Fiscal Year March 2026 Third Quarter Financial Summary [Japanese GAAP] (Consolidated)

Overview of Operating Results

For the cumulative third quarter period of the fiscal year ending March 2026, net sales reached JPY 31,419 million (21.3% increase YoY), operating income was JPY 2,432 million (54.6% increase YoY), ordinary income amounted to JPY 2,717 million (36.6% increase YoY), and net income attributable to owners of parent for the quarter was JPY 2,318 million (10.1% increase YoY). The primary factors behind the profit growth were increased sales in the process engineering business and deliveries of large-scale plant projects, while the heat exchanger and valve businesses also performed steadily. Special losses were recorded for factory restructuring costs and environmental compliance expenses; meanwhile, special gains such as gain on sales of investment securities were also recorded.

Financial Position and Outlook

At the end of the third quarter, total assets stood at JPY 83,674 million, net assets at JPY 61,540 million, and the equity ratio improved to 73.1% compared to the same period in the previous year. Liabilities decreased to JPY 22,134 million. Although treasury stock acquisition increased the number of treasury shares, the total shares outstanding remained unchanged. There is no change to the full-year earnings forecast for the fiscal year ending March 2026, with net sales projected at JPY 44,000 million (14.7% increase YoY), operating income at JPY 3,000 million (2.4% increase YoY), and net income attributable to owners of parent at JPY 2,690 million (28.9% decrease YoY).