Fiscal Year Ending March 2026 Earnings Presentation Materials

Fiscal Year Ending March 2026 Business Overview

In the fiscal year ending March 2026, key growth areas including Digital Manufacturing, ERP Solutions, IT Infrastructure & Security, and Smart Solutions performed steadily. However, overall performance declined year over year due to a decrease in workload following the completion of the steelworks system refresh in the Steel Business. Net sales were 57.411 billion yen (YoY △10.3%), operating income was 6.346 billion yen (YoY △16.4%), and net income attributable to owners of parent was 4.266 billion yen (YoY △21.6%). Selling, general and administrative expenses increased due to efforts to strengthen business activities and costs related to hiring and training personnel.

Fiscal Year Ending March 2027 Earnings Outlook and Shareholder Returns

For the fiscal year ending March 2027, an increase in revenue is expected in the group’s external customer business focused on key growth areas. Although the Steel Business will experience a decline in revenue due to the completion of the steelworks system refresh, the company will pursue resource reallocation and organizational efficiency to return to a growth trajectory. Net sales are forecast at 60 billion yen (YoY +2.6 billion yen) and ordinary income at 6.8 billion yen (YoY +350 million yen). Shareholder returns plan a year-end dividend of 40 yen per share for the fiscal year ending March 2026 (annual forecast 68 yen per share), with a dividend payout ratio maintained in fiscal 2026 and an increase in annual dividends to 70 yen per share reflecting profit growth.