FY2027 Second Quarter (Interim) Financial Summary [Japanese GAAP] (Consolidated)

Overview of Results

Revenue for the period was 8,364 million yen (YoY 5.6% increase), driven by improved selling prices, expanded sales of higher value-added products, and increased orders to group companies, which improved profitability. Operating income was 412 million yen, ordinary income was 347 million yen, and interim net income attributable to owners of parent was 193 million yen; excluding the effects of prior-period special gains and special losses, steady profit improvement progressed. The consolidation scope has been expanded to include newly established Nichu Tech Co., Ltd., and preparations for a business reorganization centered on Nichu Tech are underway.

Outlook and Capital Policy

The full-year forecast incorporates the effects of the absorption-type split and joint venture establishment into the consolidated results for the fiscal year ending March 2027, and at this time there is no change to the forecast. Through the execution of the absorption-type split agreement and the memorandum on joint venture establishment, the manufacturing and sales business of ductile iron pipes (straight pipes) will be reorganized and integrated to improve productivity and ensure market stability. No changes in capital stock are expected as a capital policy measure, and additional disclosures on future capital policy developments are awaited.