Fiscal Year Ending March 2026 Earnings Presentation

Overview of Fiscal Year Ending March 2026

Net sales for the fiscal year ending March 2026 were 72.29 billion yen, a 12.7% increase from the previous year. Operating income was 3.65 billion yen, a 210.0% increase year-over-year. Ordinary income rose to 5.22 billion yen, up 320.1%, and net income attributable to owners of parent reached 3.95 billion yen, marking substantial profit growth. By product, resistors accounted for the majority of sales, with notable growth in the Asian market regionally. Capital investment totaled 5.9 billion yen, depreciation expenses were 7.2 billion yen, and research and development expenses amounted to 3.5 billion yen.

Earnings Forecast for Fiscal Year Ending March 2027 and Initiatives in Growth Markets

Sales for the fiscal year ending March 2027 are projected at 77.4 billion yen (YoY +7.1%), while operating income is forecasted at 2.83 billion yen (YoY -22.4%), indicating expected profit decline. Although price corrections are being implemented in response to rising raw material costs, a time lag before realization is a factor in reduced profits. Special income from compensation related to the relocation of the China plant was recorded, and impacts from the Middle East conflicts have not been factored in. Growth strategy centers on increasing sales in AI-related markets, with particular focus on expanding demand for AI server racks.