Fiscal Year Ending May 2027 First Quarter Financial Summary (Japanese GAAP) (Consolidated)

Business Performance Overview

In the first quarter consolidated accounting period, net sales totaled 7,199,639 thousand yen, an increase year-over-year, while profitability softened. Operating income was 253,249 thousand yen, ordinary income was 443,847 thousand yen, and quarterly net income was 289,340 thousand yen, all below the same period last year. Order intake increased from 8,431,116 thousand yen to 28,614 hundred million yen, and by product category the composition ratio for control valves, butterfly valves and remote operation devices remained stable. Figures reflect the finalization of provisional accounting related to a business combination. The full-year outlook remains unchanged, with forecasts of net sales 30,000 hundred million yen, operating income 1,450 hundred million yen, ordinary income 2,100 hundred million yen, and net income 1,600 hundred million yen.

Outlook and Investment Considerations

Current demand continues across a wide range of sectors including shipbuilding and power plants, supported by government investment roadmaps and expanding data center demand. Given the finalization of provisional accounting at the beginning of the period, it is necessary to assess the stability of quarterly results. Although the full-year forecast is unchanged, considering market uncertainty and seasonality, continued cost control and stickiness of order intake will be key to improving profitability.