bullish

Stella Chemifa (4109 JP) - Strong Earnings, Attractive Share Price

302 Views17 Jan 2025 06:49
Issuer-paid
SUMMARY
  • H1 FY2025/3 results review: In H1 FY2025/3, Stella Chemifa (hereafter, the Company) reported strong results, with net sales up 25.3% YoY to JPY 18,160 mn and operating profit up 94.3% YoY to JPY 2,180 mn.
  • The boost in sales was driven by an increase in shipments in the semiconductor category, mainly for memory devices thanks to a recovery in market conditions, and an increase in shipments of enriched boron (energy category) for new nuclear facilities overseas.
  • Operating profit rose substantially, as growth in shipments in the high purity chemicals business and an increase in volume in the transportation business offset the JPY 210 mn drag on profits stemming from the Company's inability to fully reflect cost increases from higher anhydrous hydrofluoric acid prices, a key raw material, and the yen's depreciation, onto its prices.
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