FY2026 Q3 Financial Summary [Japanese GAAP] (Consolidated)

Overview of Financial Results

Net sales for the consolidated cumulative third quarter of FY2026 amounted to JPY 590.436 billion (22.6% YoY increase). However, operating income significantly declined to JPY 21.14 billion (52.9% YoY decrease), ordinary income was JPY 22.222 billion (53.2% YoY decrease), and net income attributable to owners of parent was JPY 13.311 billion (56.9% YoY decrease). The main factor behind this substantial decrease was the recording of allowance for doubtful accounts and bad debt losses due to collection difficulties or delays related to receivables from renewable energy projects in the European region. Contract execution volume increased 17.4% YoY to JPY 1.54228 trillion.

Segment Performance and Financial Position

Net sales in the Lease and Installment segment were JPY 512.194 billion (23.9% YoY increase), and segment profit rose to JPY 33.815 billion (12.7% YoY increase). Conversely, the Finance segment posted net sales of JPY 29.432 billion (7.8% YoY increase), but recorded a segment loss of JPY 9.24 billion, a significant deterioration from the prior year's profit of JPY 17.011 billion. Regarding the financial position, total assets reached JPY 3.664365 trillion (2.7% increase from the prior consolidated fiscal year-end), net assets were JPY 535.049 billion (0.7% increase), and the equity ratio declined to 13.0% (0.3 points decrease).