Financial Summary for the Second Quarter of Fiscal Year Ending March 2027 (Interim) [Japanese GAAP] (Consolidated)

Summary of Results

For the second quarter of the fiscal year ending March 2027, consolidated revenue was 9,877 million yen, a 13.4% decrease compared with the same interim period of the prior fiscal year, due to lower sales in the Apparel Machinery and Automotive businesses. Operating income was 79 million yen, ordinary loss was 64 million yen, and net loss attributable to owners of the parent for the interim period was 225 million yen. At the end of the interim period, total assets were 44,551 million yen, net assets were 34,702 million yen, and the equity ratio was 75.3%. Cash and cash equivalents decreased by 7,657 million yen.

Outlook and Capital Policy

Full-year forecasts have been revised: revenue is projected at 20,306 million yen, operating income at 131 million yen, and a net loss for the year of 435 million yen, resulting in diluted earnings per share of -18.15 yen. Dividend forecasts have also been revised. As a significant subsequent event, the Company resolved to dissolve and liquidate consolidated subsidiary PEGASUS SEWING MACHINE PTE. LTD., and plans to transfer part of the Apparel Machinery business to PEGASUS UNITED ASIA SDN. BHD. To develop the Indian market, the Company plans to establish PEGASUS INDIA INDUSTRIAL SOLUTIONS PRIVATE LIMITED (99% capital ratio held by the Company, scheduled establishment in March 2027).