Yamato Kogyo Co., Ltd. Financial Summary for the Second Quarter (Interim) of the Fiscal Year Ending March 2027

Performance Overview

Consolidated net sales for the second quarter totaled 84,046 million yen and operating income was 224 million yen. While operating earnings were generally at a low level, ordinary income rose to 46,071 million yen and interim net income attributable to owners of parent increased significantly to 27,556 million yen. Full-year forecasts were also revised based on the impact of overseas subsidiaries and affiliates; the U.S. market is expected to remain robust and sustain high levels of profitability. Conversely, demand in Japan and the ASEAN region continues to stagnate.

Outlook and Capital Policy

Full-year forecasts have been revised to net sales of 180,000 million yen, operating income of 2,200 million yen, ordinary income of 95,500 million yen, and net income attributable to owners of parent of 62,000 million yen. As of the interim period, total assets stood at 667,777 million yen, net assets at 606,584 million yen, and the equity ratio was 84.8%, maintaining financial soundness. Geopolitical risks and low-priced exports of Chinese materials are expected to continue to have an impact, but emphasis will be placed on maintaining high demand and steel margins in the U.S. market.