Fiscal Year Ending March 2026 Financial Results [Japanese GAAP] (Consolidated)

Overview of Performance

For the fiscal year ending March 2026, the consolidated financial results were net sales of ¥83.389 billion (down 6.3% YoY), operating profit of ¥4.400 billion (down 33.8% YoY), ordinary income of ¥4.739 billion (down 24.6% YoY), and net income attributable to owners of parent of ¥2.847 billion (down 33.1% YoY). The main factors were prolonged inventory adjustments in the supply chain caused by issues with Boeing, a major U.S. aircraft manufacturer, and continued economic stagnation in China. Segment-wise, the Metal Titanium Business recorded net sales of ¥54.429 billion (down 17.0% YoY) and operating profit of ¥4.382 billion (down 39.2% YoY). The Catalyst Business achieved net sales of ¥11.922 billion (up 11.6% YoY) and operating profit of ¥2.844 billion (up 17.7% YoY), attaining both increased sales and profits. The Chemicals Business reported net sales of ¥17.036 billion (up 33.9% YoY) and turned profitable with an operating profit of ¥155 million.

Financial Position and Cash Flows

Total assets increased to ¥129.697 billion compared to the previous year, and net assets grew to ¥60.128 billion. The equity ratio was 46.4%. Operating cash flow was a inflow of ¥11.051 billion, while investing cash flow was an outflow of ¥14.124 billion. Financing cash flow was an inflow of ¥2.097 billion, with cash and cash equivalents at the end of the period amounting to ¥3.647 billion.

Future Outlook

At the Extraordinary General Meeting of Shareholders held on April 24, 2026, approval was obtained for a share exchange agreement with JX Metals Corporation, effective as of June 1, 2026. Consequently, the company's shares will be delisted as of May 28, 2026. As a result, earnings forecasts for the fiscal year ending March 2027 are not provided.