Financial Summary for the Third Quarter of the Fiscal Year Ending March 2026 [Japanese GAAP] (Consolidated)

Overview of Business Results

During the cumulative third quarter period of the fiscal year ending March 2026, net sales increased 1.8% YoY to 392,335 million yen, operating income rose 10.4% YoY to 10,806 million yen, ordinary income was up 6.1% YoY to 11,169 million yen, and net income attributable to owners of the parent increased 18.5% YoY to 7,987 million yen. Despite uncertainties in domestic and international economic environments, as the final year of the medium-term management plan 'Growing Together 2026', which promotes DX and sustainability initiatives, we continue to drive market-out type business transformation across manufacturing, housing, environmental, and community development fields.

Segment Performance Trends

In the Industrial Equipment division, net sales totaled 55,666 million yen (2.7% decrease YoY) due to impacts from trade policies affecting the automotive-related industry. The Industrial Machinery division achieved net sales of 73,726 million yen (3.6% decrease YoY), as semiconductor and aerospace-related capital investments remained solid, tempered by cautious attitudes in the automotive sector. The Housing Equipment, Pipe Material, and Air Conditioning division recorded steady performance, supported by remodeling and data center demand despite a decline in new housing starts, with net sales of 161,393 million yen (5.5% increase YoY). The Building and Exterior division posted net sales of 43,899 million yen (7.8% increase YoY) despite a challenging environment of soaring material costs and labor shortages. The Construction Machinery division grew 2.8% YoY to 28,732 million yen, driven by infrastructure development demand, while the Energy division saw net sales of 13,136 million yen (5.4% decrease YoY) amid stabilized fuel oil prices.