Notice Regarding Revision of Earnings Guidance and Dividend Forecast (Dividend Increase)

Revision of Earnings Guidance

The consolidated earnings forecast for the fiscal year ending March 2026 has been revised upward to net sales of 83,000 million yen (+1.2% from previous forecast), operating income of 4,700 million yen (+20.5%), ordinary income of 5,500 million yen (+34.1%), and net income attributable to owners of parent of 4,300 million yen (+26.5%). Similarly, the non-consolidated forecast anticipates net sales of 78,000 million yen (+1.3%), operating income of 4,400 million yen (+29.4%), ordinary income of 5,300 million yen (+47.2%), and net income of 4,100 million yen (+36.7%), indicating substantial profit growth. Net sales are progressing as planned, with profitability-focused order activities and productivity improvements contributing to margin enhancement. Non-operating income, such as derivative valuation gains due to exchange rate fluctuations and special gains from the sale of policy-held shares, also contributed, leading to a significant increase above the previous forecast.

Revision of Dividend Forecast

Positioning shareholder returns as an important issue, the company aims to maintain stable dividends over the medium to long term and implement progressive dividends. The year-end dividend forecast for the fiscal year ending March 2026 has been revised upward by 6 yen from the previous forecast of 29 yen per share to 35 yen per share. The total annual dividend is expected to be 63 yen, up from 52 yen in the previous fiscal year. Based on the upward revision of earnings, the company intends to increase dividends in line with profit growth.