146.0 152.8 (\/EUR) 168.1 166.1 (\/CNY) 20.3 21.2 ＊Profit attribute to owners of the company
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（5） Performance Highlights （2） YoY Changes ＜Analysis of Changes in Operating Profit：FY2025 2Q Results＞ PVDF: While revenue decreased, profit increased due to a reversal of inventory write-down in the previous fiscal year. PGA: While revenue increased, profit declined due to the impact of deteriorating profitability in resin production (production trouble) and other factors. PPS: Profits increased due to improved sales prices, lower raw material costs, and higher equity method earnings. Overall: Operating profit increased driven by higher profits in Advanced Materials. (billion yen) *including equity method earnings
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FY2025 Annual Forecast : Main Factors ・While there are differences across segments, the overall earnings forecast remains unchanged at this time. ・Although sales of PVDF for EVs are expected to fall below the initial forecast, revenue is projected to align with the initial forecast due to higher-than-expected sales in the Construction and Other Operations segments. ・Operating profit is expected to remain at around the initial forecast, reflecting a decline in equity method earnings, which were strong in the first half, and the incurrence of R&D expenses in the second half, including those for new agrochemicals carried over from the first half. Performance Highlights （3） FY2025 Annual Forecast （6） Exchange rate and sensitivity FY2025 Annual YoY Change: Key Differences ・Overall revenue increase slightly due to increase in sales of PGA & PPS business in Advanced Materials and Home Products in Specialty Plastics, despite a revenue decrease caused by the withdrawal from ML film business in Specialty Plastics last year. ・Core operating profit increased due to the absence of PVDF’s inventory valuation loss recorded in the previous fiscal year, improved profitability in PGA, lower raw material and fuel costs, increased equity method earnings, and higher sales of Agrochemicals. ・Operating profit increased due to high profitability of PPS, PVDF and PGA businesses and increased profit from gain on sale of non- operating assets recorded under adjustments. Exchange Rate FY24 FY25 1H FY25 2H FY25 FX sensitivity actual initial forecast actual forecast *Impact of one-yen depreciation on operating profit per 2H (\/USD) 152.6 145.0 146.0 145.0 An incrase of \0.05bn (\/EUR) 163.9 160.0 168.1 165.0 An incrase of \0.04bn (\/CNY) 21.1 20.0 20.3 20.0 An increase of \0.05bn Revenue and Profit （million yen） FY25 FY24 FY25 Forecast Actual Diff. Initial forecas Diff. Advanced Materials 61.5 57.4 4.1 64.0 -2.5 Specialty Chemicals 30.5 30.7 -0.2 30.0 0.5 Specialty Plastics 38.0 40.5 -2.5 38.0 - Construction 16.0 14.8 1.2 15.0 1.0 Other Operations 19.0 18.6 0.4 18.0 1.0 Revenue 165.0 162.0 3.0 165.0 - Adcvanced Materials 2.3 -2.0 4.3 2.6 -0.3 Specialty Chemicals 1.1 0.6 0.5 1.1 - Specialty Plastics 7.2 7.1 0.1 7.2 - Construction 0.9 1.4 -0.5 0.9 - Other Operations 2.0 2.9 -0.9 1.7 0.3 Core Operating Profit 13.5 10.0 3.5 13.5 - Adjustments 0.5 -0.6 1.1 0.5 - Operating Profit 14.0 9.4 4.6 14.0 - Profit* 10.0 7.8 2.2 10.0 - *Profit attributable to owners of the Company EBITDA 26.0 22.1 26.3 ROE 5.2% 3.6% 4.9% PBR － 0.66 － Equity Ratio 49% 61% 57%
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（7） ＜ Analysis of Changes in Operating Profit：FY2025 Full-year Forecast ＞ Performance Highlights （4） We expect profits from businesses to increase, mainly for Advanced Plastics such as PPS, PVDF, and PGA. We expect operating profit to increase by 4.6 billion yen due to gain on sale of non-operating assets recorded in adjustments, in addition to profit increase from businesses above. YoY Change (billion yen) *including equity method earnings
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In 2021-2022, sales prices were elevated due to special demand and soaring raw material costs. Key Items: PVDF Business ＜PVDF Revenue Trend＞ vs. 2Q YoY/FY2024 Annual Result • For 1H, revenue declined due to a decrease in sales for EV, although sales for ESS were newly launched in 1Q. Profit increased due to the reversal of inventory valuation losses recorded in FY2024. • While sales for ESS applications are expected to contribute, demand for EV applications is projected to remain almost unchanged in the second half, leading to a decline in full-year revenue. On the other hand, operating profit is expected to rise due to the absence of inventory valuation losses recorded in FY2024. vs. Initial Forecast • Sales for ESS are expected to meet initial forecasts, but sales for EV are expected to fall short of initial forecasts, resulting in lower revenue for both 1H and full-year forecasts. • Shortfall in full-year profit is anticipated due to lower revenue. （8） 0 10 20 30 FY2021 1H FY2021 2H FY2022 1H FY2022 2H FY2023 1H FY2023 2H FY2024 1H FY2024 2H FY2025 1H FY2025 2H ＜Profit and Loss Summary＞＜LiB Market Overview＞ • Demand for LiB for automotive applications is expected to expand sustainably in the medium to long term, with no change in the outlook. However, the European and U.S. markets continue to stagnate, and sales for the second half are projected to remain at around the same level as in the first half. • Demand for LiB for ESS applications will continue to expand due to increased demand especially for data centers. LiB manufacturers are shifting production to ESS due to the sluggish EV market. • The capacity expansion at the Iwaki Factory is scheduled to be completed in the spring of 2026. Commercial operation is planned to start from 4Q of FY2026 to 1Q of FY2027. • Regarding the measures for FY2025 announced in May, although there have been some delays in the development of new ternary EV projects and the development of new grades for LFP, preparations for the development of new grades for NMC and the new adoptions for industrial applications are progressing as expected. We will promote various measures, with an aim to develop a business structure that is not dependent on specific regions, customers, or battery types. ＜Progress of Initiatives＞ (billion yen)
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（9） PFAS Regulation in Europe In Europe, five countries—Denmark, Germany, the Netherlands, Sweden, and Norway—have submitted proposals to restrict PFAS (organic fluorine compounds including PVDF) in 2023. In response, more than 5,600 public comments were submitted by countries, companies, organizations, and individuals. An expert committee is currently deliberating on the draft for each application to be submitted to the European Commission (EC) for adoption. The deliberations are expected to be completed within 2025. Based on the public comments submitted, the five proposing countries have suggested major relaxations to the regulatory proposal. For fluoropolymers, the energy sector's battery binders are exempt for 13.5 years, with potential indefinite use under controlled conditions. After ECHA's review and the revised proposal, a second public comments are set for March 2026. While the regulation was initially expected to take effect in 2025, with some items without a grace period by 2027, it is now expected to be enacted no earlier than 2028. The proposed restrictions will, in principle, collectively regulate more than 10,000 PFAS compounds, which are each different in terms of toxicity and potential safety risks, and Kureha believes this is an excessive measure and lacks scientific basis. We maintain our stance that fluoropolymers, including PVDF, should be exempted from the proposed restrictions and are lobbying with chemical and other industrial organizations in Japan and the EU. The Conference of Fluoro-Chemical Product Japan (FCJ) has proposed that some of the organic fluorine compounds regulated by the POPs Convention (Stockholm Convention on Persistent Organic Pollutants) of the United Nations be referred to as specified PFAS. As of September 2025, the salts and related substances of the following four groups are designated as specified PFAS. (i) PFOS (Perfluoro-octanesulfonic acid) (ii) PFOA (Perfluoro-octanoic acid) (iii) PFHxS (Perfluoro-hexanesulfonic acid) (iv) C9-C21 LC-PFCA (Long-chain perfluoro-carboxylic acids) Diagram of PFAS Over 10,000 Types 4 Specified PFAS Substances regulated under the POPs Convention Other PFAS not regulated under the POPs Convention ・F-gases ・Fluoropolymers (PTFE, PVDF, etc.) ・Fluoroelastomers, etc. Key Items: PVDF Business Substance gropes
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Key Items: PGA Business ＜PGA Revenue Trend＞ vs. 2Q YoY/FY2024 Annual Result • Sales increased due to a recovery in drilling activities in gas fields (high temperature) and an increase in market share resulting from sales activities in primarily oil fields (mid-to-high temperature). For 1H, revenue increased, achieving record sales volume on a half-year basis. Due to inventory shortages caused by production trouble at the resin plant in the United States, we have been limiting new orders. We plant to maintain 2H sales at approximately the same level as in 1H. For the full year, revenue is expected to increase year on year. • While costs are expected to increase due to resumption resin production in 2H, profit is forecast to grow, driven by higher revenue and the absence of product disposals carried out in FY2024. vs. Initial Forecast • We plan to resume resin production in 2H, which is expected to have a negative impact on profit of approximately 0.8 billion yen in FY2025. • Pricing and other measures have been implemented to avoid significant profit impacts from reciprocal U.S. tariffs. （10） 0 1 2 3 4 5 FY2021 1H FY2021 2H FY2022 1H FY2022 2H FY2023 1H FY2023 2H FY2024 1H FY2024 2H FY2025 1H FY2025 2H Sales volume increased due to market recovery in gas fields and an increase in market share in oil fields. (Record half-year high) While the sales expansion of low-temperature grades has been slower than initially planned, the issue is being addressed by revising the plug design. Development of ultra-low temperature grades is progressing in line with the plan, and we plan to enter the market in the future. Resin production problems has already been clarified, and we are working to ensure resin production in 2H. ＜Market Overview＞ • Drilling activity in gas fields (high temperature) has recovered due to the rise in natural gas prices. • Oil prices have recently been trending downward and the number of rigs in low-temperature oil fields is on the decline. ＜Profit and Loss Summary＞ ＜Progress of Initiatives＞ • Sales of the low-temperature grade were promoted in 1H, and we will aim to launch the redesigned version from 2H. • The field test of the ultra-low temperature grade will be started soon. (billion yen)
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Enhance Cost Competitiveness Enhance cost competitiveness and transform into our factory capable of competing globally. Major Measures The Production Transformation Project was launched in April 2025 to gain cost competitiveness in the global market. At the Iwaki Factory, our mother factory, we will not only focus on short-term cost reductions, but also work to strengthen cost competitiveness in the medium to long term by innovating production technologies. We aim to plan and implement specific measures within approximately two years. Expected Results 1. Strengthening strategic functions Enhance competitiveness through strategic planning in production and technology, technological development and process innovation, comprehensive planning and control of facilities management, and other measures. 2. Streamlining the production system Streamlining the production system by centralizing manufacturing operations, shifting part of the tasks performed by the production division to indirect divisions. 3. Cost reduction Reduce production costs and strengthen product competitiveness by eliminating or simplifying unnecessary operations. （11）
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Ⅰ. FY2025 Financial Overview and Outlook Ⅰ-(1) Performance Highlights and Key Items Ⅰ-(2) FY2025 2Q Results Ⅰ-(3) FY2025 Earnings Forecast （12）
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Segment Performance: Advanced Materials and Specialty Chemicals Specialty Chemicals （billion yen） FY2025 FY2024 Diff. Amount % Agrochemicals 2.9 4.4 -1.5 -34% Pharmaceuticals 1.2 1.2 0.0 3% Industrial Chemicals 4.7 5.0 -0.3 -5% Others 4.8 5.6 -0.8 -14% Revenue 13.7 16.2 -2.5 -15% Operating Profit 0.4 0.7 -0.3 -46% 2Q2Q （13） Advanced Maerials FY2025 FY2024 Diff. 2Q 2Q Amount % PVDF 7.4 8.2 -0.8 -10% PGA 4.3 3.0 1.3 44% Others 8.1 7.3 0.8 10% Advanced Plastics 19.8 18.5 1.3 7% Carbon Products 4.2 3.8 0.3 8% Others 7.2 6.2 1.0 16% Revenue 31.1 28.5 2.6 9% Operating Profit 2.4 1.2 1.2 103% ＜YoY Change＞ Higher Revenue and Profit Advanced Plastics Revenue increased due to increase in PGA and PPS, despite decrease in PVDF. Profit increased due to higher revenue and lower raw material and fuel prices. ＜YoY Change＞ Lower Revenue and Profit Agrochemicals and Pharmaceuticals Revenue and profit decreased due to decrease in sales of agrochemicals resulting from differences in sales timing from the previous fiscal year. Others Revenue decreased due to lower sales of caustic soda and agrochemical raw materials at a Group trading company, but profit was flat year on year .
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Segment Performance: Specialty Plastics, Construction and Other Operations Specialty Plastics FY2025 FY2024 Diff. Amount % Home Products 11.5 11.2 0.3 2% Fishing Lines 2.8 2.7 0.1 3% Packaging Materials 1.9 7.0 -5.1 -72% Others 2.1 1.9 0.2 10% Revenue 18.2 22.8 -4.6 -20% Operating Profit 3.6 4.0 -0.4 -10% 2Q2Q Construction （billion yen） FY2025 FY2024 Diff. Amount % Revenue 5.9 5.3 0.6 11% Operating Proft 0.4 0.4 -0.0 -4% 2Q2Q Other Operations FY2025 FY2024 Diff. Amount % Environmental Engineering 5.4 5.6 -0.2 -4% Logistics 0.7 0.8 -0.0 -6% Hospital Operations 2.2 2.2 -0.0 -2% Others 0.2 0.2 -0.0 -7% Revenue 8.4 8.8 -0.3 -4% Operating Profit 1.0 1.2 -0.2 -20% 2Q2Q （14） ＜YoY Change＞ Lower Revenue and Profit Packaging Materials Revenue and profit declined owing to the end of sales of heat-shrinkable multilayer film (ML film) in 1H of the previous fiscal year. Home Products and Fishing Lines Revenue and profit increased due to increased sales of NEW Krewrap, household wraps, and the Seaguar fishing lines.
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Financial Position ※1 … Debt+31.8 ※2 … Retirement of treasury shares -17.5, Retained earnings transfer+17.5 ※3 … Purchase of treasury shares -39.1, Retirement of treasury shares +17.5 ※4 … Net profit +6.3, Dividends -2.2, Capital surplus transfer -17.5 （15） Assets Liabilities and Equity （billion yen） Sep. 30, 2025 Mar. 31, 2025 Change Sep. 30, 2025 Mar. 31, 2025 Change Cash and cash equivalents 25.2 21.5 3.7 Trade and other payables 14.9 19.5 -4.6 Trade and other recievables 28.2 31.3 -3.1 Interest-bearing debt 122.5 86.0 36.5 Inventories 43.6 46.7 -3.2 Provisions 8.0 8.4 -0.4 Other current assets 5.3 5.3 0.0 Othre liabilities 20.8 20.3 0.5 Total current assets 102.2 104.8 -2.6 Total liabilities 166.2 134.2 32.0 Property, plant and equipments 175.2 173.5 1.7 Shareholders' equity 18.2 18.2 Intangible assets 5.2 5.3 -0.1 Capital surplus 14.7 14.7 -0.0 Investments and other assets 63.4 61.8 1.6 Treasury stock -37.3 -15.8 -21.5 Retained earnings 164.8 174.4 -9.6 Other components of equity 17.8 17.9 -0.1 Non-controlling interests 1.7 1.8 -0.1 Total non-current assets 243.8 240.5 3.2 Total equity 179.8 211.1 -31.3 Total Assets 346.0 345.3 0.7 Total Liabilities and Equity 346.0 345.3 0.7 ※1 ※2 ※3 ※4
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Cash Flow （16） （billion yen） FY2025 2Q FY2024 2Q Diff. Profit before income tax 8.5 7.4 1.0 Depreciation and Amortization 6.1 6.4 -0.2 Others -1.3 10.3 -11.6 Cash Flow from Operating Activities 13.3 24.1 -10.8 Cash Flow from Investing Activities -5.0 -20.8 15.8 Free cash flow 8.3 3.3 5.0 Cash Flow from Financing Activities -4.7 4.4 -9.1 0.1 -0.5 0.6 3.7 7.2 -3.5 21.5 23.1 -1.6 25.2 30.3 -5.2 Effect of exchange rate changes on cash and cash eqivalents Increase/decrease in cash and cash eqivalents Cash and cash eqivalents at beginning of period Cash and cash eqivalents at end of period Main factors CF from operating activities -10.8 Decrease in working capital -9.3 CF from investing actities ＋15.8 Capital expenditure +9.5 Proceeds from sales of investment securities +3.3 CF from financing activities -9.1 Short-term borrowing and commercial paper +43.0 Corporate bond -19.9 Acquisition of treasure stock -31.8
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Ⅰ. FY2025 Financial Overview and Outlook Ⅰ-(1) Performance Highlights and Key Items Ⅰ-(2) FY2025 2Q Results Ⅰ-(3) FY2025 Earnings Forecast （17）
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＜YoY Change＞ Revenue Profit Advanced Plastics Revenue for PVDF is expected to decline due to a decrease in sales for EV, despite launch of sales for ESS. Revenue for PGA is expected to increase due to a recovery in drilling activities in gas fields (high temperature) and an increase in market share resulting from sales activities in primarily oil fields (mid-to-high temperature). Advanced Plastics is expected to return to operating profit from an operating loss last year due to an increase in equity method earnings of PPS and the absence of inventory valuation losses of PVDF recorded in the previous fiscal year. ＜vs. Initial Forecast＞ Revenue Profit PVDF sales for EV applications will fall short of forecast, which was initially expected to be the same level as FY2024. PGA faced production problem at a resin plant in the U.S., which will worsen its profits. Profit of Other Advanced Plastics is expected to exceed initial forecast due to unit sales exceeding expectations, although revenue is expected to fall short of forecast resulting from lower sales of PPS to Japanese automobiles. Segment Forecast: Advanced Materials （18） （billion yen） FY2025 FY2024 YoY Change FY2025 vs. Initial Forecast PVDF 15.5 16.2 -0.7 -4% 18.0 -2.5 -14% PGA 8.5 6.2 2.3 37% 8.0 0.5 6% Others 15.5 15.0 0.5 3% 17.0 -1.5 -9% Advanced Plastics 39.5 37.4 2.1 6% 43.0 -3.5 -8% Carbon Products 8.0 7.6 0.4 5% 8.0 - 0% Others 14.0 12.3 1.7 14% 13.0 1.0 8% Revenue 61.5 57.4 4.1 7% 64.0 -2.5 -4% Operating Profit 2.3 -2.0 4.3 - 2.6 -0.3 -12% %Forecast Actual Amount % Initial Forecast Amount
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Segment Forecast: Specialty Chemicals （19） ＜vs. Initial Forecast＞Revenue Profit ＜YoY Change＞ Revenue Profit Agrochemicals Revenue is expected to increase due to higher sales of agrochemicals. Others Revenue will decrease due to lower sales of caustic soda and agrochemical raw materials at a Group trading company. Although overall revenue in Specialty Chemicals segment will decline, operating profit is expected to increase due to a higher proportion of highly profitable products such as agrochemicals. （billion yen） FY2025 FY2024 YoY Change FY2025 vs. Initial Forecast Agrochemicals 7.0 6.5 0.5 8% 7.0 - 0% Pharmaceuticals 3.5 3.3 0.2 5% 3.5 - 0% Industrial Chemicals 10.0 10.1 -0.1 -1% 10.0 - 0% Others 10.0 10.7 -0.7 -7% 9.5 0.5 5% Revenue 30.5 30.7 -0.2 -1% 30.0 0.5 2% Operating Profit 1.1 0.6 0.5 86% 1.1 - 0% %Forecast Actual Amount % Initial Forecast Amount
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Segment Performance: Specialty Plastics （20） ＜ vs. Initial Forecast＞Revenue Profit ＜ YoY Change＞ Revenue Profit Packaging Materials Revenue is expected to decline due to the end of sales of heat-shrinkable multilayer film in the previous fiscal year. Home Products and Fishing Lines Revenue is expected to increase due to increased sales of NEW Krewrap, household wraps, and the Seaguar fishing lines. Although overall revenue in Specialty Plastics segment will be declined, operating profit is expected to increase due to a higher proportion of highly profitable products such as Home Products and Fishing Lines. （billion yen） FY2025 FY2024 YoY Change FY2025 vs. Initial Forecast Home Products 24.0 21.8 2.2 10% 24.0 - 0% Fishing Lines 6.0 5.5 0.5 8% 6.0 - 0% Packaging Materials 4.0 9.1 -5.1 -56% 5.0 -1.0 -20% Others 4.0 4.0 -0.0 -1% 3.0 1.0 33% Revenue 38.0 40.5 -2.5 -6% 38.0 - 0% Operating Profit 7.2 7.1 0.1 1% 7.2 - 0% % Initial Forecast Forecast Actual Amount % Amount
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Segment Performance: Construction and Other Operations （21） 【Other Operations】 ＜ YoY Change＞ Revenue Profit Environmental Engineering Revenue is expected to decrease due to a decrease in industrial waste treatment in the Environmental business. Although overall revenue in Other Operations segment will increase, operating profit is expected to decline due to a reduced contribution from the highly profitable Environmental Engineering. ＜ vs. Initial Forecast＞ Revenue Profit Revenue and profit both will surpass the initial forecast, reflecting increased treatment of low-concentration PCB waste and reduced fuel costs. 【Construction】 ＜ YoY Change＞ Revenue Profit Although revenue is expected to increase, profit will decline due to the composition of construction projects. ＜ vs. Initial Forecast＞ Revenue Profit （bullion yen） FY2025 FY2024 YoY Change FY2025 vs. Initial Forecast 【Construction】 Revenue 16.0 14.8 1.2 8% 15.0 1.0 7% Operating Profit 0.9 1.4 -0.5 -35% 0.9 - 0% 【Other Operations】 Environmental Engineering 11.5 12.2 -0.7 -5% 11.0 0.5 5% Logistics 2.0 1.6 0.4 28% 2.0 - 0% Hospital Operations 5.0 4.5 0.5 12% 5.0 - 0% Others 0.5 0.4 0.1 25% 0.5 - Revenue 19.0 18.6 0.4 2% 18.0 1.0 6% Operating Profit 2.0 2.9 -0.9 -31% 1.7 0.3 18% %Forecast Actual Amount % Initial Forecast Amount
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Cash Flow （22） ※ （billion yen） FY2025 FY2024 Forecast Actual Profit before taxes 14.0 10.2 3.8 Depreciation and Amortaization 12.0 12.7 -0.6 Others -3.1 6.6 -9.7 Cash flow from operating activities 22.9 29.5 -6.6 Cash flow from investing activities -27.7 -39.4 11.8 Free cash flow -4.8 -9.9 5.2 Cash flow from financial activities -0.6 8.4 -9.0 0.0 -0.2 0.2 Increase/decrease in cash and cash eqivalents -5.3 -1.6 -3.6 Cash and cash eqivalents at beginning of period 21.5 23.1 -1.6 Cash and cash eqivalents at end of period 16.2 21.5 -5.3 Effect of exchange rate changes on cash and cash eqivalents Diff. ※ ※ Capital expenditure +19.5
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Key Metrics （1） 4.8 4.0 5.8 6.7 6.1 6.7 9.8 10.9 24.4 8.85.5 5.8 7.4 8.2 8.2 7.6 6.7 24.4 22.2 15.610.3 9.8 13.2 14.9 14.3 14.3 16.5 35.3 46.6 24.4 0.0 10.0 20.0 30.0 40.0 50.0 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Capital Investment 1H 2H 5.1 4.9 5.0 6.0 5.8 5.7 5.7 5.7 6.4 6.1 5.1 5.0 5.4 6.1 5.9 5.9 5.9 6.0 6.3 5.9 10.2 9.9 10.3 12.1 11.7 11.6 11.6 11.7 12.7 12.0 0.0 5.0 10.0 15.0 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Depreciation Expenses 1H 2H 2.2 2.3 2.5 2.9 2.7 2.6 3.0 3.2 3.1 3.1 2.5 2.7 2.8 3.1 2.9 3.0 3.5 3.7 3.7 4.4 4.7 5.0 5.3 6.0 5.6 5.6 6.5 6.9 6.8 7.5 0.0 5.0 10.0 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 R&D Expenses 1H 2H （billion yen） （23） Estimate Estimate Estimate
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Key Metrics（2） 5.8% 7.1% 9.0% 8.4% 7.7% 7.4% 8.1% 4.5% 3.6% 5.2% 0% 2% 4% 6% 8% 10% 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 ROE 3.8% 5.3% 7.1% 7.3% 7.0% 7.6% 7.9% 4.4% 3.0% 4.0% 0% 2% 4% 6% 8% 10% 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 ROA Estimate （24） 3.5% 4.9% 6.3% 6.5% 6.1% 6.6% 7.0% 3.9% 2.6% 3.4% 0% 2% 4% 6% 8% 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 ROIC 0.68 0.97 0.79 0.53 0.81 0.96 0.77 0.68 0.66 0.82 0 0.5 1 1.5 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 PBR Calculated based on share price and net assets per share at the end of each period. Sep. 30 Estimate
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Key Metrics （3） 0.52 0.28 0.21 0.18 0.06 -0.01 -0.03 0.14 0.31 0.65 -0.5 0 0.5 1 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Net DE ratio 53% 62% 65% 67% 72% 70% 73% 67% 61% 49% 25% 50% 75% 100% 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Equity ratio （25） 136 169 227 231 230 242 288 173 150 250 - 100 200 300 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 EPS （yen） 71.0 48.1 39.0 37.3 29.5 28.5 26.3 54.9 86.0 131.1 0 50 100 150 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025 Interest-bearing debt（billion yen） Figures for FY2022 and earlier are presented to reflect the 3–for-1 stock split Implemented on January 1, 2024. Estimate Estimate EstimateEstimate
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Dividend Forecast 36.7 41.7 55.0 56.7 56.7 70.0 90.0 86.7 86.7 219.0 1.6% 1.7% 2.2% 2.1% 1.9% 2.1% 2.5% 2.3% 2.1% 5.0% 0%0.0 100.0 200.0 300.0 400.0 FY2016 FY2017 FY2018 FY2019 FY2020 FY2021 FY2022 FY2023 FY2024 FY2025 Annual dividend （yen/share） DOE （％） ＜Annual dividend per share and DOE＞ （26） Approx. Plan Kureha conducted a ten-to-one share consolidation on October 1, 2016 and then conducted a three-to-one share split on January 1,2024. All figures in this chart are presented on a post-split basis of January 2024. The dividend forecast per share has been calculated based on estimated shareholders’ equity as of the present date.
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Ⅱ. Progress on the Mid- to Long-Term Management Plan, The Rolling Plan 2025 （27）
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2013年度 2019年度 2020年度 2021年度 … 2030年度目標 … 2050年度目標 Energy-Origin CO₂ Emissions Compared to FY2013 Reduction of Over 30% Progress on Reducing Environmental Impact FY2050 Goal • At the Iwaki Factory's coal-fired power plant, technical studies on fuel conversion have provided a path toward meeting the 2030 goal. • We are exploring additional reduction measures to ensure achievement of the 2030 goal and potentially raise the target. • On track to meet our target of reducing final (landfill) disposal volumes by recycling waste generated in the production process and converting it into valuable materials. • We are also seeking ways to further reduce waste generation and promote recycling efforts. CO₂ emissions reduction Below 1.5％Over 30％ (FY2030 Goal, Compared to FY2013 Levels) Zero waste emission ratio Carbon Neutral (28) (FY2025 Goal) FY2013 FY2019 FY2020 FY2021 FY2030 Target
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Synergism Between Company and Employees To empower our diverse workforce to thrive and grow with enthusiasm, we launched an engagement survey in FY2023 to better understand our current situation. Using the survey insights, we have implemented the following initiatives. Promoting Mutual Understanding Between Management and Employees Engagement Improvement Measures Employees’ Psychological Connection to the Company (Engagement) etc. Feeling Proud of the Company, Liking Workplace Colleagues, Enjoying Daily Work Empathizing with the Company’s Vision and Policies Having Opportunities to Grow through Work Employees feel a psychological connection in diverse ways, with varied values. (29) Town Hall Meetings (Dialogue with Management) • In FY2025, Executive Officers, as executives closer to employees, held town hall meetings to strengthen dialogue. By increasing opportunities for dialogue with employees, the aim was to deepen understanding of the connection between Management Policy, departmental policies, and employees’ individual goals and career plans, thereby promoting more proactive engagement. Initiatives to Improve Engagement • We recognize that fostering company-wide awareness is crucial for improving engagement. To address this, we held workshops and briefings mainly for line managers, who are responsible for daily management, to explore and develop engagement enhancement measures (action plans). • Understanding the importance of a continuous cycle of result analysis and action to improve engagement, we have been conducting regular surveys since FY2023 and are promoting various measures across the entire company and at the organizational unit level.
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Strengthening Corporate Governance （30） Establishment of the Compliance Committee and Corporate Compliance Department To strengthen our corporate governance framework, we have restructured our current organization regarding compliance and enhance our specialized functions for legal and corporate ethics regarding compliance. As part of this initiative, the Compliance Committee and Compliance Department have been newly established under the direct supervision of the President & Chief Executive Officer or the Executive Officer in charge of corporate compliance . Initiatives Implemented to Strengthen Corporate Governance 2007 2015 2018 2022 2023 2025 Introduced the Executive Officer System Introduced the Stock Remuneration (Stock Options) Plan Introduced the outside Director System Established the Corporate Governance Guidelines Established the Nomination Advisory Committee and the Remuneration Advisory Committee Established the Sustainability Committee Introduced a New Stock Remuneration Plan for Directors and Executive Officers
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Disclaimer （31） • This presentation material is provided for a deeper understanding of our company, and is not intended to be used as a solicitation for investment or other activities. • This material has been prepared by our company based on the information available at the time of the presentation. Actual results may differ materially from those presented in this material due to various factors. • Please utilize this material at your own judgment and responsibility.