FY2026 Q3 Financial Summary [Japanese GAAP] (Consolidated)

Overview of Business Results

Consolidated results for the third quarter of FY2026 showed net sales of JPY 2,146.0 billion (up 5.9% YoY), operating income of JPY 171.8 billion (up 81.6% YoY), ordinary income of JPY 167.1 billion (up 65.1% YoY), and net income attributable to owners of parent for the quarter of JPY 122.2 billion (up 64.0% YoY), achieving significant increases across all major indicators. Order intake in the construction business increased both domestically and internationally, rising 13.0% YoY to JPY 2,181.2 billion. Gross profit margins in the civil engineering and building businesses significantly exceeded those of the previous year quarter, improving profitability. Domestic affiliates posted increases in both revenue and profit, while overseas affiliates experienced a decline in sales due to decreased proceeds from development business disposals despite solid construction business performance; however, profits increased.

Financial Position and Revision of Earnings Guidance

At the end of the third quarter, total assets stood at JPY 3,576.4 billion (up JPY 121.8 billion from previous fiscal year-end), net assets were JPY 1,350.2 billion (up JPY 72.2 billion), and the equity ratio improved to 37.2% (up 0.8 points from previous fiscal year-end). Interest-bearing debt increased to JPY 945.9 billion, but the financial base remains stable. The full-year earnings guidance was revised upward to net sales of JPY 3,030 billion (up 1.0% from previous forecast), operating income of JPY 228.0 billion (up 12.9%), and net income attributable to owners of parent of JPY 170.0 billion (up 9.7%). The main factors were progress in building construction projects and improved profit margins, with the sale plan for the development business proceeding smoothly.