Financial Results Briefing for the Fiscal Year Ending March 2026

Summary of Fiscal Year 2025

In the consolidated financial results for FY2025, sales totaled ¥62.045 billion (a 2.1% decrease YoY), and operating profit was ¥1.47 billion (a 38.3% decrease YoY), resulting in a decline in both revenue and profit. The main factors include reduced sales due to decrease in production of major OEMs and increased variable costs mainly driven by raw material costs, compressing earnings. Net income attributable to owners of the parent turned to a ¥21 million loss. Regionally, revenue and profit decreased in Japan (excluding Asia), North America, and Europe, with significant declines especially in domestic and North American markets. Industry-wise, automotive-related segments declined in both sales and profit, while medical devices increased in sales but saw profit decreases. Measures such as special improvement activities, production reallocation, and personnel optimization are underway, with impairment losses also recognized.

FY2026 Performance Forecast and Dividend Policy

For FY2026, consolidated forecasts project revenue of ¥63.0 billion (a 1.5% increase from actual FY), operating profit of ¥1.5 billion (a 2.0% increase), ordinary income of ¥1.5 billion (a 3.2% increase), and net income attributable to owners of the parent of ¥700 million. Production volume of key OEMs is expected to slightly increase, with efforts focused on expanding globally and strengthening sales of high-value-added products. Although cost burdens from high material and energy costs and increased depreciation from capital investments are anticipated, company-wide earnings improvement activities will be conducted to reinforce profitability. The dividend will remain at ¥92 per share annually, with a payout ratio of 335.2%. A cumulative share buyback of approximately ¥26.5 billion has been completed, aiming to enhance capital efficiency.