Financial Results for the Second Quarter (Interim Period) of the Fiscal Year Ending October 2026 [Japanese GAAP] (Consolidated)

Performance highlights

For the six months ended October 2026, a difference arose between consolidated earnings forecasts and actual results. Net sales were down about 7.4% versus previous forecast, and operating income, ordinary income, and net income attributable to owners of the parent were each down by roughly half to 77.7% due to the same factors—order delays, postponements, and project delays in the Heavy Steel Frame segment of House & Eco, limiting sales growth and reducing profitability. The full-year forecast is currently unchanged, but orders on hand in House & Eco are at record highs, and profitability in the Wood Products business is expected to improve; as circumstances evolve, revisions will be disclosed promptly.

Outlook and risks

The full-year consolidated earnings forecast remains unchanged. However, there is a possibility of revision depending on market conditions and order intake. From Q3 onward, profitability is expected to improve due to reductions in depreciation burden in the Wood Products business, and revisions to the forecast will be made as appropriate depending on circumstances.