Notice Regarding Variances Between Forecasts and Actuals for the Second Quarter of the Fiscal Year Ending March 2027 and Revision of Full-Year Earnings Forecast

Overview of Results

Consolidated net sales for this interim period exceeded the previous forecast, reaching 39,746 million yen, with operating income of 2,497 million yen and ordinary income of 2,529 million yen. Non-consolidated results also increased, with net sales of 36,569 million yen, operating income of 2,341 million yen, and ordinary income of 2,608 million yen. As a result, consolidated performance exceeded the previous forecast; however, interim net income attributable to owners of parent is expected to be below the previous forecast due to the impact of consolidated subsidiaries.

Outlook and Impact

The full-year earnings forecast for the fiscal year ending March 2027 has been revised to net sales of 85,000 million yen, operating income of 6,000 million yen, ordinary income of 6,000 million yen, net income attributable to owners of parent of 4,200 million yen, and net income per share of 100.53 yen. While increases in net sales are expected due to steady progress on backlog construction and progress on large-scale projects primarily involving slope works, provisions have been made for employee performance compensation and personnel development costs. The consolidated impact of making Chiken Techno Co., Ltd. a wholly owned subsidiary has been incorporated from the fourth quarter.