Nippon Denko Posts Second Quarter Loss Due to Affiliate Share Impairment

TOKYO, Aug 05 (Pulse News Wire) – Nippon Denko CO.,LTD. (5563.T) reported a significant loss for the six months ended June 30, 2026, due to impairment charges related to its investment in Pertama Ferroalloys Sdn.

Bhd. The company recorded a total equity method investment loss of ¥7.180 billion as a result of fully impairing its stake in Pertama Ferroalloys, leading to a special loss of ¥7.877 billion. In addition to the impairment charge, Nippon Denko also recognized an extraordinary expense of ¥7.180 billion stemming from the equity method investment losses, excluding those incurred during the second quarter.

These adjustments reflect the challenging operating environment faced by Pertama Ferroalloys and highlight the impact on Nippon Denko's consolidated financial performance. The company’s revised outlook and earnings forecast for the fiscal year ending December 2026 have been detailed in separate releases issued today. Investors should refer to these documents for further guidance on expected future performance and dividend expectations.