Financial Summary for the Year Ending March 2026 [Japanese Standards] (Consolidated)

Performance Overview

For the fiscal year ending March 2026, consolidated net sales amounted to ¥72.54 billion (a 12.2% decrease YoY), mainly due to reduced shipment volumes of rebar and related products. Operating income was ¥12.04 billion (down 17.9%), ordinary income was ¥12.04 billion (down 20.0%), and net income attributable to owners of the parent was ¥8.075 billion (down 25.6%). These results reflect a challenging environment characterized by soaring raw material prices and delays in construction caused by labor shortages.

Financial Position and Cash Flows

Total assets decreased to ¥80.449 billion from the previous period, while net assets increased to ¥63.416 billion, improving the equity ratio to 78.8%. Cash flow from operating activities was ¥5.181 billion, decreasing from the previous period. Cash flows from investing and financing activities were negative, resulting in an ending cash and cash equivalents balance of ¥7.162 billion.

Future Outlook

For the fiscal year ending March 2027, consolidated earnings are projected to be ¥76.00 billion (up 4.8% YoY); operating income to be ¥10.00 billion (down 17.0%); ordinary income to be ¥10.00 billion (down 16.9%); and net income attributable to owners of the parent to be ¥7.100 billion (down 12.1%). Earnings per share, considering stock splits, are forecasted at ¥277.46. Under the new medium-term management plan, the company aims to strengthen its profitability through proposals of labor-saving solutions and the promotion of digital transformation strategies.

Dividend Policy

The projected annual dividend for FY 2027 is ¥100 (post-split basis), including an interim dividend of ¥40 (post-split basis). The targeted payout ratio of dividends is 35% to 40%, with a basic policy of maintaining stable dividends.