Fiscal Year Ending March 2026 Earnings Report [Japanese GAAP] (Consolidated)

Overview of Performance

For the fiscal year ending March 2026, consolidated results showed net sales of 315,106 million yen (down 2.4% YoY), operating income of 16,967 million yen (up 10.7% YoY), ordinary income of 16,211 million yen (up 3.0% YoY), and net income attributable to owners of the parent of 9,864 million yen (down 8.6% YoY). The domestic steel business experienced a decline in net sales and a 35.2% decrease in operating income due to delays in construction work and soaring material costs. Conversely, the overseas steel business saw net sales increase by 5.9% and operating income turned positive to 6,143 million yen supported by strong demand in Vietnam and cost reduction effects. The environmental recycling business faced a challenging competitive environment, resulting in decreases in both net sales and operating income.

Financial Position and Outlook

Total assets were 373,127 million yen (up 5.8% YoY), net assets were 218,808 million yen (up 4.6% YoY), and the equity ratio was 56.7% (down 0.8 points YoY). Cash flows from operating activities recorded an inflow of 24,730 million yen, while investing activities recorded outflows of 15,433 million yen and financing activities recorded outflows of 1,303 million yen. For the fiscal year ending March 2027, the company forecasts net sales of 360,000 million yen (up 14.2% YoY), operating income of 16,000 million yen (down 5.7% YoY), and net income attributable to owners of the parent of 9,000 million yen (down 8.8% YoY). The annual dividend is planned to be 70 yen.