Financial Summary for Fiscal Year Ending March 2026 [Japanese GAAP] (Consolidated)

Overview of Business Performance for Fiscal Year Ending March 2026

Consolidated net sales for the fiscal year ending March 2026 amounted to ¥200,834 million (6.5% Year-over-Year increase), contributed by new mass production products for Chinese automotive applications and increased sales in certain industrial equipment sectors. Conversely, operating income declined significantly to ¥12,354 million (50.6% Year-over-Year decrease), and net income attributable to owners of parent also decreased to ¥8,733 million (55.4% Year-over-Year decrease). The primary factors for the profit decline were increased cost of sales and a drop in product gross profit margin. Research and development expenses remained nearly flat at ¥58,508 million, with continued strengthening of development in advanced technology fields.

Financial Position and Future Outlook

Total assets decreased to ¥167,623 million compared to the previous fiscal year, and the equity ratio slightly declined to 79.4%. Net assets decreased due to share buybacks and dividend payments. Cash flow from operating activities was an inflow of ¥7,693 million, investing activities were an outflow of ¥22,884 million, and financing activities were an outflow of ¥14,240 million. For the fiscal year ending March 2027, the company forecasts net sales of ¥215,000 million (7.1% Year-over-Year increase), operating income of ¥14,000 million (13.3% Year-over-Year increase), and net income of ¥10,000 million (14.5% Year-over-Year increase), planning revenue and profit growth driven by expansion of new mass production products.