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

Performance Overview

For the fiscal year ending March 2026, consolidated results show net sales of 396.03 billion yen (up 8.0% YoY), operating profit of 28.03 billion yen (up 32.8% YoY), ordinary income of 27.38 billion yen (up 35.4% YoY), and net income attributable to owners of the parent of 24.07 billion yen (up 37.2% YoY). The increase in net sales was primarily driven by growth in domestic civil engineering and domestic building construction. Operating profit increased mainly due to higher gross profit from domestic building construction completed projects. Ordinary income was positively influenced by gains on sale of investment securities recognized as extraordinary income. Segment-wise, civil engineering and building segments showed revenue and profit growth, while international operations increased sales but recorded losses due to fewer design change acquisitions.

Financial Condition and Cash Flows

Total assets amounted to 686.01 billion yen (up 15.9% YoY), while net assets were 204.42 billion yen (up 12.8% YoY). The equity ratio was 28.4%, a decrease of 0.7 percentage points from the previous year. Cash flows from operating activities resulted in an inflow of 3.05 billion yen, investing activities saw an outflow of 7.46 billion yen, and financing activities resulted in an inflow of 7.98 billion yen. The balance of cash and cash equivalents at the end of the period was 48.27 billion yen.

Dividend Status

The annual dividend for the fiscal year ending March 2026 is planned at 230 yen per share (interim dividend of 100 yen and year-end dividend of 130 yen), an increase of 10 yen from the previous forecast. The payout ratio is 37.7%, and the dividend payout ratio relative to net assets is 4.9%. For the fiscal year ending March 2027, dividends are projected at 250 yen per share (interim dividend of 110 yen and year-end dividend of 140 yen), with a basic policy of stable and continuous profit sharing.

Earnings Guidance for the Fiscal Year Ending March 2027

Net sales are expected to reach 440.0 billion yen (up 11.1% YoY), operating profit is forecasted at 28.5 billion yen (up 1.7% YoY), ordinary income to be 26.5 billion yen (down 3.2% YoY), and net income attributable to owners of the parent to be 20.5 billion yen (down 14.8% YoY). Although domestic construction projects are expected to increase sales, profit margins are projected to decline.