Q3 Financial Results Briefing for the Fiscal Year Ending March 2026

Overview of Results

In the third quarter of the fiscal year ending March 2026, orders received totaled ¥244,959 million (19.0% YoY increase), reaching a record high supported by large-scale overseas construction orders. Meanwhile, construction completed was ¥180,189 million (3.0% YoY decrease), reflecting a reactionary decrease from progress in large-scale projects in the previous period. The gross profit margin on completed construction improved significantly to 23.1%, resulting in operating income of ¥26,525 million (61.7% YoY increase) and net income attributable to owners of parent of ¥19,176 million (58.6% YoY increase), both posting gains. Net assets reached ¥121,814 million (11.5% YoY increase), and the equity ratio rose to 58.6%, strengthening the financial base.

Business Environment and Future Outlook

The overseas business performed strongly, driven by large-scale medical-related facility orders in Singapore and effects of subsidiary acquisition, leading to a significant increase in overseas construction orders. Industrial facility construction and renovation projects also maintained high levels, and the backlog at period end reached a record ¥323,170 million. Cash flow from operating activities increased significantly, and although cash flow from financing activities decreased due to debt repayments, cash balances increased. Stable performance is expected to continue supported by high order levels.