Full-Year Financial Results Presentation for the Fiscal Year Ending December 2025

Overview of Results

For the full fiscal year ending December 2025, net sales were JPY 2,058.8 billion (essentially flat YoY), operating income increased slightly to JPY 127.5 billion, and net income attributable to owners of parent significantly improved to JPY 69.2 billion. The increase in operating income was mainly driven by improved profitability in the Automotive segment, with ROE improving to 4.7%. Factors contributing to sales increases included improved product mix and pricing strategies for automotive glass, pricing effects in Performance Chemicals, and pricing improvements in building glass in Europe and the U.S. Conversely, sales declines were due to price drops in vinyl chloride resin, reduced shipments of EUV photomask blanks for electronic materials, and price decreases in Asian architectural glass.

Segment Performance and Future Outlook

By segment, the Automotive business recorded net sales of JPY 520.6 billion and operating income of JPY 29.3 billion, achieving significant profit growth. Building Glass posted net sales of JPY 441.1 billion and operating income of JPY 17.3 billion, both increasing. The Electronics segment had net sales of JPY 355.1 billion and operating income of JPY 47.5 billion, experiencing declines in both. Life Sciences recorded net sales of JPY 133.1 billion and operating loss of JPY 22.3 billion, with decreases in both sales and profit. For the fiscal year ending December 2026, operating income is expected to increase, driven by a recovery in Life Sciences, with net income also improving and ROE projected to rise to 5.2%. Capital expenditures are planned at JPY 251.3 billion, and R&D expenses are forecast at JPY 60.3 billion.