Notice Regarding Differences Between Interim Earnings Guidance and Results for the Fiscal Year Ending March 2027, Revision of Full-Year Earnings Guidance and Revision of Dividend Forecast (Dividend Increase)

Revision of Earnings Guidance and Primary Factors

Nippon Kinzoku has revised its full-year earnings guidance based on the results for the second quarter of the fiscal year ending March 2027. Consolidated net sales were revised upward by 600 million yen compared with the previous forecast, to 50,200 million yen on a consolidated basis. Ordinary income was revised up by 160 million yen, and net income was revised up by 110 million yen. The company also raised full-year and non-consolidated guidance similarly, resulting in an increase in net income per share to 96.04 yen. In conjunction with these revisions, the company announced an increase of the year-end dividend to 10 yen. The primary drivers were continued recovery in the automotive-related market, a shift in sales mix toward higher-margin products, cost reductions, rigorous control of selling, general and administrative expenses, and productivity improvements that contributed to earnings enhancement.

Shareholder Returns and Outlook

In line with its shareholder return policy, the company increased the full-year dividend forecast and set the year-end dividend at 10 yen. This aligns with the company’s emphasis on returning profits to shareholders. Going forward, Nippon Kinzoku will continue to monitor potential headwinds such as rising costs and global economic uncertainty while pursuing improvements in profitability. The current outlook assumes sustained robust demand in the medium term and an increasing proportion of high value-added products, aiming for further improvements in sales and profits.