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

Overview of Performance

During the cumulative consolidated period for the third quarter of the fiscal year ending March 2026, revenue was 173.1 billion yen, a 0.9% decrease year-over-year. Operating income was 32.5 billion yen (18.1% decrease YoY), profit before tax was 31.6 billion yen (19.4% decrease YoY), and net income attributable to owners of parent was 22.8 billion yen (12.4% decrease YoY), resulting in a decline in both revenue and profit. The main factors included a slowdown in DRAM-related capital expenditures in China, changes in product composition, and upfront investments in research and development. Adjusted operating income was 36.6 billion yen (decreased YoY), and adjusted quarterly net income was 25.7 billion yen.

Financial Position and Outlook

Total assets amounted to 352.1 billion yen, an increase of 10.6 billion yen from the end of the previous fiscal year, and total equity was 212.8 billion yen, up 16.7 billion yen. Treasury stock shares have been decreasing. Cash flow from operating activities was an inflow of 28.4 billion yen, an increase of 7.7 billion yen year-over-year; however, there were outflows due to investing and financing activities, resulting in cash and cash equivalents totaling 47.7 billion yen, an increase of 3 billion yen. There is no revision to the consolidated earnings outlook for the fiscal year ending March 2026, and recovery and growth are expected in the fiscal year ending March 2027 driven by expanding demand related to generative AI.