Financial Summary for the Fiscal Year Ending December 2025 [Japanese GAAP] (Consolidated)

Overview of Performance

The semiconductor market in the fiscal year ending December 2025 continued to show polarization with growth in demand for AI data centers and stagnation in demand for consumer, industrial, and automotive applications. Demand for 300mm silicon wafers was strong for advanced products, while shipments of 200mm and smaller wafers remained sluggish. The Company promoted productivity improvements through technological development and AI utilization, while reviewing production systems and facing increased depreciation expenses due to capital investment. As a result, net sales reached 409,670 million yen (up 3.3% YoY), but operating income was 1,342 million yen (down 96.4% YoY), and net loss attributable to owners of parent was 11,751 million yen.

Financial Position and Cash Flows

Total assets were 1,127,966 million yen (down 44,717 million yen from previous year), liabilities were 480,181 million yen (down 35,265 million yen), and net assets were 647,785 million yen (down 9,451 million yen). Cash flow from operating activities increased to 100,040 million yen, while cash flow from investing activities decreased to △111,447 million yen. Cash flow from financing activities was △8,729 million yen, resulting in cash and cash equivalents of 75,296 million yen. The annual dividend was 20.00 yen, and the dividend for the fiscal year ending December 2026 is undecided.

Outlook

For the first quarter of the fiscal year ending December 2026, demand growth is expected for advanced logic and DRAM for AI data center applications of 300mm silicon wafers, while inventory adjustments are anticipated for non-advanced products. Demand for 200mm and smaller wafers is expected to be maintained. The Company will focus on ramping up a new factory and modernizing existing plants to capture demand for advanced products, while restructuring and improving efficiency for 200mm and smaller wafer production. Consolidated earnings guidance for Q1 FY2026 is net sales of 100,000 million yen, operating loss of 6,000 million yen, and net loss attributable to owners of parent of 10,000 million yen.