Notice Regarding Earnings Guidance and Dividend Forecast

Overview of Performance

This report revises the consolidated earnings forecast for the second quarter of the fiscal year ending March 2027, reflecting expected improvements in the second half market environment and demand-supply recovery across segments. Full-year net sales are forecast at 198,000 million yen, EBITDA at 22,000 million yen, operating income at 13,000 million yen, ordinary income at 14,000 million yen, net income attributable to owners of the parent at 10,500 million yen, and earnings per share at 230.10 yen. Factors affecting the first half include the impact of refractory materials and engineering costs and equipment troubles, with a recovery anticipated in the second half to lift net sales.

Shareholder Return Policy and Outlook

Dividend forecast is 47 yen per share interim and 48 yen per share year-end, totaling 95 yen per share. Starting from the fiscal year ending March 2027, a progressive dividend policy based on a DOE of 4% or higher will be adopted, balancing financial soundness with long-term shareholder returns. While being mindful of market fluctuations including exchange-rate effects, the strategy is to elevate full-year profits against the backdrop of expected segment-level earnings improvements in the second half.