Brother Industries, Ltd. Fiscal Year Ending March 2027 — Second Quarter (Interim) Financial Summary [IFRS]

Overview of Results

Brother Industries, Ltd.'s second quarter for the fiscal year ending March 2027 posted revenue of 502,163 million yen (up 18.5% year-over-year), demonstrating solid performance. Foreign exchange impacts and strong performance across segments contributed, with operating income reaching 81,950 million yen (up 114.9% year-over-year) and interim profit of 71,523 million yen (up 153.0% year-over-year), achieving significant profit growth. The classification of the Network & Content business as a discontinued operation has been taken into account, reflecting the results of continuing operations and the effects of integrating discontinued operations. Full-year forecasts for FY2027 have been revised, with expectations to enhance earnings per share assuming share buybacks and cancellation.

Outlook and Impact of Capital Policy

The Company revised upward its consolidated performance forecast for FY2027, reflecting favorable foreign exchange effects from a weaker yen and strong performance in the Printing & Solutions business. The Company plans to address dilution concerns by implementing share repurchases and cancellations, which will affect interim earnings per share. The dividend policy assumes a 60 yen dividend at the end of the second quarter and 120 yen for the full year. Cash generation remains strong with an increasing trend in operating cash flow. Depending on future investment strategy and market conditions, further improvements in profitability are expected.