Forecast of Consolidated Results for the 2nd Quarter of the December 2026 Term, Differences from the Previous Forecast, and Revision of the Full-Year Consolidated Earnings Forecast

Overview of Results

This material presents the differences between the results for the 2nd quarter consolidated earnings period of the December 2026 term and the previously announced forecast, as well as revisions to the full-year consolidated earnings forecast. In the first half, net sales increased to 7,634 million yen year on year, but due to higher cost of goods sold from rising raw material prices, operating income, ordinary income, and net income attributable to owners of the parent fell short of the plan. For the full-year, sales are upwardly revised while profits are revised downward, and it is expected that the shortfall in the first half will be difficult to recover.

Outlook and Factors

Key factors for the solid first-half net sales include price revisions in the main product line for LP container valve units and increased demand for re-inspection. On the other hand, cost increases including raw materials weighed on profit levels. The full-year forecast raises net sales but lowers profit projections for the second half, anticipating a recovery in semiconductor demand in East Asia, while raw material prices are expected to continue rising, leading to downward revisions from the initial forecast.