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

Overview of Performance

Chori Co., Ltd.'s consolidated results for the fiscal year ending March 2026 were net sales of 299.2093 billion yen (3.9% decrease YoY), operating income of 13.056 billion yen (9.9% decrease YoY), ordinary income of 14.193 billion yen (12.4% decrease YoY), and net income attributable to owners of parent of 12.011 billion yen (3.0% increase YoY). Net sales declined due to sluggish performance in the textile and chemical products businesses; however, net income increased owing to reductions in corporate taxes driven by dissolution of consolidated subsidiaries and debt forgiveness.

Financial Position and Cash Flows

Total assets increased to 153.373 billion yen year-on-year, and net assets rose to 102.444 billion yen. The equity ratio improved to 66.7%. Cash flow from operating activities increased by 11.543 billion yen, cash flow from investing activities decreased by 1.824 billion yen, and cash flow from financing activities decreased by 5.010 billion yen.

Dividend Status

The annual dividend for the fiscal year ending March 2026 was set at 147 yen per share (interim 72 yen, year-end 75 yen), representing an increase compared to the previous fiscal year. The payout ratio on a consolidated basis was 30.2%, and the dividend on equity ratio was 3.7%. The dividend forecast for the fiscal year ending March 2027 is 171 yen annually (interim 85 yen, year-end 86 yen).

Consolidated Earnings Guidance for the Fiscal Year Ending March 2027

The consolidated earnings forecast for the fiscal year ending March 2027 anticipates net sales of 320 billion yen (6.9% increase YoY), operating income of 14.5 billion yen (11.1% increase YoY), ordinary income of 15 billion yen (5.7% increase YoY), and net income attributable to owners of parent of 10.5 billion yen (12.6% decrease YoY).

Differences in Individual Business Performance

At our subsidiaries’ individual performance level, net sales were 152.153 billion yen (3.8% decrease YoY), operating income was 5.544 billion yen (23.1% decrease YoY), and net income was 11.253 billion yen (32.3% increase YoY). These results were impacted by the tax-deductible inclusion of allowance for doubtful accounts related to dissolution of consolidated subsidiaries and debt forgiveness.