Fiscal Year Ending March 2027 Q2 (Interim) Financial Summary [Japanese GAAP] (Consolidated)

Summary of Business Results

In the interim period, net sales increased 28.0% to 12,490 hundred million yen, driven by strong demand related to AI adoption, mainly for separators used in aluminum electrolytic capacitors. Functional materials also saw significant revenue growth due to increasing overseas demand. As a result, operating income, ordinary income and interim net income all increased substantially. The financial position remained stable with total assets of 36,875 hundred million yen and net assets of 28,485 hundred million yen. The company intends to revise its full-year earnings forecasts.

Outlook and Dividends

The full-year earnings forecasts are expected to be revised and dividend forecasts are under review. The most recent dividend payment start date as of now is December 2, 2026, and the year-end dividend is 80 yen (with an interim dividend of 80 yen noted). Strong demand from AI server/data center-related markets is expected to improve utilization rates and productivity, supporting profit growth. However, attention should be paid to external risks such as geopolitical developments and foreign exchange fluctuations.