Okumura Corporation Fiscal Year Ending March 2026 Earnings Outlook | Recognition of Foreign Exchange Forward Contract Evaluation Gains

Summary of Financial Performance

Okumura Corporation expects to record foreign exchange forward contract evaluation gains of 6,156 million yen in the operating income under non-operating income, driven by fluctuations in unrealized gains and losses on foreign exchange forward contract valuation due to changes in fair value of outstanding contracts. While the evaluation loss for the fiscal year ended March 2025 was △701 million yen, it is projected to significantly improve in the fiscal year ending March 2026, resulting in valuation gains. This recognizes the impairment of hedge accounting application termination.

Future Outlook and Impact on Shareholders

These foreign exchange forward contract evaluation gains are not included in the shareholder return policies within the medium-term management plan for 2025–2027. Based on the policy of a payout ratio of 70% or higher, they will not impact dividends or shareholder returns. Revisions to earnings forecasts and dividend projections have been separately announced, and these gains may positively influence future performance.