Financial Results Presentation for the Second Quarter of the Fiscal Year Ending March 2027

Business Performance Overview

In the first half of the fiscal year, revenue was 309,200 million yen, a 2.6% decrease year-over-year. Currency exchange rates and rising raw material costs contributed to profit-dampening factors across regions. Segment-level profit margins generally declined. In the supplemental version of the Mid-term Management Plan 2027, the full-year revenue forecast is maintained at 677,000 million yen, and improvements in operating income and net income assume operational improvements and the penetration of price pass-through in the second half.

Capital Policy and Future Direction

The company will continue policies to optimize capital structure while maintaining financial soundness. The supplemental plan presents shareholder returns aimed at ROE of 20% or more and DOE of 15% as benchmarks, and a strategy to expand total shareholder returns including share buybacks. Based on first-half results and second-half outlook, the company aims to balance investments that enhance future cash-generating capacity with shareholder returns.