FY2026 Q3 Financial Presentation Materials [IFRS]

Overview of Financial Results

In FY2026 Q3, revenue stood at JPY 1,138.5 billion, down JPY 2.0 billion YoY, but operating income increased by JPY 5.4 billion to JPY 36.5 billion, and EBITDA rose by JPY 4.7 billion to JPY 98.4 billion. Net income for the quarter was JPY 11.8 billion, up JPY 7.5 billion YoY. Domestically, LWTJ and Living achieved higher revenue and profits through renovation products, while LHT saw significant sales growth in subsidy-eligible products. Overseas, despite revenue declines, operating income improved substantially, with Europe, Middle East, and India maintaining strong performance.

Segment Performance and Business Environment

By segment, LWT posted profit growth in both Japan and overseas, supported by improved sales in Europe and Middle East. LHT maintained prior-year levels through price revisions and renovation sales, while Living recorded steady sales in the renovation segment, resulting in higher revenue and profits. The business environment shows sluggish new housing starts in Japan, but the renovation sector grows backed by subsidies. The US housing market recovery is delayed, though positive impacts from policy implementation are anticipated. GROHE brand is expanding in Europe, with solid performance in the Middle East and India. China and the Asia-Pacific region continue to face challenges but are advancing differentiated product sales.