Financial Summary for Q3 FY March 2026 [IFRS] (Consolidated)

Overview of Performance

For Q3 FY March 2026, consolidated results were substantially higher with net sales of 658.464 billion yen (YoY +10.3%), operating income of 27.393 billion yen (YoY +75.2%), pre-tax quarterly profit of 26.639 billion yen (YoY +107.2%), and net income attributable to owners of parent of 13.543 billion yen (YoY +244.5%). The main factors were the contribution to sales and profits from the consolidation of NSK Steering & Control Corporation (NS&C) and its subsidiaries on September 1, 2025, as well as price pass-through measures on tariffs. The Industrial Machinery segment posted revenue growth due to a recovery in capital investment, the Automotive segment increased sales due to steady sales, and the Steering segment was newly added as a reporting segment following NS&C consolidation.

Financial Position and Cash Flow Status

At the end of Q3 FY March 2026, total assets were 1.302547 trillion yen (up 83.003 billion yen from previous fiscal year-end), total liabilities were 603.610 billion yen (up 53.256 billion yen), and total equity was 698.936 billion yen (up 29.747 billion yen). Cash flow from operating activities recorded inflows of 81.493 billion yen, significantly exceeding the 4.835 billion yen in the same period last year. Cash flow from investing activities showed outflows of 84.746 billion yen, while cash flow from financing activities recorded inflows of 12.562 billion yen.

Revision of Earnings Guidance

The full-year consolidated earnings forecast for FY March 2026, announced on November 4, 2025, has been revised to net sales of 900 billion yen (up 13.0% from previous forecast), operating income of 37 billion yen (up 30.0%), pre-tax profit of 36 billion yen (up 43.4%), and net income attributable to owners of parent of 20 billion yen (up 87.8%). There is no change to the dividend forecast. This revision reflects earnings contribution from the consolidation of NS&C.