Consolidated Financial Results Briefing Materials for the Third Quarter of Fiscal Year Ending March 2026

Overview of Performance

For the cumulative third quarter of the fiscal year ending March 2026, net sales amounted to 58.8 billion yen (YoY +680 million yen), driven by sales recovery in the healthcare market across Europe, North America, and China. However, sales in major regions remained at low levels due to economic sluggishness in Europe. Operating income was 1.31 billion yen (YoY -840 million yen), impacted by wage increases, expenses related to the new technology building, and increased selling, general and administrative expenses associated with expanded sales activities in India and the Middle East. Quarterly net income attributable to owners of parent was 2.84 billion yen (YoY +840 million yen), including foreign exchange gains of 80 million yen and gains on sales of policy holdings of 1.32 billion yen.

Segment and Market Trends

By market segment, net sales in the healthcare market increased due to sales recovery in Europe and North America, contributing to overall sales growth. The B&P market remained sluggish due to the economic stagnation in Europe. The Creative Work market declined due to delayed demand recovery in Europe. The V&S market fell below the previous year’s level due to postponement of overseas air traffic control projects, though marine applications performed well. The amusement market remained flat compared to the previous year. Other markets saw sales growth due to an increase in contracted development. Regionally, North America stood at 119.7%, China at 97.8%, Europe at 98.3%, and Japan at 101.8%.