Financial Summary for the Third Quarter of Fiscal Year Ending March 2026 (Japanese GAAP) (Consolidated)

Overview of Performance

During the cumulative consolidated third quarter period of the fiscal year ending March 2026, net sales reached 30,990 million yen (9.2% increase YoY), operating income was 4,728 million yen (9.4% increase YoY), and ordinary income was 4,787 million yen (7.4% increase YoY). Net income attributable to owners of parent for the quarter significantly increased to 9,003 million yen (199.6% increase YoY), due to recording a special gain of 6,019 million yen from negative goodwill. By segment, the Concrete Business performed solidly with net sales of 20,657 million yen (4.6% increase YoY) and operating income of 4,351 million yen (14.7% increase YoY). Conversely, the Pile Business declined owing to a slowdown in private investment, with net sales of 1,899 million yen (36.9% decrease YoY) and operating income of 23 million yen (92.3% decrease YoY). The Slope Disaster Prevention Business showed steady progress with net sales of 3,356 million yen (8.7% increase YoY) and operating income of 1,121 million yen (9.0% increase YoY). The Segment Business, including the newly consolidated subsidiary IKK Co., Ltd., posted net sales of 2,600 million yen and operating income of 212 million yen.

Financial Condition and Future Outlook

Total assets amounted to 66,881 million yen, a 15,014 million yen increase from the previous consolidated fiscal year-end, and net assets stood at 43,075 million yen, up 6,541 million yen. The equity ratio decreased by 6.0 points to 63.9% compared to the previous fiscal year-end. The increase in current assets was mainly due to higher notes and accounts receivable and inventories. Liabilities also increased, with current liabilities at 18,512 million yen (increase of 6,552 million yen) and non-current liabilities at 5,293 million yen (increase of 1,921 million yen). The full-year earnings forecast for the fiscal year ending March 2026 has been revised to net sales of 46,000 million yen (18.2% increase YoY), operating income of 6,800 million yen (8.2% increase YoY), and net income attributable to owners of parent of 10,500 million yen (17.6% increase YoY). The dividend forecast remains unchanged at 32.50 yen.