Interim report
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DISCLAIMER : This document has been translated from a part of 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 . Consolidated Financial Results for the Three Months Ended June 30 , 2026 ( Under Japanese GAAP ) Tokyo Stock Exchange Company name : Listing : SK KAKEN CO . , LTD . Securities code : 4628 URL : Representative : Inquiries : Telephone : https://www.sk-kaken.co.jp/ Mitsuhiro Fujii , Representative Director , President Takashi Iuchi , Director General Accounting Manager + 81-72-621-7720 Scheduled date to commence dividend payments : Preparation of supplementary material on financial results : Holding of financial results briefing : FASF August 7 , 2026 None None ( 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 ) Consolidated operating results ( cumulative ) ( Percentages indicate year - on - year changes . ) Profit attributable to owners of Net sales Operating profit Ordinary profit parent Three months ended Millions of yen % Millions of yen % Millions of yen % Millions of yen % June 30 , 2026 31,753 21.2 5,198 84.4 6,345 168.7 4,363 114.0 June 30 , 2025 26,208 ( 0.2 ) 2,820 ( 14.4 ) 2,361 ( 60.0 ) 2,038 ( 50.7 ) Note : Comprehensive income For the three months ended June 30 , 2026 : For the three months ended June 30 , 2025 : Basic earnings per share ¥ 4,857 million ¥ 902 million [ 438.0 % ] [ ( 81.9 ) % ] Diluted earnings per share Three months ended June 30 , 2026 June 30 , 2025 Yen Yen 323.43 151.11 ( 2 ) Consolidated financial position As of June 30 , 2026 March 31 , 2026 Reference : Equity As of June 30 , 2026 : As of March 31 , 2026 : 2 . Cash dividends Fiscal year ended March 31 , 2026 Fiscal year ending March 31 , 2027 Fiscal year ending Total assets Millions of yen 209,488 205,260 ¥ 176,514 million ¥ 174,759 million First quarter - end Second quarter - end Yen Yen 0.00 Net assets Equity - to - asset ratio Millions of yen % 176,514 84.3 174,759 85.1 Annual dividends per share Third quarter - end Fiscal year - end Total Yen Yen Yen 230.00 230.00 180.00 180.00 March 31 , 2027 0.00 ( Forecast ) Note : Revisions to the forecast of cash dividends most recently announced : None Breakdown of year - end dividends for the fiscal year ending March 31 , 2026 : Ordinary dividend 180.00 yen , commemorative dividend 50.00 yen Breakdown of year - end dividends for the fiscal year ending March 31 , 2027 ( forecast ) Ordinary dividend 180.00 yen -1 -
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- 2 - 3. Forecast of consolidated financial results 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 54,100 2.1 5,400 (6.3) 6,300 (8.9) 4,700 (11.5) 348.40 Fiscal year ending March 31, 2027 112,000 2.1 11,400 (6.7) 13,300 (21.6) 9,500 (22.5) 704.22 Note: Revisions to the earnings forecasts most recently announced: None * Notes (1) Significant changes in the scope of consolidation during the period: None (2) Adoption of accounting treatment specific to the preparation of 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 shares) (i) Total number of issued shares at the end of the period (including treasury shares) As of June 30, 2026 15,673,885 shares As of March 31, 2026 15,673,885 shares (ii) Number of treasury shares at the end of the period As of June 30, 2026 2,183,785 shares As of March 31, 2026 2,183,779 shares (iii) Average number of shares outstanding during the period (cumulative from the beginning of the fiscal year) Three months ended June 30, 2026 13,490,105 shares Three months ended June 30, 2025 13,490,211 shares * Review of the Japanese-language originals of the attached consolidated quarterly financial statements by certified public accountants or an audit firm:Yes (optional) * Proper use of earnings forecasts, and other special matters The forward-looking statements, including forecasts of financial results, contained in these materials are based on information available to the Company and on certain assumptions deemed to be reasonable. Actual financial results may differ from the results anticipated in the statements due to various factors.
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- 3 - Quarterly consolidated balance sheet (Millions of yen) As of March 31, 2026 As of June 30, 2026 Assets Current assets Cash and deposits 105,240 104,339 Notes and accounts receivable - trade 17,502 18,672 Electronically recorded monetary claims - operating 4,251 6,249 Merchandise and finished goods 2,336 2,490 Work in process 1,426 1,477 Costs on construction contracts in progress 297 385 Raw materials and supplies 5,034 5,602 Other 1,259 1,509 Allowance for doubtful accounts (18) (19) Total current assets 137,331 140,707 Non-current assets Property, plant and equipment Buildings and structures, net 4,674 4,621 Machinery, equipment and vehicles, net 292 281 Land 11,173 11,904 Construction in progress 247 342 Other, net 1,003 964 Total property, plant and equipment 17,392 18,113 Intangible assets 806 818 Investments and other assets Investment securities 18,956 19,096 Deferred tax assets 60 5 Long-term time deposits 26,011 26,011 Retirement benefit asset 2,180 2,193 Other 2,521 2,540 Allowance for doubtful accounts (0) (0) Total investments and other assets 49,729 49,847 Total non-current assets 67,929 68,780 Total assets 205,260 209,488
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- 4 - (Millions of yen) As of March 31, 2026 As of June 30, 2026 Liabilities Current liabilities Accounts payable - trade 8,568 10,639 Short-term borrowings 3,000 3,000 Accounts payable - other 6,889 7,399 Income taxes payable 2,851 1,645 Provision for bonuses 1,959 703 Provision for bonuses for directors (and other officers) 106 26 Provision for product warranties 43 44 Other 2,406 4,332 Total current liabilities 25,827 27,792 Non-current liabilities Deferred tax liabilities 92 573 Provision for retirement benefits for directors (and other officers) 1,334 1,338 Retirement benefit liability 139 136 Other 3,107 3,131 Total non-current liabilities 4,673 5,180 Total liabilities 30,500 32,973 Net assets Shareholders' equity Share capital 2,662 2,662 Capital surplus 3,170 3,170 Retained earnings 171,987 173,248 Treasury shares (9,481) (9,481) Total shareholders' equity 168,338 169,598 Accumulated other comprehensive income V aluation difference on available-for-sale securities 21 27 Foreign currency translation adjustment 5,995 6,510 Remeasurements of defined benefit plans 404 377 Total accumulated other comprehensive income 6,421 6,916 Total net assets 174,759 176,514 Total liabilities and net assets 205,260 209,488
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- 5 - Quarterly consolidated statement of income (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Net sales 26,208 31,753 Cost of sales 18,327 21,053 Gross profit 7,881 10,699 Selling, general and administrative expenses 5,061 5,500 Operating profit 2,820 5,198 Non-operating income Interest income 413 518 Dividend income 0 0 Purchase discounts 13 18 Foreign exchange gains - 594 Miscellaneous income 35 36 Total non-operating income 463 1,167 Non-operating expenses Interest expenses 13 20 Foreign exchange losses 907 - Miscellaneous losses 0 0 Total non-operating expenses 921 21 Ordinary profit 2,361 6,345 Profit before income taxes 2,361 6,345 Income taxes - current 98 1,439 Income taxes - deferred 224 542 Total income taxes 322 1,982 Profit 2,038 4,363 Profit attributable to non-controlling interests - - Profit attributable to owners of parent 2,038 4,363
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- 6 - Quarterly consolidated statement of comprehensive income (Millions of yen) Three months ended June 30, 2025 Three months ended June 30, 2026 Profit 2,038 4,363 Other comprehensive income V aluation difference on available-for-sale securities (0) 6 Foreign currency translation adjustment (1,120) 514 Remeasurements of defined benefit plans, net of tax (15) (26) Total other comprehensive income (1,135) 494 Comprehensive income 902 4,857 Comprehensive income attributable to Comprehensive income attributable to owners of parent 902 4,857 Comprehensive income attributable to non-controlling interests - -
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- 7 - (Notes on segment information, etc.) I. The three months of the previous fiscal year (April 1, 2025 to June 30, 2025) 1. Information on sales and the amount of profit or loss for each reported segment, as well as information on the breakdown of revenues (Millions of yen) Reportable segments Other (Note) 1 Total Adjustment amount (Note) 2 Quarterly Consolidated Statements of Income (Note)3 Decorative coatings business Fireproof, insulated business Total Sales Japan 19,290 2,772 22,063 445 22,508 - 22,508 Asia 3,689 11 3,700 0 3,700 - 3,700 Revenue generated from customer contracts 22,979 2,783 25,763 445 26,208 - 26,208 Other Earnings - - - - - - - Revenues from external customers 22,979 2,783 25,763 445 26,208 - 26,208 Transactions with other segments 1 - 1 1 2 (2) - Total 22,981 2,783 25,765 446 26,211 (2) 26,208 Segment Profit 3,101 411 3,512 58 3,571 (751) 2,820 Note: 1. The "Other" category refers to business segments that are not included in the reporting segments, and includes businesses such as various chemical products and cleaning agents. 2. Adjustments to segment profit are as follows: Company-wide expenses that have not been allocated to each reporting segment by (751) million yen and inter-segment transactions eliminated by 0 million yen. 3. Segment profit is adjusted to operating income in the quarterly consolidated statements of income. 2. Information on impairment losses or goodwill on fixed assets by reporting segment Not applicable. II. The three months of the current fiscal year (April 1, 2026 to June 30, 2026) 1. Information on sales and the amount of profit or loss for each reported segment, as well as information on the breakdown of revenues (Millions of yen) Reportable segments Other (Note) 1 Total Adjustment amount (Note) 2 Quarterly Consolidated Statements of Income (Note)3 Decorative coatings business Fireproof, insulated business Total Sales Japan 24,477 2,938 27,415 697 28,113 - 28,113 Asia 3,610 29 3,639 0 3,639 - 3,639 Revenue generated from customer contracts 28,088 2,967 31,055 698 31,753 - 31,753 Other Earnings - - - - - - - Revenues from external customers 28,088 2,967 31,055 698 31,753 - 31,753 Transactions with other segments 0 - 0 0 0 (0) - Total 28,088 2,967 31,055 698 31,753 (0) 31,753 Segment Profit 5,250 531 5,781 174 5,955 (756) 5,198 Note: 1. The "Other" category refers to business segments that are not included in the reporting segments, and includes businesses such as various chemical products and cleaning agents. 2. Adjustments to segment profit are as follows: Company-wide expenses that have not been allocated to each reporting segment by (757) million yen and inter-segment transactions eliminated by 0 million yen. 3. Segment profit is adjusted to operating income in the quarterly consolidated statements of income. 2. Information on impairment losses or goodwill on fixed assets by reporting segment Not applicable.