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

Performance Overview

In the consolidated cumulative third quarter period of the fiscal year ending March 2026, net sales amounted to ¥121,355 million (a 5.0% decrease YoY). This was primarily due to a decline in customer production volumes and the liquidation of a subsidiary following the termination of a joint venture. On the other hand, operating income increased to ¥9,865 million (6.1% increase YoY) due to rationalization and price optimization effects, and ordinary income rose to ¥13,511 million (14.4% increase YoY) owing to recorded foreign exchange gains and others. Net income attributable to owners of parent for the quarter rose significantly to ¥10,623 million (41.1% increase YoY) due to gains on the return of retirement benefit trusts, among other factors.

Segment Performance and Financial Position

By segment, net sales in the Automotive and Industrial Machinery Components business were ¥91,866 million (5.3% decrease YoY), with segment profit of ¥7,909 million (5.4% increase YoY). The Piping and Construction Equipment business recorded net sales of ¥13,128 million (6.3% decrease YoY) and profit of ¥552 million (39.8% decrease YoY). The Thermal Engineering business grew with net sales of ¥7,118 million (15.3% increase YoY) and profit of ¥804 million (39.1% increase YoY). Total assets rose to ¥222,530 million (an increase of ¥3,485 million from the end of the previous fiscal year), net assets increased to ¥160,818 million (up ¥6,148 million), and the equity ratio improved to 68.3%.