Financial Results Briefing for Fiscal Year Ending March 2026

Overview of Financial Performance

Net sales for the fiscal year ending March 2026 reached ¥5,894.7 billion (107% increase YoY), operating income was ¥433.0 billion (111% increase YoY), and net income attributable to owners of the parent was ¥407.7 billion (126% increase YoY), setting new record highs for both net sales and operating income. The impact from the Next Stage support scheme was a negative ¥105.3 billion; excluding this, operating income was ¥538.4 billion (137% increase YoY). Free cash flow stood at ¥231.5 billion, with operating cash flow at ¥575.9 billion and investing cash flow at △¥344.4 billion.

Segment Performance and Future Outlook

Growth in the infrastructure division, life division, and FA systems business, along with price improvements, led to increased net sales and operating income overall. All sub-segments except air conditioning and home appliances posted year-over-year profit growth. The outlook for the fiscal year ending March 2027 forecasts net sales of ¥6,200.0 billion (YoY +¥305.2 billion) and adjusted operating income of ¥590.0 billion (YoY +¥88.7 billion), both expected to set new highs. The outlook incorporates the impact of rising raw material and logistics costs derived from crude oil due to Middle East geopolitical issues.