Financial Results Briefing for the Fiscal Year Ending April 2026 (Japanese GAAP, Consolidated)

Overview of Performance

For the fiscal year ending April 2026, net sales declined year over year, but operating profit and ordinary profit remained solid due to increases in customer numbers in the Energy business and expanded direct sales in the Water business. Net income markedly improved, with net income attributable to owners of the parent at JPY 1,612 million (up 91.6% YoY). For the full-year forecast, net sales are expected to rise 9.0% to JPY 29,460 million, operating profit to a slight decrease of JPY 1,910 million, and net income attributable to owners of the parent to JPY 1,310 million (down 18.8%). The company has disclosed a three-year mid-term plan and will prioritize reductions in capital costs and improvements in capital efficiency.

Financial Strategy and Outlook

Pursuing management with a focus on capital costs and share price. Aim to keep WACC at 4.9% and exceed ROIC. The mid-term plan includes dynamic treasury share repurchases, improvements in capital efficiency, and enhanced IR to elevate market valuation, while emphasizing stable growth and cost control in the Energy and Water two businesses. The shareholder return policy remains stable, with the 2027 year-end dividend expected to be 23 yen.