Fiscal Year Ending March 2026 Q3 Financial Summary [Japanese GAAP] (Consolidated)

Overview of Financial Performance

For the consolidated cumulative period of the third quarter of the fiscal year ending March 2026, net sales amounted to 690,005 million yen, a 2.2% increase compared to the same period last year. Operating income was 33,703 million yen (an 11.8% increase YoY), and ordinary income was 39,112 million yen (a 14.3% increase YoY). Meanwhile, quarterly net income attributable to owners of parent declined by 21.1% YoY to 23,056 million yen due to a decrease in special income. Regionally, increased production in China and solid performance in the Asian market contributed positively, although weak sales of Japanese vehicles had a negative impact. The company continued share buybacks, acquiring approximately 16 million shares worth 36.2 billion yen during this third quarter cumulative period.

Outlook and Financial Position

The full-year earnings guidance for the fiscal year ending March 2026 forecasts net sales of 913,000 million yen (a 0.4% decrease YoY), operating income of 45,000 million yen (a 0.3% increase YoY), and net income attributable to owners of parent of 28,000 million yen (a 39.4% decrease YoY). Factors such as foreign exchange impacts, semiconductor shortages, and weak sales of Japanese cars in China are expected to contribute to decreased revenue. The financial position remains solid, with total assets of 906.5 billion yen, net assets of 689.2 billion yen, and a shareholders’ equity ratio of 69.6%. Cash flow from operating activities secured funds totaling 75.2 billion yen. The company will continue to promote restructuring of production systems and rationalization measures to strengthen its growth foundation.