Interim report
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Note : This document has been translated from the Japanese original for reference purposes only . In the event of any discrepancy between this translated document and the Japanese original , the original shall prevail . Accounting Standards FASF MEMBERSHIP August 7 , 2026 Summary of Consolidated Financial Results for the Three Months Ended June 30 , 2026 ( Under Japanese GAAP ) Company name : Mitsubishi Gas Chemical Company , Inc. Tokyo Stock Exchange https://www.mgc.co.jp/eng/ Listing : Securities code : 4182 URL : Representative : Inquiries : TEL : Yoshinori Isahaya , Representative Director , President Satoshi Takizawa , Division Director , CSR & IR Division + 81-3-3283-5041 Scheduled date to commence dividend payments : Presentation of supplementary material on financial results : Yes ( Yen amounts are rounded down to millions , unless otherwise noted . ) 1. Consolidated financial results for the three months ended June 30 , 2026 ( from April 1 , 2026 to June 30 , 2026 ) ( 1 ) Summary of consolidated income statement ( cumulative ) ( Percentages indicate year - on - year changes . ) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Three months ended Millions of yen June 30 , 2026 June 30 , 2025 223,704 177,977 25.7 ( 5.4 ) % Millions of yen 27,845 % Millions of yen % Millions of yen % 153.5 29,187 111.0 18,329 118.1 10,982 ( 30.2 ) 13,830 ( 23.0 ) 8,405 ( 28.4 ) Note : Comprehensive income Three months ended June 30 , 2026 Three months ended June 30 , 2025 ¥ 29,247 million ¥ 6,802 million [ 330.0 % ] [ ( 75.1 ) % ] Basic earnings per share Diluted earnings per share Three months ended June 30 , 2026 June 30 , 2025 Yen 94.02 43.17 Yen ( 2 ) Consolidated financial position As of June 30 , 2026 March 31 , 2026 Reference : Equity Total assets Net assets Equity ratio Millions of yen 1,159,224 1,113,040 Millions of yen % 698,839 57.4 679,550 58.1 ¥ 665,750 million ¥ 646,417 million As of June 30 , 2026 As of March 31 , 2026 - 1 -
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- 2 - 2. Dividends Annual dividend First quarter-end Second quarter-end Third quarter-end Fiscal year-end Total Yen Yen Yen Yen Yen Fiscal year ended March 31, 2026 – 50.00 – 50.00 100.00 Fiscal year ending March 31, 2027 – Fiscal year ending March 31, 2027 (Forecast) 55.00 – 55.00 110.00 Note: Revisions to the forecast most recently announced: No 3. Consolidated business forecasts for the fiscal year ending March 31, 2027 (from April 1, 2026 to March 31, 2027) (Percentages indicate year-on-year changes.) Net sales Operating profit Ordinary profit Profit attributable to owners of parent Basic earnings per share Millions of yen % Millions of yen % Millions of yen % Millions of yen % Yen Six months ending September 30, 2026 (cumulative) 440,000 21.7 41,000 63.1 46,000 46.1 31,000 – 158.98 Fiscal year ending March 31, 2027 860,000 16.5 71,000 56.8 79,000 52.1 55,000 – 282.04 Note: Revisions to the forecast most recently announced: Yes
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- 3 - * Notes (1) Significant changes in the scope of consolidation during the period: Yes Newly included: 1 company (Company name: MGC Trading Taiwan, Inc.) (2) Application of special accounting for preparing quarterly consolidated financial statements: None (3) Changes in accounting policies, changes in accounting estimates, and restatement (i) Changes in accounting policies due to revisions to accounting standards and other regulations: None (ii) Changes in accounting policies due to other reasons: None (iii) Changes in accounting estimates: None (iv) Restatement: None (4) Number of issued shares (common stock) (i) Number of issued shares at term end (including treasury stock) As of June 30, 2026 211,686,599 As of March 31, 2026 211,686,599 (ii) Number of shares of treasury stock at term-end As of June 30, 2026 16,694,901 As of March 31, 2026 16,945,105 (iii) Average number of outstanding shares (cumulative from the beginning of the fiscal year) Three months ended June 30, 2026 194,950,432 Three months ended June 30, 2025 194,708,928 * Review of the Japanese-language originals of the attached quarterly consolidated financial statements by certified public accountants or an audit corporation: Yes (voluntary) * Proper use of earnings forecasts, and other special matters (Caution concerning forward-looking statements) The forward-looking statements, including earnings forecasts, contained in these materials are based on information currently available to the Company and on certain assumptions deemed to be reasonable. Consequently, any statements herein do not constitute assurances regarding actual results by the Company. A number of factors could cause actual results to differ materially from expectations. (How to access supplementary material on financial results) The supplementary material on financial results is disclosed on the same day as this quarterly financial results report, and it is made available on the Company’s website.
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- 4 - Consolidated Financial Statements 1. Consolidated Balance Sheets (Millions of yen) As of March 31, 2026 As of June 30, 2026 Assets Current assets Cash and deposits 68,966 66,537 Notes and accounts receivable - trade, and contract assets 149,578 166,508 Merchandise and finished goods 110,137 123,521 Work in process 22,695 20,913 Raw materials and supplies 74,151 78,256 Other 26,023 28,756 Allowance for doubtful accounts △1,062 △849 Total current assets 450,491 483,643 Non-current assets Property, plant and equipment Buildings and structures, net 105,569 105,353 Machinery, equipment and vehicles, net 109,957 108,994 Other, net 118,816 125,196 Total property, plant and equipment 334,344 339,544 Intangible assets Goodwill 13,751 13,361 Other 9,794 9,748 Total intangible assets 23,545 23,109 Investments and other assets Investment securities 254,005 263,410 Other 52,638 51,497 Allowance for doubtful accounts △1,984 △1,982 Total investments and other assets 304,659 312,925 Total non-current assets 662,549 675,580 Total assets 1,113,040 1,159,224
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- 5 - (Millions of yen) As of March 31, 2026 As of June 30, 2026 Liabilities Current liabilities Notes and accounts payable - trade 91,975 103,484 Short-term borrowings 64,240 61,090 Income taxes payable 10,056 8,310 Provisions 8,798 6,545 Asset retirement obligations 16 16 Other 54,737 73,529 Total current liabilities 229,824 252,978 Non-current liabilities Bonds payable 55,000 55,000 Long-term borrowings 102,439 102,640 Provisions 2,474 2,401 Retirement benefit liability 5,307 5,348 Asset retirement obligations 7,660 7,676 Other 30,782 34,339 Total non-current liabilities 203,665 207,406 Total liabilities 433,490 460,384 Net assets Shareholders' equity Share capital 41,970 41,970 Capital surplus 35,764 36,031 Retained earnings 494,433 504,600 Treasury shares △30,899 △30,444 Total shareholders' equity 541,268 552,158 Accumulated other comprehensive income Valuation difference on available -for-sale securities 28,667 35,329 Deferred gains or losses on hedges 255 281 Foreign currency translation adjustment 55,691 58,653 Remeasurements of defined benefit plans 20,534 19,327 Total accumulated other comprehensive income 105,149 113,592 Non-controlling interests 33,132 33,088 Total net assets 679,550 698,839 Total liabilities and net assets 1,113,040 1,159,224
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- 6 - 2. Consolidated Statements of Income (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Net sales 177,977 223,704 Cost of sales 138,714 167,322 Gross profit 39,263 56,381 Selling, general and administrative expenses 28,280 28,535 Operating profit 10,982 27,845 Non-operating income Interest income 332 276 Dividend income 1,537 1,037 Foreign exchange gains － 552 Share of profit of entities accounted for using equity method 2,315 507 Other 847 778 Total non-operating income 5,033 3,152 Non-operating expenses Interest expenses 657 744 Personnel expenses for seconded employees 424 322 Loss on disposal of non-current assets 182 365 Foreign exchange losses 446 － Other 475 378 Total non-operating expenses 2,185 1,810 Ordinary profit 13,830 29,187 Extraordinary income Gain on sale of investment securities － 584 Reversal of allowance for doubtful accounts － 282 Reversal of provision for business restructuring 108 － Total extraordinary income 108 866 Extraordinary losses Loss on discontinuance of construction － 794 Impairment losses － 266 Business restructuring expenses － 183 loss compensation 234 － Total extraordinary losses 234 1,244 Profit before income taxes 13,704 28,809 Income taxes 3,648 8,069 Profit 10,056 20,739 Profit attributable to non-controlling interests 1,650 2,409 Profit attributable to owners of parent 8,405 18,329
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- 7 - (Consolidated Statements of Comprehensive Income) (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Profit 10,056 20,739 Other comprehensive income Valuation difference on available -for-sale securities 2,036 6,631 Deferred gains or losses on hedges 7 △0 Foreign currency translation adjustment △1,000 1,687 Remeasurements of defined benefit plans, net of tax △556 △1,146 Share of other comprehensive income of entities accounted for using equity method △3,741 1,334 Total other comprehensive income △3,254 8,507 Comprehensive income 6,802 29,247 Comprehensive income attributable to Comprehensive income attributable to owners of parent 4,709 26,773 Comprehensive income attributable to non - controlling interests 2,092 2,474
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- 8 - Qualitative Information Consolidated Business Results for This Period Overview of Results Unit: Billions of yen FY2026/1Q FY2025/1Q Change Change (%) Net sales 223.7 177.9 45.7 25.7 Operating profit 27.8 10.9 16.8 153.5 Equity in earnings of affiliates 0.5 2.3 (1.8) (78.1) Ordinary profit 29.1 13.8 15.3 111.0 Profit attributable to owners of parent 18.3 8.4 9.9 118.1 During the first three months of the fiscal year ending March 31, 2027 (April 1, 2026 – June 30, 2026), the global economy was energized by the ongoing robustness of demand associated with cutting-edge semiconductor fields, such as AI and data centers. On the other hand, the escalation of tensions in the Middle East led to price surges for raw materials and fuel, resulting in a growing sense of anxiety over the supply of these goods that affected a broad range of industries, including the energy and petrochemical sectors. Moreover, financial and capital markets remained highly volatile, influenced by developments in negotiations regarding a fragile ceasefire deal in the Middle East, along with surges and subsequent corrections in stock prices for AI-related firms, which had driven the stock market expansion. These and other factors, in turn, caused the general outlook for the global economy to remain uncertain. Against this backdrop, the MGC Group has embarked on the final year of its current medium-term management plan. With the goal of “Strengthening the resiliency of our business portfolio,” the Group has been striving to realize business management directly aimed at improving capital efficiency while pushing ahead with various measures, including “Focusing on Uniqueness & Presence,” “Building new value through innovation,” and “Restructuring businesses requiring intensive management.” As a result, the Group’s net sales increased, thanks mainly to higher methanol market prices influenced by the escalation of the situation in the Middle East, along with robust sales of electronics materials and the depreciation of the yen. Operating profit increased due primarily to the factors discussed above in addition to the higher market prices of basic chemicals and engineering plastics resulting from the Middle Eastern situation, and gains on inventories. Ordinary profit increased due mainly to higher operating profit, despite a decline in equity in earnings of affiliates primarily in connection with the slowdown of operations at a Saudi Arabia-based methanol producing company affected by the worsening situation in the Middle East. The MGC Group posted an increase in profit attributable to owners of parent reflecting higher ordinary profit. Taking the above factors into account, the MGC Group’s consolidated operating results were as presented above.
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- 9 - Results by Business Segment Operating results by segment are as described below. Net sales Unit: Billions of yen FY2026/1Q FY2025/1Q Change Change (%) Green Energy & Chemicals 99.8 68.2 31.5 46.2 Specialty Chemicals 122.8 108.9 13.9 12.8 Other 4.5 3.6 0.8 24.5 Adjustments (3.4) (2.8) (0.6) - Total 223.7 177.9 45.7 25.7 Operating profit Unit: Billions of yen FY2026/1Q FY2025/1Q Change Change (%) Green Energy & Chemicals 11.9 1.9 9.9 503.5 Specialty Chemicals 17.1 9.6 7.5 77.6 Other 0.3 0.3 0.0 30.5 Adjustments (1.6) (0.9) (0.6) - Total 27.8 10.9 16.8 153.5 Ordinary profit Unit: Billions of yen FY2026/1Q FY2025/1Q Change Change (%) Green Energy & Chemicals 11.6 3.9 7.7 198.4 Specialty Chemicals 17.9 9.9 7.9 80.0 Other 0.3 (0.2) 0.6 - Adjustments (0.7) 0.2 (0.9) - Total 29.1 13.8 15.3 111.0
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- 10 - Green Energy & Chemicals Methanol business saw increases in both net sales and earnings due mainly to higher market prices on the back of the escalating situation in the Middle East, along with gains on inventories. Methanol and ammonia-based chemicals posted increases in both net sales and earnings despite hikes in raw material prices, thanks primarily to progress in efforts to transfer the effect of these hikes to sales prices and the higher sales volume of MMA-related products. Energy resources and environmental business posted an increase in earnings due to improved profitability as the result of higher crude oil prices. Meta-xylenediamine and its derivatives posted earnings on par with the same period of the previous fiscal year because higher sales volumes, supported by recovery in demand, were offset by increases in fixed costs and other cost factors. Xylene separators and derivatives posted an increase in earnings due to higher market prices for purified isophthalic acid and the resulting improvement in profitability. Specialty Chemicals Inorganic chemicals posted increases in both net sales and earnings thanks to the higher sales volume of chemicals for use in semiconductor manufacturing due to recovery in demand, in addition to such factors as lower depreciation costs resulting from the posting of impairment losses at the end of the previous fiscal year. Engineering plastics saw increases in net sales and earnings, despite higher raw material prices, due mainly to the success of efforts to transfer the resulting growth in costs to sales prices, along with timely product supply in response to customer requests, and gains on inventories. Optical materials posted an increase in net sales but a decrease in earnings. This was mainly attributable to the disrupted production of lens monomers for eyeglass applications, despite robust sales of products for use in smartphones, a primary application of optical polymers. Electronics materials posted increases in net sales and earnings, thanks to the ongoing robustness of demand in a broad range of fields related to BT materials for IC plastic packaging, the higher sales volume of OPETM substrate material for AI servers, and other factors. LivingTech and hygiene-related products posted increases in net sales and earnings due mainly to the higher sales volume of oxygen absorbers for export. (End)