Tsuzuki Denki Co., Ltd. Financial Summary for the Second Quarter (Interim) of the Fiscal Year Ending March 2027

Overview of Performance

Consolidated revenue for the second quarter totaled 47,181 million yen (YoY +8.6%), securing increased sales. However, due to higher selling, general and administrative expenses and investments in human resources, operating income declined to 2,039 million yen (YoY -18.1%), ordinary income fell to 2,019 million yen (YoY -22.1%), and net income attributable to owners of parent for the interim period decreased to 1,333 million yen (YoY -26.6%). Although the company reports a single segment, it discloses trend information by attribute for Engineering Services and Product revenue and orders. The company will continue to optimize its human capital portfolio and pursue growth investments under the medium-term plan "Trust & Challenge 2029."

Cash, Financial Position and Dividends

The equity ratio at the end of the interim period was a stable 60.1%. Dividends are expected to be 50 yen at the end of the second quarter and 190 yen for the full fiscal year, and capital policy will be monitored accordingly. Total assets decreased from the previous fiscal year due to movements in cash and deposits and reductions in notes and accounts receivable, while current assets were maintained through increases in inventories. The company maintains long-term borrowings of 4,100 million yen, and cash flows from financing activities were impacted by dividends and treasury stock-related transactions.