Financial Summary Supplementary Materials Quarterly Report Consolidated Financial Results for the Second Quarter of May 2026 Fiscal Year (Interim Period)

Overview of Business Performance

In the consolidated financial results for the second quarter of the May 2026 fiscal year, net sales were 88,443 million yen (5.7% decrease Year-over-Year), recording an operating loss of 2,279 million yen and an interim net loss attributable to owners of the parent of 1,876 million yen. Total assets stood at 92,751 million yen, a 0.5% increase compared to the previous year, whereas net assets declined by 19.6% to 27,561 million yen, and the equity ratio dropped to 29.7%. By segment, sales in the Housing Business decreased to 60,158 million yen (9.9% decrease YoY), Real Estate Business sales increased to 25,205 million yen (6.4% increase YoY), while Financial and Energy businesses saw slight decreases.

Outlook and Dividends

The full-year earnings forecast was revised upward with net sales projected at 209,000 million yen (4.1% increase from previous forecast) and operating income at 4,700 million yen (14.3% increase). However, net income attributable to owners of the parent is expected to decline to 1,350 million yen (8.7% decrease). The annual dividend is planned at 196.00 yen (0.5% increase from previous forecast), maintaining a stable dividend policy. Cash flow from operating activities recorded an outflow of △1,452 million yen, while outflows from financing activities also increased, resulting in cash and cash equivalents totaling 26,927 million yen.