Notice Regarding Recording of Special Loss (Impairment on investment securities) and Differences from Forecasts for the Second Quarter (Mid-Year) and Revision of Full-Year Consolidated Earnings Forecast

Overview of Results

In today's mid-year earnings release, we report a special loss of 493–499 million yen as impairment on investment securities. Second-quarter results show net sales of 5,895 million yen, operating profit of 574 million yen, ordinary income of 609 million yen, net income attributable to owners of parent for the interim of 99 million yen, and interim net income per share of 11.18 yen. While many items surpassed the previous forecast, the presence of a special loss reduced interim net income below the forecast. The full-year forecast has been revised to net sales of 13,000 million yen, operating profit of 1,000 million yen, ordinary income of 1,020 million yen, net income attributable to owners of parent 530 million yen, and net income per share of 59.81 yen. Dividend forecast remains unchanged.

Outlook and Factors

The full-year outlook remains conservative, reflecting progress on major projects in the latter half of the year. Net income for the current year has been revised downward due to one-off factors. While margins have improved, it is important to monitor the progress of large-scale projects toward the year-end, as they may impact results. Dividend forecast remains unchanged.